In financial planning, in order to protect your assets you may consider insurance. Insurance plays an important role in any sound of financial planning. There are different types of insurance to help you protect your assets. An example is a car insurance which helps you protect from damage to the often-considerable investment in a car.
Answer and Explanation:
The computation is shown below:
a. Total assets is
= Capital + creditors
= 125,000 + 45,000
= 170,000
b. The ending capital is
= Capital - loss - drawings
= 170,000 - 3,700 - 1,800
= 164,500
The assets is
= Ending capital + creditors
= 164,500 + 45,000
= 209,500
The same should be considered
Answer:
1) Household consumption, which accounts for about <u>68%*</u> of the economy, grew at a 4.2% annualized rate during the second quarter of 2016.
*Data obtained from federal government sources.
2) Since household/consumer spending (consumption) represents almost 70% of the nation's GDP, any change will cause a major change in the total GDP. E.g. if consumption increases by 5%, then the whole economy will grow by 5% x 68% = 3.4%.