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3 years ago

Fiscal policy is limited when the slope of the

1 answer:

4 0

The right answer for the question that is being asked and shown above is that: "d. AD and AS curves are more horizontal to the multiplier is more effective." Fiscal policy is limited when the slope of the <span>AD and AS curves are more horizontal to the multiplier is more effective.</span>

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A firm always has a competitive disadvantage when its return on invested capital is:_________

Brilliant_brown [7]

Answer:

A firm always has a competitive disadvantage when its return on invested capital is:_________

D. below the industry average.

Explanation:

A firm's competitive disadvantage shows when the return on investment is below the industry average. For instance, let us assume that Niposte, Inc. operates in the paper milling industry and that its return on investment of 10% falls below the industry average of 15%, then one can conclude that Niposte, Inc. is not favored in this industry. The cause of such a situation for Niposte, Inc. may be that the ability of its management to turn revenue into profits for stockholders is hampered with excessive costs. This is because the return on investment is a profitability ratio that shows how Niposte, Inc. and its competitors are performing in terms of generating profit from revenue through efficient management of operating costs.

4 0

3 years ago

Albee Township’s fiscal year ends on June 30. Albee uses encumbrance accounting. On April 5, year 1, an approved $1,000 purchase

Mice21 [21]

Answer:

Encumbrances $1000

Reserved for encumbraces $1000

Explanation:

Encumbrance is in the debit because is the money that we have destined for the purchase and since we have to get the money from our funds Reserved for encumbrances is in the credit.

5 0

3 years ago

Portions of the financial statements for Parnell Company are provided below. PARNELL COMPANY Income Statement For the Year Ended

m_a_m_a [10]

Answer:

Net Cash flow from Operating Activities (Direct Method) = $343

Net Cash flow from Operating Activities (Indirect Method) = $343

Explanation:

Cash Flow Statement - Operating Activities (Direct Method)

Amount in $

Cash receipts from Customer (219+770-321) 668

Less: Cash paid to suppliers (120+285-207-98) -100

Cash paid Employees (96+117-108) -105

Cash Paid to Insurance (69+37-85) -21

Cash Generated from operation 442

Less: Interest paid (47-19) -28

Income tax paid (55+82-66) -71

Net Cash flow from Operating Activities 343

Cash Flow Statement - Operating Activities (Indirect Method)

Amount in $

Net Income 82

Add: Depreciation Expenses 120

Loss on sale of Machinery 12

Decrease in Inventory (422-324) 98

Increase in Account payable (207-120) 87

Increase in salaries payable (108-96) 12

Decrease in prepaid Insurance (69-85) 16

Decrease in Bond Discount (184-203) 19

Increase in Deferred Tax Liabilities (66-55) 11

Less: Gain on sale of Building -12

Increase Accounts receivable (321-219) -102

Net Cash flow from Operating Activities 343

6 0

3 years ago

the level of reserves (depositor funds held back from making loans) is very important in determining the money supply.

grigory [225]

It's true that the amount of reserves depositor money withheld from funding loans plays a significant role in influencing the money supply.

All the money and other liquid assets present in an economy on the measurement date are referred to as the money supply. The money supply roughly consists of deposits that can be utilized virtually as easily as cash in addition to actual currency.

Governments issue coin and paper money through a mix of national treasuries and money supply, central banks. By dictating to banks what reserves they must maintain, how to offer credit, and other financial issues, bank regulators have an impact on the amount of money that is available to the general people.

By regulating interest rates and altering the amount of money flowing through the economy, economists study the money supply and create policies based on it. Because the money supply may have an impact on price levels, inflation, and the business cycle, both the public and private sectors conduct analyses. The most significant determining factor in the money supply in the United States is Federal Reserve policy. The term "money stock" also applies to the money supply.

Learn more about money supply here

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4 0

2 years ago

2. Explain the role of required & excess reserves in the banks approach to the making of loans to the consumer & busines

pav-90 [236]

Answer:

Every time a dollar is deposited into a bank account, a bank's total reserves increases. The bank will keep some of it on hand as required reserves, but it will loan the excess reserves out. When that loan is made, it increases the money supply. This is how banks “create” money and increase the money supply.

Explanation:

6 0

3 years ago