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Lelechka [254]
1 year ago
12

Which of the following is a period during which aggregate output, as measured by real GDP, declines

Business
1 answer:
Klio2033 [76]1 year ago
4 0

Answer:

D. Recession

Explanation:

Aggregate output in an economy declines during a recession. This is because economic activities are declining. When such occurs GDP declines. This is different from stagflation in the sense that during a recession, only real GDP declines. However, in a stagflation, the fall in GDP also results to the increase in inflation. During recessions, economic activities are low so is price level.

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A consumer values a house at $525,000 and a producer values the same house at $485,000. If the transaction is completed at $510,
Natali5045456 [20]

Answer:

the options were missing:

  • a tax of $9,000
  • a tax of $14,000
  • a tax of $15,000
  • a tax of $18,000

the answer is a tax of $18,000

Explanation:

in this case, the seller surplus = $510,000 - $485,000 = $25,000, while consumer surplus = $525,000 - $510,000 = $15,000

Taxes decrease consumer surplus, but consumers are still willing to purchase goods if the price of the goods plus the taxes is equal or less to the maximum price that they are willing to pay. But $510,000 + $18,000 = $528,000 which is higher than $525,000

7 0
2 years ago
Calculate the expected cost per stockout with the following information: Probability of a back order is 50%, lost sale is 25%, a
S_A_V [24]

Answer:

D) $66,325

Explanation:

the total costs associated with a stockout are:

  • probability of a back order 50% x cost of a back order $150 = $75
  • probability of a lost consumer 25% x cost of a lost consumer $250,000 = $62,500
  • lost gross margin = probability of a lost consumer 25% x $1,500 x 50 units x 20% = $3,750

total costs of a stockout = $75 + $62,500 + $3,750 = $66,325

6 0
3 years ago
The following events and transactions related to David Company ocurred after the balance sheet date of December 31, 2017, and be
cupoosta [38]

Answer:

1. In order to secure a bank loan of $200,00, David pleged as collateral certain fixed assets wth a net book value of $300,000. David applied for the loan December 18, 2017, and the bank approved the loan on January 8, 2018.

DISCLOSED ON THE NOTES

the company should disclose the fact that fixed assets were used as collateral for a bank loan.

2. On November 21, 2017, David initiated a lawsuit seeking $500,000 in damages from a firm that David claims infringed on its trademark. David's attorneys have stated that the chances of wining and of getting the $500,000 are excellent.

DISCLOSED ON THE NOTES

since the chance of winning are excellent, very likely, the lawsuit should be disclosed

3. On February 22, 2018, David issued bonds at an interest rate 2 percentage points above the LIBOR (London Interbank Offered Rate). This is the average interest rate estimated by leading banks in London that they would be charged if borrowing from other banks.

REPORTED IN THE FINANCIAL STATEMENTS

this involves liabilities and expenses that must be reported

4. A warehouse containing a significant portion of David's inventory was destroyed by fire on January 30, 2018.

REPORTED IN THE FINANCIAL STATEMENTS

the loss has to be reported

5. A supplier to whom David owes $15,000 declared bankruptcy on February 3, 2018.

REPORTED IN THE FINANCIAL STATEMENTS

the $15,000 loss has to be reported

6 0
2 years ago
Although she hates the work, Jessica has spent most weekends and the last three summers as a shortorder cook; she has an associa
Andrew [12]
Although she hates the work, [ Jessica has spent most weekends and the last three summers as a shortorder cook; she has an associate's degree in paralegal studies; she loves to ride and spends every spare minute helping her uncle with his three horses. Now that she's planning to start a business, her best choice would probably be a Riding stable. ]

In short the answer is D. Riding stable
7 0
2 years ago
Karen and Anika, the owners of a new personal assistant firm called Assist You 2, are interested in offering their services in a
alex41 [277]

Answer: understand the position of their competitors.

Explanation:

For any company to strive in a particular environment, it is vital for an organization to always look out for its competitors and look for ways to have a competitive edge over them. This is vital in generation of revenue, maximization of profit and achieving organizational goals and objectives.

Therefore, with regards to the question, best positioning their service within this community, they must next understand the position of their competitors.

5 0
3 years ago
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