A decision that involves doing a little more or a little less of something is called a:.

All of the following arguments are presented in favor of inflation targeting EXCEPT

vlabodo [156]

Answer:

The correct answer is letter "A": it would reduce the lags inherent in monetary policy.

Explanation:

Inflation targeting is a monetary policy in which the central bank sets a specific target for medium-term inflation and declares the target for inflation. The idea is that maintaining price stability is the best that monetary policy can do to support the economy in the long run.

5 0

3 years ago

Consider a household that possesses $200 comma 000 worth of valuables such as jewelry. This household faces a 0.02 probability

Mariulka [41]

Answer:

The household should not buy this policy

Explanation:

The probability of burglary is

$200,000 * 0.02 = $4,000

The insurance policy costs $15,000

The loss probability is lower than the cost of insurance policy

E(U) = (Jewelry Worth - Jewelry loss due to burglary + Insurance cover - Insurance policy cost) * 0.5

E(U) $200,000 - $70,000 + $70,000 - $15,000

E(U) = $ $$185,000^{0.5}$

E(U) $430.11

8 0

3 years ago

Causwell Company began 2018 with 27,000 units of inventory on hand. The cost of each unit was $5.00. During 2018 an additional 4

o-na [289]

Answer:

Causwell Company

FIFO LIFO

Cost of goods sold $181,400 $203,000

Explanation:

Data and Calculations: Units Unit Cost Weighted FIFO LIFO

Beginning Inventory = 27,000 $5 $135,000 $135,000 $135,000

Purchases of inventory 45,000 $5.8 $261,000 $261,000 $261,000

Goods available 72,000 $396,000 $396,000 $396,000

Ending Inventory (37,000) $5.5 $203,500 $214,600 $193,000

Inventory Sold 35,000 $5.5 $192,500 $181,400 $203,000

Unit cost = $5.00

Computation of the Value of beginning inventory = $135,000 (27,000 x $5)

From the value of Inventory Sold (Cost of goods sold), determine the unit cost. This is applied to the ending inventory units, to ascertain its value. This value is added to the cost of goods sold, to determine the cost of goods available for sale, which is made up of the beginning inventory and purchases. From the Cost of Goods Available for Sale subtract the beginning inventory, to obtain the purchases in amount. Divide the value by units and you obtain the unit cost.

5 0

3 years ago

When Dr. Putt invented his Eye-Over-the-Ball (EOB) golf putting device, he knew during the introductory stage:

Alchen [17]

Answer:

D) sales would be low, profits non-existent, and he would attract golf equipment innovators.

Explanation:

Generally during the introductory stage of a product or service;

the sales are usually low since not a lot of customers know or trust you product or service,
due to low sales and high costs, profits are usually very small or non-existent,
many times innovators are the first ones to try your product, specially in a very conservative market, like golf equipment and related products.

7 0

4 years ago

A company has developed a new cell phone which will be targeted to developing countries. It is estimated that the demand for the

Arturiano [62]

Answer:

Demand forecast.

Demand forecast is the process a business embarks on so that it can predict its future sales and demand of a product.

Explanation:

A demand forecast will assist the company to come up with decisions as regards the number and nature of people they need. The demand forecast will also help to determine the amount of workers they need for staffing a new facility so that it can operate efficiently and at it optimum.

4 0

3 years ago

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