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goldenfox [79]
2 years ago
15

Suppose the consumer confidence index increases from 103 to 146. How does this change effect the AD/AS model

Business
1 answer:
Darina [25.2K]2 years ago
8 0

The AS curve shifts to the left.

The Consumer Confidence Index is an economic indicator published by various organizations in several countries. Simply put, rising consumer confidence is an indication of the economic growth that consumers are spending and an increase in consumption.

When the latest index exceeds 100, consumers will be more confident than in 1985. Below 100, consumers are less confident than they were then.

Consumer confidence is an economic indicator. It measures how confident consumers are about the general state of the economy. It also measures how confident people are about income stability. Their self-confidence influences not only their financial decisions but their spending activities.

Learn more about the consumer confidence index here:brainly.com/question/25122933

#SPJ1

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Pretzelmania, Inc., issues 7%, 10-year bonds with a face amount of $70,000 for $70,000 on January 1, 2021. The market interest r
AlexFokin [52]

Answer:

Pretzelmania, Inc.

1. Records:

Debit Cash $70,000

Credit Bonds Liability $70,000

To record the issuance of 7% bonds at face value.

June 30:

Interest Expense $2,450

Cash payment for interest $2,450

To record the first interest expense and payment.

(No amortization of discounts or premiums)

December 31: (not required but showed for emphasis)

Debit Interest Expense $2,450

Credit Cash payment for interest $2,450

To record the second interest expense and payment.

(No amortization of discounts or premiums)

2. Records:

Debit Cash $63,948

Bonds Discounts $6,052

Bonds Liability $70,000

To record the issuance of 7% bonds at discounts.

June 20, 2015:

Debit Interest Expense $2,557.92

Credit Amortization of bonds discounts $107.92

Credit Cash payment for interest $2,450

To record the first interest expense and payment, including amortization of bonds discounts.

December 31, 2015: (not required but showed for emphasis)

Debit Interest Expense $2,562.24

Credit Amortization of bonds discounts $112.24

Credit Cash payment for interest $2,450

To record the second interest expense and payment, including amortization of bonds discounts.

3. Records:

Debit Cash $76,860

Credit Bonds Liability $70,000

Credit Bonds Premium $6,860

To record the issuance of 7% bonds at premium.

June 30, 2015:

Debit Interest Expense $2,305.80

Debit Amortization of bonds premium $144.20

Credit Cash payment for interest $2,450

To record the first interest expense and payment, including amortization of bonds premium.

December 31, 2015: (not required but showed for emphasis)

Debit Interest Expense $2,301.50

Debit Amortization of Bonds Premium $148.50

Credit Cash payment for interest $2,450

To record the second interest expense and payment, including amortization of bonds premium.

Explanation:

1.  issues 7%, 10-year bonds with a face amount of $70,000 for $70,000 on January 1, 2021. The market interest rate for bonds of similar risk and maturity is 7%. Interest is paid semiannually on June 30 and December 31.

a) Data and Calculations:

Face value of bonds = $70,000

Issuance value = $70,000

Interest rate on bonds = 7%

Market interest rate = 7%

Period of bonds = 10 years

Payment period = semiannually

Issue date = January 1, 2021

June 30:

Semiannual interest rate = 3.5% (7%/2)

Interest Expense = $2,450 ($70,000 * 3.5%)

Cash payment for interest = $2,450

No amortization of discounts or premiums

December 31:

Semiannual interest rate = 3.5% (7%/2)

Interest Expense = $2,450 ($70,000 * 3.5%)

Cash payment for interest = $2,450

No amortization of discounts or premiums

2. Pretzelmania, Inc., issues 7%, 15-year bonds with a face amount of $70,000 for $63,948 on January 1, 2015. The market interest rate for bonds of similar risk and maturity is 8%. Interest is paid semiannually on June 30 and December 31.

a) Data and Calculations:

Face value of bonds = $70,000

Issuance value = $63,948

Bonds discounts = $6,052 ($70,000 - $63,948)

Interest rate on bonds = 7%

Market interest rate = 8%

Period of bonds = 15 years

Payment period = semiannually

Issue date = January 1, 2015

June 30, 2015:

Semiannual interest rate = 3.5% (7%/2)

Interest Expense = $2,557.92 ($63,948 * 4%)

Amortization of bonds discounts = $107.92 ($2,557.92 - $2,450)

Cash payment for interest = $2,450 ($70,000 * 3.5%)

December 31, 2015:

Semiannual interest rate = 3.5% (7%/2)

Interest Expense = $2,562.24 (($63,948 + 107.92) * 4%)

Amortization of bonds discounts = $112.24 ($2,562.24 - $2,450)

Cash payment for interest = $2,450 ($70,000 * 3.5%)

3. Pretzelmania, Inc., issues 7%, 15-year bonds with a face amount of $70,000 for $76,860 on January 1, 2015. The market interest rate for bonds of similar risk and maturity is 6%. Interest is paid semiannually on June 30 and December 31.

a) Data and Calculations:

Face value of bonds = $70,000

Issuance value = $76,860

Bonds premium = $6,860 ($76,860 - $70,000)

Interest rate on bonds = 7%

Market interest rate = 6%

Period of bonds = 15 years

Payment period = semiannually

Issue date = January 1, 2015

June 30:

Semiannual interest rate = 3.5% (7%/2)

Cash payment for interest = $2,450 ($70,000 * 3.5%)

Interest Expense = $2,305.80 ($76,860 * 3%)

Amortization of bonds premium = $144.20 ($2,450 - $2,305.80)

December 31:

Semiannual interest rate = 3.5% (7%/2)

Cash payment for interest = $2,450 ($70,000 * 3.5%)

Interest Expense = $2,301.50 (($76,860 -144.20) * 3%)

Amortization of bonds premium = $148.50 ($2,450 - $2,301.50)

(Record bond issue and related semiannual interest)

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When working with compressed air what psi should you reduce to if using the compressed air for cleaning?
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Bonita Industries has estimated that total depreciation expense for the year ending December 31, 2018 will amount to $583000, an
Mice21 [21]

Answer:

<u><em>Total expenses 936,500</em></u>

depreciation 291,500

wages expense 645,000

Explanation:

Assuming the depreciation are calculate base on straight line or that their output is lineal through the year:

It will be half of the depreciation for the year.

583,000 / 2 =  291,500 depreciation expense for six-month

For the year-end bonused It wll be the same ideal, we assume are earned equally during the year. So at half year half of the bonuses should be earned:

wages expense 1,290,000/2 = 645,000

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Is Informative listening a type of casual listening
Vlada [557]

Answer:

Yes.

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