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zlopas [31]
2 years ago
9

What is the best explanation for the relatively horizontal area of the short run aggregate supply curve?

Business
1 answer:
posledela2 years ago
6 0

The best explanation for the relatively horizontal area of the short run aggregate supply curve is that, "with an economy operating below potential output, an increase in aggregate demand causes real output to increase."

The short-run aggregate supply curve is horizontal. This happens because in the short-run production can be increased without any real effect on the average costs of production.

The horizontal short-run aggregate supply curve shows that even if the output increases, the price remains the same. So here the aggregate demand curve can shift to the right and can meet the aggregate supply curve at a new point.

Hence, here the price level will remain unchanged.

To learn more about supply curve here:

brainly.com/question/15573167

#SPJ4

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The value chain describes the costs associated with making a product. What​ box(es) are expensed immediately when incurred on th
KIM [24]

Answer:

ALL EXCEPT PRODUCTION

Explanation:

The costs of the value chain includes: Research and Development, Design Costs, Production, Marketing, Distribution and Customer Service.

The costs of the value chain are expensed in the current year income statement because they majorly (except production costs) fall under the category called periodic costs.

Periodic costs are costs that are more aligned with the passage of time than directly traceable to units of a product or event. Another major difference between product costs and period costs is that product costs can only be incurred when the products have been acquired or manufactured, while periodic costs will apply when the goods have not been acquired or produced yet, or as aforementioned, are associated with the passage of time.

In the light of above definition, all costs within the value chain are expensed as periodic costs with the exception of production costs which obviously are product costs.

8 0
2 years ago
Kaitlin has not had a cigarette in 11 months. she has started running three days a week and is thrilled with her newfound energy
Eva8 [605]
<span>This is the termination step in the "stages of change" model. This step is the final stage, in which the person is assured in the fact that the unhealthy behavior will not relapse. This typically only occurs after having integrated healthy behaviors into one's routine for at least 6 months without a relapse.</span>
7 0
3 years ago
Pension data for David Emerson Enterprises include the following:
iragen [17]

Answer:

$159

Explanation:

Calculation to determine the service cost component of pension expense for the year ended December 31.

Projected benefit obligation, December 31 555

Add Benefit payments to retirees, December 31

Less Interest cost $54

(12%*450)

Less Projected benefit obligation, January 1 $450

service cost $159

7 0
2 years ago
Borchardt Corporation has provided the following data concerning last month’s operations. Direct materials $ 29,000 Direct labor
skad [1K]

Answer: $178,000

Explanation:

The following information can be derived from the question:

We have to first calculate the total manufacturing cost. This will be:

Direct material 29000

Add: Direct labor 58000

Add: manufacturing overhead 82000

Then the manufacturing cost will be:

= 29000 + 58000 + 82000

= 169000

We then add the beginning work in progress and then subtract the ending work in progress. This will be:

Manufacturing cost = 169000

Add: Beginning WIP = 66000

Less: Ending WIP = 57000

= 169000 + 66000 - 57000

= $178,000

7 0
3 years ago
The foreign exchange market is a market for converting the currency of one country into that of another country.
3241004551 [841]

Answer:

a. True

Explanation:

The foreign exchange market is a market for converting the currency of one country into that of another country.

For example, the conversion of dollars of the United States of America can be converted into naira (Nigeria) at the foreign exchange market.

Efficient market school is the market school which argues that forward exchange rates do the best possible job for forecasting future spot exchange rates, so investing in exchange rate forecasting services would be a waste of time because it is impossible to have a consistent alpha generation on a risk adjusted excess returns basis as market prices are only affected by new informations.

The efficient market school also known as the efficient market hypothesis (EMH) is a hypothesis that states that asset (share) prices reflect all information and it is very much impossible to consistently beat the market.

Also, forward exchange rates are exchange rates controlling foreign exchange transactions at a specific future date or time.

4 0
2 years ago
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