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Ivanshal [37]
2 years ago
15

An increase in spending of $25 billion increases real gdp from $600 billion to $700 billion. The marginal propensity to consume

must be?
Business
1 answer:
maksim [4K]2 years ago
5 0

An increase in spending of $25 billion increases real gdp from $600 billion to $700 billion. The marginal propensity to consume must be "4".

<h3>What do you mean by Marginal Propensity to consume?</h3>

The marginal propensity to consume is refers to as the proportion of any change in income that is spent on consumption.

In economics, this term is used to refer to the measurement made in order to determine consumption when the rent is increased by one unit. This measurement is nothing more than a mathematical relationship to calculate how people invest in consumption or save the income that is increased.

Calculation:

MPC=\frac{change in consumption}{change in income} \\MPC=\frac{100}{25} \\MPC=4

Learn more about Marginal Propensity to consume, refer to the link:

brainly.com/question/19089833

#SPJ4

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Elite Trailer Parks has an operating profit of $307,000. Interest expense for the year was $32,000; preferred dividends paid wer
ollegr [7]

Answer:

a. $8.33

$1.95

b.$136,500

Explanation:

The computation of earnings per share and the common dividends per share is shown below:-

a. Earning per share = Earnings Available to Common Stockholders ÷ Number of Shares of Common Stock Outstanding

= $178,300 ÷ 21,400

= $8.33

Dividends per Share = $41,800 ÷ 21,400

= $1.95

b. Increase in retained earnings = Operating Profit (EBIT) - Interest expense - Taxes - Preferred dividends - Common dividends

= $307,000 - $32,000 - $65,100 + $31,600 + $41,800

= $136,500

We simply applied the above formulas

7 0
3 years ago
Effective decision makers are able to ______.
bixtya [17]

Answer:

E

Explanation:

all of those statements seem valid about being an effective decision maker

5 0
3 years ago
Read 2 more answers
If the United States wanted to reduce the cost of its goods in foreign markets, it could ________ its currency.
Kruka [31]

Answer:

Devalue its currency

Explanation:

Exchange Rate is the conversion rate of domestic & foreign currency.

Eg $1 =   _ € .

Devaluation means deliberate fall in value of domestic currency in terms of foreign currency (increase in foreign exchange rate) , under fixed exchange rate by government.

Eg :  $1 =   5€ - change to -  $1 = 7€ . This implies dollar can purchase less amount of euro , and has depreciated.

However , this would also lead to reduce the cost of its exports in foreign (here European market) , because US $ has become cheaper in terms of their currency & hence so have been their goods.

3 0
3 years ago
All of the following are good ways to learn about different careers except
Georgia [21]
To learn about different careers, doing extracurricular activities can be beneficial for they are activities that could be either volunteered and are of outside of the school. These activities could help in learning different careers for the student could interact with people that he or she meets in the activities that the student is involved in. Job shadowing could also be helpful in learning different careers for it allows an individual to join someone who is working and observe them or learn more about their job description or their work. Lastly, internship is also a way of leaning careers for it is a way of introducing a person of the tasks that he or she could tackle when he or she thinks of taking a specific job in relation to it. The answer that is not included would be tv sitcom for they focus more on television shows that does not discuss about learning careers.
8 0
3 years ago
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In a private placement of bonds, bonds may be sold to
Wittaler [7]

The bonds in private placement can only be sold to the pre-selected investors and institutions.

The private placement means an private alternative to the process of issuing bonds which are previously publicly offered for the purpose of raising capital for the corporation.

The Private placement involves the offers or sales of debt/equity securities between the issuer and selected investors.

Therefore, in conclusion, the bonds in private placement can only be sold to the pre-selected investors and institutions.

Learn more about Private placement here

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5 0
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