Answer:
D .the long-term spot rate is an average of the current and expected future short-term interest rates
Explanation:
Unbiased Expectations Theory -
According to this theory , it forecasts the short - term rate of interests of the future according to the current long - term rate of interests .
Which states that the investor gets the same interest amount during two consecutive one - year bond against investing in one two - year bond .
Hence , from the given statements , the correct statement regarding the unbiased expectations theory , is ( D. ) .
Based on the following that is included in the cost of land is E. Brokerage commission. In the other side, C) The cost of clearing the land also included in the cost land.
When acquiring land, certain costs are necessary, ordinary and should be assigned to Land. These costs include the cost of the land, legal fees, title fees, zoning fees and also survey costs. Also included are site preparation costs like draining and grading, or the cost to raze an old structure. All of these costs may be considered necessary and ordinary to get the land ready for its intended use. Some costs are land improvements. This asset category includes the cost of parking lots, landscaping, sidewalks, similar expenditures and irrigation systems. Land is considered to have an indefinite life and is not depreciated.
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Answer:
Controllable contribution = $35,000
Explanation:
<em>The controllable contribution of the divisional manager is the difference between the sales revenue and the costs controllable by the manager. It is a metric to measure the performance of a divisional manager</em>
sales revenue = $350,000
Variable expenses = 40%× 350,000
Controllable costs = (40%×350,000)+ 175,000= 315,000
Controllable contribution= $350,000 - 315,000 = 35,000
Controllable contribution = $35,000
Answer:
Price and quantity of chickens sold will increase.
Explanation:
Due to the prevalence of the mad cow disease, demand for cow meat will go down. Since chicken is a substitute for cow meat and there is a breed that grows twice as much with the same feeds, the demand for chicken will rise.
In economics when other factors apart from price changes it results in demand shift. In this instance demand will shift to the right.
As illustrated in the attached diagram, there will be higher quantity demanded at higher prices than before.
"The US Home Mortgage market initiated the 'global economic recession' of 2008-2009."
Biggest economic recession since the Great Depression back in the '30s.