Which type of business produces processed goods by changing raw goods into a more finished form?

Which of these statements about liquidity traps is false? Firms are unlikely to undertake investment during liquidity traps beca

nika2105 [10]

Answer:

The correct answer is: firms are unlikely to undertake investment.

Explanation:

The liquidity trap is a situation described in the Keynesian economy according to which, liquidity injections into the private banking system by the central bank do not lower interest rates or inject money into the economy and therefore do not stimulate economic growth as claimed by monetarism.

The liquidity trap occurs when people accumulate cash because they expect an adverse event, such as deflation, reduction in aggregate demand and GDP, an increase in the unemployment rate or a war. People are not buying, companies are not borrowing and banks are not lending either because they do not have enough solvency since the economic outlook is uncertain and investors do not invest because the expected returns on investments are low.

The most common characteristics of a liquidity trap are interest rates close to zero and fluctuations in the monetary base that do not translate into fluctuations in general price levels.

3 0

3 years ago

Selling and pledging accounts receivable LO C3 On June 30, Petrov Co. has $128,700 of accounts receivable. July 4 Sold $7,245 of

irakobra [83]

Answer:

Explanation:

The journal entries are shown below:

On July 4:

Accounts receivable A/c Dr $7,245

To Service revenue A/c $7,245

(Being service provided is recorded)

Cost of goods sold A/c Dr $5,000

To Merchandise inventory A/c $5,000

(Being inventory sold at cost)

On July 9:

Cash A/c Dr $19,200

Factory fee expense A/c Dr $800

To Accounts receivable A/c $20,000

(Being payment is received)

On July 17:

Cash A/c Dr $5,859

To Accounts receivable A/c $5,859

(Being cash is received)

On July 27:

Cash A/c Dr $10,000

To Notes payable A/c $10,000

(Being the amount is borrowed)

No journal entry required

4 0

3 years ago

With a framework in place, controls and risk become more measurable. The ability to measure the enterprise against a set of stan

weeeeeb [17]

Answer:

True

Explanation:

When a company as a framework to measure risk against, it can properly assess risk in different periods of time, depending of the risk score obtained within the framework.

This helps regulators because they can access an accurate primary information from the company itself (later on, they should probably compare that information against their own standards in order to prevent bias), and it also helps the company because it can see where it stands in terms of risk, which reduces uncertainty.

7 0

3 years ago

According to the objective theory of contracts, the intent to enter into an express or implied-in-fact contract is judged by t

Klio2033 [76]

Answer:

A

Explanation:

The reason is that it just makes the most sense. Therefor your answer is A) According to the objective theory of contracts, the intent to enter into an express or implied-in-fact contract is judged by the reasonable people standard

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4 0

2 years ago

Read 2 more answers

Suppose that the federal reserve decides to decrease the money supply with a $300 sale of treasury bills. Complete the tables th

ANEK [815]

The monetary base is a liability, whereas Treasury notes are assets.

tables that represent the financial position of the federal reserve and commercial banks after this open-market operation:

A $ 300, B $ 300, C $ -300, D $ 300

a negative sign use for reduced values.

<h3>What do we mean by asset?</h3>

A resource having economic worth that a person, business, or nation owns or manages with the hope that it will someday be useful is referred to as an asset. A company's balance sheet lists assets. They are acquired or produced to raise a company's value or improve the operations of the company. Physical commodities like equipment, real estate, raw materials, and inventories are considered assets. Intangible objects like patents, royalties, and other forms of intellectual property are also considered assets.

To know more about asset visit:

brainly.com/question/13848560

#SPJ4

3 0

1 year ago