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choli [55]
2 years ago
14

It is important for a good economic model to predict cause and effect so that it can?

Business
1 answer:
olya-2409 [2.1K]2 years ago
3 0

The ability to forecast cause and effect is crucial for a solid economic model since it enables it to both explain past events and foresee potential future ones.

A model of the economy's importance

Its main goal is to describe and examine the prices and volume sold in a market that is competitive. In relation to price and other factors, the equations of the model define the level of supply and demand (for example, income).

What conclusions do economic models draw?

A simplified representation of reality, an economic model enables us to observe, comprehend, and forecast economic phenomena. A model's goal is to simplify a complex, real-world scenario so that only the most important elements remain.

To know more about economic model

brainly.com/question/15212618

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Using the value-to-book version of the residual income valuation approach, the value-to-book ratio is determined as________.
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Using the value-to-book version of the residual income valuation approach, the value-to-book ratio is determined as <u>one plus the present value of future residual ROCE.</u>

<u />

Residual income is the earnings an individual has left in spite of everything private debts and prices are paid in personal finance. Residual earnings are the extent used to assist determine the creditworthiness of an ability borrower.

Basically, it's for the amount of cash that is left over after making the important bills. Residual income is a crucial metric because it is one of the figures that banks and lenders observe earlier than approving loans.

In monetary surroundings, residual earnings are the money that someone has left over after their charges are included every month. Passive earnings, but, nevertheless has the identical definition in a financial environment that it does in online commercial enterprise surroundings.

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3 0
2 years ago
A renter decides to leave a rental property and break their rental agreement. What will happen? A. The renter can be arrested fo
Sergio039 [100]
. The landlord can sue the renter
4 0
3 years ago
Read 2 more answers
The exchange gain or loss on repatriated funds from a foreign branch is calculated by multiplying the nominal amount of the fund
Verizon [17]

Answer: the difference between the exchange rate on the date of repatriation and the exchange rate used to translate the branch's pretax income.

Explanation:

Repatriation simply means converting of foreign currencies into local ones. Earning of income in foreign currencies, by a comoany are typically subject to risk regarding foreign exchange which could bring about a loss.

It should be noted that the exchange gain or loss on repatriated funds from a foreign branch is calculated when the nominal amount of the funds is multiplied by the difference between the exchange rate on the date of repatriation and the exchange rate used to translate the branch's pretax income.

6 0
3 years ago
The brinton clothing company wants to create and build brand awareness. It would use ________ advertising.
dolphi86 [110]

Answer:

Informative

Explanation:

It would use <u>informative</u> advertising

6 0
2 years ago
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Waterway Industries has a material price standard of $2.00 per pound. 6600 pounds of materials were purchased at $2.20 a pound.
GrogVix [38]

Answer:

The appropriate solution will be "$1320".

Explanation:

The given values are:

Material's actual quantity

= $6600

Standard price

= $2.00

Actual price

= $2.20

Now,

The material price variance will be:

= Actual quantity (Standard price - Actual price)

On substituting the values, we get

= 6600(2.00-2.20)

= 6600\times (-0.20)  

= 1320 ($)

6 0
3 years ago
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