1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Sophie [7]
3 years ago
6

When a US company purchases and imports wood from Brazil to use to build new houses, within the United States, this purchase inc

reases the investment consumption, government purchase, component of GDP, while also decreasing net exports by the same amount. Therefore, the purchase of wood from Brazil:_____1. An overall decrease2. No overall change 3. An overall increas in US GDP.
Business
1 answer:
Mariana [72]3 years ago
3 0

Answer:

The correct answer is 2. No overall change.

Explanation:

The aggregate demand is the total goods and services demanded by a country, at a certain price level, in a certain period of time.

The aggregate demand that can be accounted for measures exactly the same as GDP. So they are often used as synonyms.

To calculate aggregate demand, the same methods as for calculating GDP can be used, however, aggregate demand is associated with expenditure, so it is calculated by the product method, that is, from the point of view of what society has spent. This calculation takes into account the expenditure of families (private individuals), what has been spent on investment, the cost of public administrations, and finally, net exports, which is the difference between imports and exports In this way, the Aggregate Demand formula would look like this:

DA = C + I + G + (X-M)

You might be interested in
Which of the following scenarios might indicate that you have been a victim of identity theft?
shutvik [7]
Where are the answers? Don't have much to work with...
4 0
3 years ago
Question 4
SashulF [63]

1. The calculated capital budgeting techniques yielded the following results:

A. Accounting Rate of Return (AROR) is <u>28%</u>.

B. Payback Period Technique (PBP) is <u>5 years</u>.

C. Net Present Value Technique (NPV) is <u>RM33,588</u>.

D. Profitability Index (PI) is <u>1.056</u>.

2. The project should be accepted based on the positive results above.

3. The importance of capital budgeting techniques lies in the fact that they aid capital decision-making by measuring their probable outcomes.

<h3>What are capital budgeting techniques?</h3>

Capital budgeting techniques are capital investment evaluation tools.

Some of the capital budget tools include the Payback Period, Discounted Payment Period, Net Present Value, Profitability Index, Internal Rate of Return, and Modified Internal Rate of Return.

These capital budgeting techniques help management to evaluate capital projects and to choose investment strategies.

<h3>Data and Calculations:</h3>

Investment cost = RM600,000

Cost of capital = 12%

            Net Cash Flows      PV Factor     Present Value

Year 0     RM600,000               1              (RM600,000)

Year 1       RM100,000           0.893                  89,300

Year 2            110,000            0.797                  87,670

Year 3            121,000            0.712                   86,152

Year 4            133,100            0.636                 84,652

Year 5            146,410            0.567                  83,014

Year 6    RM400,000            0.507              202,800

Present value of cash flows =                 RM633,588

Net Present Value                                      RM33,588

Total Net Cash Flows = RM1,010,510

Average Net Cash flows = RM168,418 (RM1,010,510/6)

Accounting Rate of Return = Average Income/Initial Cost

= 28% (RM168,418/RM600,000 x 100)

Payback period = 5 years

NPV = Initial Investment - PV of net cash flows

= RM33,588

Profitability Index = Present value of cash flows/Initial Cost

= 1.056 (RM633,588/RM600,000)

Learn more about capital budgeting techniques at brainly.com/question/17159659

#SPJ1

8 0
2 years ago
LIFO uses the ______ unit costs for Cost of Goods Sold on the income statement and the ______ unit costs for Inventory on the ba
Tasya [4]

LIFO uses the last unit costs for Cost of Goods Sold on the income statement and the first unit costs for Inventory on the balance sheet.

<h3>What is LIFO?</h3>

LIFO means last in first out. It means that it is the last purchased inventory that is the first to be sold.

For example, if beginning inventory consists of 10 units at $10 per unit. In the middle of the month, 10 units were bought at $15 per unit. At the end of the month, 10 units were sold. Using LIFO, the cost of goods sold would be $150 ( 10 x 15). Ending inventory would be $100 ($10 x 10).

To learn more about LIFO, please check: brainly.com/question/13779572

3 0
2 years ago
Accounting standard-setters use the following process in establishing accounting standards:__________. A. Discussion paper, rese
Sergeu [11.5K]

Answer:

Option D Research, discussion paper, exposure draft, standard.

Explanation:

The reason is that the International Accounting Standard Board conducts the research which includes the issues arising in the current standard due to advancement in environment. This requires that the company consider all the valuable suggestions fromt the professionals around the world. After a great discussion, the IASB chooses the best recommendations and publishes exposure draft which to review the judgement made. After careful review of the exposure, IASB issues new international accounting standard which results in abandoning the application of previous international accounting standard in two years time and opting to the new international accounting standard.

4 0
3 years ago
Read 2 more answers
Which of the following is not a product cost under variable costing?
irakobra [83]
There are no options
3 0
2 years ago
Other questions:
  • Marcus and tony work for lombardo's pipe and concrete. mr. lombardo is preparing an estimate for a customer. he knows that maruc
    12·1 answer
  • Auditors must gather evidence, and obtain documentation around identified risks. A risk in the purchasing process is that a purc
    12·1 answer
  • The March 2011 announcement that AT&amp;T was acquiring T-Mobile USA from Deutsche Telekom is a _________ acquisition and is int
    7·1 answer
  • On January 1, 2019, Jannison Inc. acquired 90% of Techron Co. by paying $477,000 cash. There is no active trading market for Tec
    9·1 answer
  • When the stock price follows a random walk the price today is said to be equal to the prior period price plus the expected retur
    6·1 answer
  • "An economy is based on three sectorsdashagriculture​, ​manufacturing, and services. For each unit of​ output, agriculture requi
    6·1 answer
  • Exercise 11-6 Net present value LO P3 A new operating system for an existing machine is expected to cost $520,000 and have a use
    14·1 answer
  • Wilmington Company has two manufacturing departments--Assembly and Fabrication. It considers all of its manufacturing overhead c
    6·1 answer
  • Federally chartered banks and credit unions are run like businesses that make a profit.
    13·1 answer
  • The ____ is a private corporation owned by a consortium of commercial banks and industrial companies, but the ____ is a self-sus
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!