Answer:
The level of saving = $450 billion - $400 billion= $50 billion
Marginal propensity to save = 1- marginal propensity to consume (MPC)=0.5
Expected consumption
MPC= change in Consumption/ change in income 200 billion * 0.5 = $100billion
Therefore consumption = 100 billion + 400 billion = $500 billion
Saving = $650 billion - $500 billion= $ 150 billion
Explanation:
Answer:
824.28
Explanation:
Market price of a bond is the total sum of discounted coupon cashflow and par value at maturity. This is a 4-year bond with semi-annual payment so there will be 8 coupon payment in total. Let formulate the bond price as below:
Bond price = [(Coupon rate/2) x Par]/(1 + Required return/2) + [(Coupon rate/2) x Par]/(1 + Required return/2)^2 + ... + [(Coupon rate/2) x Par + Par]/(1 + Required return/2)^8
Putting all the number together, we have
Bond price = [(4.5%) x 1000]/(1 + 7.5%) + [(4.5%) x 1000]/(1 + 7.5%)^2 + ... + [(4.5%) x 1000 + 1000]/(1 + 7.5%)^8
= 824.28
Answer:
the value of good increases (goes up)
An unfavorable balance of trade occurs when the value of a country's import exceeds the export.
<h3>What is an import?</h3>
It should be noted that an import simply means the goods and services that are brought into a country from another country.
In this case, unfavorable balance of trade occurs when the value of a country's import exceeds the export.
Learn more about trade on:
brainly.com/question/17727564
#SPJ1
Answer:
Asset
Explanation:
<em>In accounting/investment, cash in hand is generally considered to be an asset.</em>
<u>Cash in hand is considered a liquid asset due to the fact that it can easily be accessed or utilized to settle liabilities or acquire other assets. For example, cash in hand can be used to acquire properties, furniture, electronics, etc all of which are considered assets. </u>
Hence, the correct answer is asset.