Answer:
c. best utilization of scarce resources
Explanation:
Economics is the study of how society uses its scarce resources to meet the insatiable needs of its members. Resources are the inputs that a county uses to produce goods and services. They are the four factors of production.
Human needs are unlimited and cannot be satisfied with the available scarce resources, necessitating human beings to make choices. Economics will involve analyzing production decisions amidst limited resources. It also analyses how the goods produced are distributed to satisfy the different needs and wants of its members.
Answer:
$26250
Explanation:
The capitalized interest wil be = Average Accumulated Expenditures * Rate of Interest.
= 375000 * 7% = $26250
Answer:
Which one of the following is most apt to align management's priorities with shareholders' interests?-Holding corporate and shareholder meetings at high-end resort-type locations preferred by managers-Compensating managers with shares of stock that must be held for a minimum of three years-Paying a special management bonus on every fifth year of employment-Increasing the number of paid holidays that long-term employees are entitled to receive peppe
Answer:
Total PV= $2,736.39
Explanation:
Giving the following information:
Year Cash Flow
1 $ 870
2 950
3 0
4 1,540
<u>First, we need to calculate the real annual discount rate:</u>
Quarterly Discount rate= 0.08/4= 0.02
Real annual interest rate= [(1+i)^n] - 1
Real annual interest rate= [(1.02^4) - 1]
Real annual interest rate= 0.08243
<em><u>Now, we can calculate the present value of the cash flows:</u></em>
PV= Cf/(1+i)^n
Year 1= 870/1.08243= 803.75
Year 2= 950/1.08243^2= 810.82
Year 4= 1,540/1.08243^4= 1,121.82
Total PV= $2,736.39
Answer:
The effects of inflation in the U.S. trading partner, will pass through the U.S. economy in the form of exports: since the U.S. imports goods from ABC islands, the higher prices in the ABC islands will make imports from there more expensive, contributing to a small raise in inflation in the overall U.S. economy.
However, exports from ABC Islands are likely to be a small component of U.S. Aggregate demand, so the effect in overall inflation is likely to be small.
Despite this, the fed can step in and raise interest rates by contracting the money supply. This is contractionary monetary policy, and it is used when inflation is rising. It lowers the value of the U.S. dollar in international markets, but it increases output price level.