A decrease in money demand for some reason other than a change in the price level causes ________

The slope of the supply of loanable funds curve represents the

alekssr [168]

Full Question:

The slope of the supply of loanable funds curve represents the

a. positive relation between the real interest rate and investment.

b. positive relation between the real interest rate and saving.

c. negative relation between the real interest rate and investment.

d. negative relation between the real interest rate and saving.

Answer:

The correct answer is C) The slope of the supply of loanable funds curve represents the negative relation between the real interest rate and investment.

Explanation:

Some government policies, such as investment tax credits, basically lower the cost of borrowing money at every real interest rate. Such policies make investing attractive and would increase the demand for loanable funds. Other policies, such as budget deficits, might increase the demand for loanable funds.

Cheers!

7 0

3 years ago

ACME labs bought a new inspection device for $182,730. The accounting department has estimated that the device will have an annu

oksian1 [2.3K]

Answer:

The salvage value taken is $16,368.34

Explanation:

ANSWER:

initial cost = $182,730

rate = 15%

n = 7 years

annualized capital cost = $42,442

salvage value = ?

first we will find the present worth.

annual worth = r * present worth / ( 1 - ( 1+ r) ^ - n)

42,442 = 15% * pw / ( 1 - (1+15%) ^ - 7)

42,442 = 0.15pw / ( 1 - (1.15) ^ -7)

42,442 = 0.15 pw / ( 1 - 0.37593)

42,442 = 0.15 pw / 0.6240

42,442 * 0.6240 = 0.15 pw

$26,486.48 = 0.15 pw

pw = $26,486.48 / 0.15

pw = $176,576.5343

pw also equals the initial investment + salvage value.

pw = initial investment + salvage value(p/f,i,n)

i = 15% , n = 7 years and pw will be taken negative here

-176,576.5343 = -182,730 + salvage value(p/f,15%,7)

-176,576.5343 +182,730 = salvage value(p/f,15%,7)

6,153.465 = salvage value * 0.3759

salvage value = 6,153.465 / 0.3759

salvage value = 16,368.34

so , the salvage value taken is $16,368.34

7 0

3 years ago

A process is said to operate within a protection domain which specifies the resources that the process may access. list the ways

kotykmax [81]

A domain can be realized in three different ways. The first way is by user, meaning that access depends on who the particular user is. The second way is how the domain is accessed, meaning, the procedure involved. The last way that a domain can be realized is through the process, meaning, the domain can be realized based on what process is being used to access it.

6 0

3 years ago

How do ethics and law govern how businesses conduct themselves ?

Evgesh-ka [11]

Answer:

Ethics and law play a large part in the way organizations may treat those who work for them. Both ethical and legal concerns deal with when employees can be hired and fired, how management may treat them and pay them and what kind of work environment they can expect.

Explanation:

8 0

2 years ago

Prior, Inc. has decided to raise additional capital by issuing $175,000 face value of bonds with a coupon rate of 10%. In discus

bogdanovich [222]

Answer:

cash 150,000 debit

discount on BP 47,500 debit

bonds payable 175,000 credit

warrants 22,500 credit

If the warrants were undetachabel they wouln't be able to be transfer in a secondary market thus, they will not be traded the accounting will only the 150,000 as bonds an dthe diffrence with the 175,000 as discount.

cash 150,000 debit

discount on BP 25,000 debit

bonds payables 175,000 credit

Explanation:

136,000 bonds 136,000/160,000 = 0.85

24,000 warrant 24,000 /160,000 = 0.15

160,000

bonds 150,000 x 0.85 = 127,500

discount on bonds: 175,000 - 127,500 = 47,500

warrants 150,000 x 0.15 = 22,500

8 0

3 years ago

A decrease in money demand for some reason other than a change in the price level causes _________.