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Dahasolnce [82]
3 years ago
5

Assume that the following data characterize a hypothetical economy: money supply $200 billion; quantity of money demanded for tr

ansactions $150 billion; quantity of money demanded as an asset $10 billion at 12 percent interest, increasing by $10 billion for each 2-percentage-point fall in the interest rate. a. What is the equilibrium interest rate? Explain. b. At the equilibrium interest rate, what are the quantity of money supplied, the total quantity of money
Business
1 answer:
Whitepunk [10]3 years ago
7 0

Answer:

A. The interest rate is 4 percent.

B. The amount of money supplied is 200 bilion dollars and the equilibrium quantity demanded is 200 bilion dollars.

Explanation:

A. To answer this questions you use the table below. The first column is the interest rate. The second column is the quantity of money demanded as an asset at each rate. The third column is the quantity of money demanded for transactions, which is independent of the interested rate. The fourth column is the actual (total) quantity of money demanded at each interest rate, which is the sum of columms 1 and 2. The fifth column is the quantity of money supplied at each interest rate. You wil find the equilibrium interest rate by equating the quantity supplied with the quantity demanded, which occurs at the interest rate of 4 percent.

B. It also follows from the answer above that the equilibrium quantity of money supplied is 200 bilion dollars and the equilibrium quantity demanded is 200 bilion dollars. You can decompose the quantity demanded into its separate components, where the amount of money demanded for transactions is 150 billion dollars and the amount of money demanded as an asset is 50 billion dollars.

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kow [346]

Answer:

D. specific performance.

Explanation:

Specific performance -

It is the act or the order by the court , in order to solve an any conflict for the law of contract .

This is basically used to solve any issue related to land , property or any goods or services , this practice is used in case of any personal service .

It helps the people to against any form of injustice or malpractice .

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6 0
3 years ago
assume the fixed overhead per unit was $1.50 for both the beginning and ending inventory. what is net income under absorption co
Nesterboy [21]

Answer:

Net income under absorption costing is <u>$904,370</u>.

Explanation:

Note: This question is not complete and it contains an error in the only available data. The complete correct question is therefore provided before the question is answered as follows:

Kluber, Inc. had net income of $908,000 based on variable costing. Beginning and ending inventories were 55,800 units and 53,600 units, respectively. Assume the fixed overhead per unit was $1.65 for both the beginning and ending inventory. What is net income under absorption costing?

The explanation to the answer is now given as follows:

Variable costing is a costing technique that takes only the variable cost into consideration and exclude the fixed manufacturing overhead from the production production cost of a product.

Absorption costing is a costing technique in which the fixed overhead cost of production is allocated to products produced.

For this question, net income under absorption costing can be determined as follows:

Net income based on variable costing = $908,000

Total beginning fixed overhead = Beginning inventories * Fixed overhead per unit = 55,800 * $1.65 = $92,070

Total ending fixed overhead = Ending inventories * Fixed overhead per unit = 53,600 * $1.65 = $88,440

Adjustment for fixed overhead for the period = Total ending fixed overhead - Total beginning fixed overhead = $88,440 - $92,070 = -$3,630

Net income under absorption costing = Net income based on variable costing + Adjustment for fixed overhead for the period = $908,000 + (-$3,630) = $908,000 - $3,630 = $904,370

Therefore, net income under absorption costing is <u>$904,370</u>.

7 0
3 years ago
Firefly Inc. sold land for $225,000 cash. The land had been purchased five years earlier for $275,000. The loss on the sale was
solmaris [256]

Answer:

$225,000

Explanation:

The cash flow statement is divided into three categories investing, operating and financing. The investing activity refers to those activities which deal in buying and selling for long term asset in cash. The buying is cash outflow while the selling is a cash inflow.  So the amount reported under the investing activity is $225,000 as cash inflow.

8 0
3 years ago
2. As a teenager, why might creating a budget be important?
Vadim26 [7]

A budget can help teens start to discern between genuine needs and wants and will show them where their money is going each month. A good budget will provide for both needs and at least some wants and should be flexible and relatively easy to use and understand.

6 0
2 years ago
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Vaselesa [24]

The action that Anita would have to take for the result of the foreclosed sale would be to Make a positive adjustment to the sales price of the foreclosed home.

<h3>What is a house appraisal?</h3>

This is the term that is used to refer to the unbiased opinion that Anita is going to have about this house. It is based on her professional opinion. The appraisal is required when there is a need to buy a property or to sell one.

In this question the action that has to be taken would be to Make a positive adjustment to the sales price of the foreclosed home.

Read more on appraisals here:

brainly.com/question/7595736

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3 0
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