Behavioral finance and wealth management: how to build optimal portfolios that account for investor biases, 2ndedition

Nutka1998 [239]

Answer:

The answer is : People consume the goods they produce

Explanation:

Say's law could also be refereed to as Say's law of markets in Classical economics states that supply itself creates its own demand which is equivalent to people consuming what they produce.

3 0

3 years ago

In an expansion, taxes rise and government expenditures fall, and therefore act as automatic ________. Inflation is more like

Sergeu [11.5K]

Answer:

The correct answer is: stabilizers; destabilizer.

Explanation:

The automatic stabilizer is a government policy that correct fluctuations in the economy through their normal operation and hence they are called automatic stabilizers.

Taxes and government spending are examples of automatic stabilizers.

During an expansion, taxes increase with an increase in income and government spending decrease. These two without any intervention by the government automatically stabilize the economy.

Automatic destabilizer causes fluctuations by their normal operation. An example of destabilizer is inflation which increases during expansion and causes fluctuations without any intervention.

6 0

3 years ago

The fingerprinting of a suspect is part of what process?

lianna [129]

The booking process.

I hope this helps and have a good night! :D

4 0

3 years ago

Indicate the effect of each transaction during the month of October 20Y8 and the balances for the accounting equation after all

Leona [35]

Answer:

For better visualization, the answer is presented in a table

$\left[\begin{array}{ccccc}&Assets&=&Liabilities +&Equity\\1&45,000&=&&45,000\\2&-2,000&=&&-2,000\\Bal.&43,000&=&0&43,000\\3&5,000&=&&5,000\\Bal.&48,000&=&0&48,000\\4&&=&&\\Bal.&48,000&=&0&48,000\\5&20,000&=&20,000&\\Bal.&68,000&=&20,000&48,000\\6&-1,000&=&&-1,000\\Bal.&67,000&=&20,000&47,000\\7&8,000&=&&8,000\\Bal.&75,000&=&20,000&55,000\\8&-3,000&=&&-3,000\\Bal.&72,000&=&20,000&52,000\\9&-100&=&&-100\\Bal.&71,900&=&20,000&51,900\\\end{array}\right]$

Procedure details described below:

Explanation:

Opened a business bank account for Jones, Inc., with an initial deposit of $45,000 in exchange for common stock.

The cash is an asset for the company And Jones Is the Owner thus, asset and equity increase by 45,000

Paid rent on the office building for the month, $2,000.

The rent is an expense is an incurred cost to continue the operations of the business It decreases the equity and asset (cash used to pay the rent)

Received cash for fees earned of $5,000.

The fees are revenue from the business operations this is a realized gain, therefore, increases equity. Also, Assets increase as cash is an asset.

Purchased equipment, $7,000.

There is no change in the quantities but, the composition of the asset did change. Cash decrease while equipment increase.

Borrowed $20,000 by issuing a note payable.

The note payable is a future obligation to pay. It is a liability for the company assumed in exchange for an asset (cash)

Paid salaries for the month, $1,000.

Like rent, this is an incurred cost(expense) It decreases Equity also, assets as we use cash to pay it.

Received cash for fees earned of $8,000.

Exactly like the previous time, a realized gain generates an increase in equity and assets.

Paid dividends, $3,000.

The dividends are paid to the company's owners thus, the cash leaves the company into the owner's pocket. Both, assets and equity decrease (as there are fewer assets available for the owners to take)

Paid interest on the note, $100.

The interest also is an incurred cost thus, like salaries and rent expense we decrease equity and assets.

3 0

3 years ago

Question 4 of 10

Anon25 [30]

Answer:

A

Explanation:

A court-ordered action that directs parties to do or not to do something

5 0

3 years ago