The journal entry to record the payment of the note and entire interest on april 1, 2017 is as follows; Debit Notes Payable $4,000, Debit Interest Expense 120, Debit Interest Payable 40, <span>Credit Cash $4,160.
Answer: In times of crisis or economic boom, changes such as the substitution effect and income effect may occur; in this case, Daniel suffers a variation in his work in the increase in the value of the hours worked and the decrease in hours worked per week; this can generate, or positive changes such as spending more time with his family and the appreciation of its workforce, as adverse effects, in which it stands out to be forced to respond to higher expenses due to the increase in the cost of living.
Interest Rate Effect can be defined as the rate that occur due to the change in borrowing and spending attitude of a person after the interest rate might have been adjusted because in a situation where the interest rates rises it will enable both businesses and consumers to cut back on their spending the result of which will cause earnings to fall and stock prices to drop due to the fact that as the interest rates move up, the cost of borrowing becomes more expensive which is why interest rates that are high tend to always reduce inflationary pressures and cause an appreciation in the exchange rate
Cyclical unemployment is the change in job availability due to upswings and downswings in the business cycle. If the economy is robust and booming, cyclical unemployment is at its lowest. When the economy is in a recession, cyclical unemployment is at its highest.