The new level of saving is 12.8 billion for the mpc economy.
Setting a baseline consumption rate will be the first step. By dividing consumption by income, which results in 0.9 = C / 4 billion and a consumption value of 3.8 billion for an income of 4 billion, you can get the average inclination to consume.
Calculate the change in consumption, on the other hand. The marginal propensity to spend is determined by dividing the change in consumption by the change in income, keep that in mind. You obtain 0.9 = C/10bn as a result, changing your income by 9bn. Consumption rises by 9 billion as a result, reaching a new record of 9 plus 3.8 billion, or 12.8 billion.
Learn more about income at
brainly.com/question/16055983?referrer=searchResults
#SPJ4
Answer:
a. Project A requires an up-front expenditure of $1,000,000 and generates a net present value of $3,200.
Explanation:
a.
The company should accept project A because it provides a positive net present value of $3,200 that is the highest among all the projects.
b.
When the IRR of a project is lower than the required rate of return of the project, it will generate the negative net present value because at IRR the net present value of the project will be zero and at a higher rate than IRR it will be negative.
c.
The project with a profitability index of less than 1 generates a negative NPV because the present value of future cash flows is less than the initial cash outflow.
d.
Project D also generates a positive net present value but it is lower than project A. So, after comparing the results we will choose the project with higher NPV.
Answer:
export import net export
1. increases unchanged increases
2. unchanged increases decreases
3. unchanged increases decreases
4. unchanged increases decreases
5. increases unchanged increases
Explanation:
export would comprise of goods and services produced in the US that are been sold to foreign countries
Import would comprise of foreign produced goods and services that are been sold in the US
Net export would increase when export occurs and decrease when import occurs
Net export = exports – imports
When the French historian visits the US museum and the European family visits Disney, they are enjoying US services, thus export increases and net export increases
The purchase of books from Cambridge in UK, Panasonic camera and the visit to Japan constitutes import. These increases import and reduces net export
Financial statements include assets listed at historical costs. Hence, the assets are recorded at their historical cost.
<h3>What do you mean by historical costs?</h3>
The price paid when an asset was purchased is known as the historical cost. On a company's balance sheet, the majority of long-term assets are recorded at their historical cost.
One of the fundamental accounting principles outlined by generally accepted accounting principles is historical cost (GAAP). The use of historical cost is consistent with conservative accounting because it avoids overstating an asset's value.
Hence, Financial statements include assets listed at historical costs. Hence, the assets are recorded at their historical cost.
Learn more about historical costs:
brainly.com/question/27622433
#SPJ4
