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4 years ago

Changes in technology such as computer automation that reduce production costs will __________ the supply line (shift right).

1 answer:

4 0

<span>Obviously, it will increase the supply line because when the cost or the price of the production reduce/decrease the supply line may increase. When the quantity of the product increase the prices of the product decrease this is the analysis of supply increase.</span>

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Assume there is an economy with a single bank, and the central bank sets the reserve requirement ratio at 5%. Assume also that t

Elza [17]

Answer:

An Economy with a Single Bank

a. The amount of required reserves = $100

The amount of actual reserves = $100

The amount of excess reserves = $0.

b. The total amount of loans, deposits, and money in the economy

= $40,000

c. The size of the money multiplier for this economy

= 20

Explanation:

a) Data and Calculations:

Reserve requirement ratio = 5%

Customer's deposit = $2,000

Amount of required reserves

= Initial deposits multiplied by reserve ratio

= $100 ($2,000 * 5%)

Actual reserves = $100

Excess reserves = $0

Total amount of loans, deposits, and money in the economy

= Initial Deposits/Reserve Ratio

= $40,000 ($2,000/0.05)

The size of the money multiplier for this economy = Total money supply in the economy divided by the initial money deposits

= $40,000/$2,000

= 20

b) The Money Multiplier refers to how the initial deposit of $2,000 leads to a bigger final increase in the total money supply of $40,000. It means that the money multiplier is 20 or that the initial deposit of $2,000 has multiplied by 20 to $40,000.

8 0

3 years ago

Suppose Ike’s Bikes is currently producing 100 bikes per month in its only factory. Its short-run average total cost is

Naddika [18.5K]

The short-run average total cost of Ike's Bikes of producing 100 bikes is $360.

<h3>What is the short-run average total cost ?</h3>

The short-run is a production period where some of the factors used in the production process are fixed and others are variable. The short-run average total cost is the total cost divided by total output. Total cost is the sum of fixed cost and variable cost.

Please find attached the complete question. To learn more about average cost, please check: brainly.com/question/26959638

6 0

2 years ago

Why is accelerated depreciation often favored for the corporation's set of tax books? It increases net accounting profits over t

Usimov [2.4K]

Answer:

It allows the depreciation tax savings to be realized earlier

Explanation:

Because the time value of money, it is better to realize the tax saving earlier than later. The accelerated depreciation generates a higher depreication expense on the first periods. Because the first periods are the more fragile of the business, this tax shield becomes substancially more useful than the tax shield on the later periods.

It is important to notice that the total depreciation expense will be the same regardless of the depreciation method. It is only the time at which this expenses are distrubtes what changes.

6 0

4 years ago

They want to make a profit of $55,498 Unit Variable costs = $11 Unit selling price is = $37 Fixed costs = $18,470 How many units

belka [17]

Answer:

2,845 units

Explanation:

To find the answer you need to consider that the profit is equal to the sales minus the costs.

Let's consider that x is the number of units sold

Sales= Price per unit*number of units sold

Sales= 37x

Variable cost= Cost per unit*number of units sold

Variable cost= 11x

Fixed cost= 18,470

55,498=37x-11x-18,470

55,498+18,470=26x

73,968=26x

x=73,968/26= 2,845

According to this, the answer is that they need to sell 2,845 units to make the desired profit.

6 0

3 years ago

Which of the following describes the goal that should be pursued when setting transfer prices? Minimize opportunity costs. Maxim

nata0808 [166]

Answer:

Establish incentives for autonomous division managers to make decisions that are in the overall organization's best interests (i.e., goal congruence).

4 0

4 years ago

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