All categories

3 years ago

How do Government price ceilings and price floors affect the economy? Select all that apply.

1 answer:

7 0

The following options are correct: A, B AND C.
Price ceiling and price floor are two price control methods which the government used to control price. Price ceiling is used to prevent prices from been too low while price floor is lowest price a commodity can be sold for .

You might be interested in

Scenario #1

bagirrra123 [75]

I will use a debit card because my parents add my allowance to my checking account. Other possible payment decisions I can make are to use a check.

3 0

3 years ago

An interest in supervising other workers would be useful for someone who wanted to become

natali 33 [55]

If you want to be able to supervise people than you should be a manager.

4 0

3 years ago

Read 2 more answers

WaterwayCorporation had net credit sales of $13100000 and cost of goods sold of $9070000 for the year. The average inventory for

brilliants [131]

Answer:

The inventory turnover for the period is 5

Explanation:

Inventory turnover is the ratio which stated that how many times the company replaces as well as sells the stock of goods during a specific year or period.

The formula for computing the inventory turnover is as:

Inventory turnover = Cost of goods sold / Average inventory

where

Cost of goods sold (COGS) = $9,070,000

Average inventory = $1,814,000

Putting the values above:

Inventory turnover = $9,070,000 / $1,814,000

Inventory turnover = 5

8 0

3 years ago

Metropolis National Bank is holding 2% of its deposits as excess reserves. Assume that no banks in the economy want to maintain

iris [78.8K]

Answer:

Increase in money supply = $200,000

Explanation:

Note: The given question is incomplete, missing part is as follow:

Metropolis National Bank

Balance sheet

Assets Liabilities

Reserves $60,000 Deposits $500,000

Loans $440,000

Computation:

Excess reserve hold = 2% × Deposits

Excess reserve hold = 2% × $500,000

Excess reserve hold = $10,000

Required reserve = Reserves - Excess reserve hold

Required reserve = $60,000 - $10,000

Required reserve = $50,000

So,

Required reserve ratio = [$50,000 / $500,000]100 = 10%

Multiplier(K) = 1 / Required reserve ratio

Multiplier(K) = 1 / 10%

Multiplier(K) = 10

Total Money = Person deposit + Excess reserve hold

Total Money = $10,000 + $10,000

Total Money = $20,000

Increase in money supply = Total Money × Multiplier(K)

Increase in money supply = $20,000 × 10

Increase in money supply = $200,000

7 0

3 years ago

Managerial accounting reporting by a public firm is required to follow the rules of GAAP.

VladimirAG [237]

Answer:

b. False

Explanation:

Only external reports which are used by various stakeholders (Investors, customers, tax authorities, banks, suppliers etc.) are required to follow reporting framework laid out in GAAP.

However, for Managerial reporting , no strict requirements are set for the preparation of reports as the management use various reporting styles to manage business performance. An example is the use of Variable Costing Income Statements that show the relationship between outputs and costs resulting from different activity levels.

4 0

4 years ago