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4 years ago

If consumer income increases by $100 million in the united states and the mpc is .6, by how much will consumption increase?

1 answer:

3 0

The marginal propensity to consume (MPC) is a measure of the proportion of extra income that will be spent on consumption. If an individual receives an extra $100 and spends $60 on consumption then the personâ€™s MPC is 0.60. If consumer income in the United States increases by $100 million and the MPC is 0.60 consumption in the US will increase by $60 million.

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Leah, Inc., is proposing a rights offering. Presently there are 400,000 shares outstanding at $54 each. There will be 25,000 new

MatroZZZ [7]

Answer: a. $22,725,000

b. 16.00 rights per new share

c. $53.47 per share

d. $0.53 per share

Explanation:

(a)-New Market Value

New Market Value = [Number of shares outstanding x Price per share] + [New shares issued x Price per share]

= [400,000 shares x $54 per share] + [25,000 shares x $45 per share]

= $21,600,000 + $1,125,000

= $22,725,000

(b)-Number of rights needed

Number of rights needed = Current number of shares outstanding / New shares issued

= 400,000 shares / 25,000 shares

= 16.00 rights per new share

(c)-Ex-rights price

Ex-rights price = New Market Value / Total number of shares outstanding

= $22,725,000 / [400,000 shares + 25,000 shares]

= $22,725,000 / 425,000 shares

= $53.47 per share

(d)-Value of a right

Value of a right = Current market price per share - Ex-rights price

= $54.00 per share - $53.47 per share

= $0.53 per share

7 0

3 years ago

Amerigo grew up speaking both English and Italian with his family, and he believes that knowledge of more than one language is a

alex41 [277]

Answer: B, Amerigo could work with school administrators, the principal, and private tutors to find the time, money, and classroom space for tutors to give after-school Italian lessons.

Explanation:

Edge 2020.

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3 years ago

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Mr. Stanley started a new business and created a product that raises the standard of living for people who use wheel chairs. Mr.

professor190 [17]

According to the given information, Mr Stanley would be considered an entrepreneur.
Hope this helps

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3 years ago

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I have a very quick question. So im applying for Early college and i need some future educational goals and maybe im just thinki

Reika [66]

Answer:

Explanation:

They are pretty much asking what you want to pursue. For example, if you are going for a career in Information Technology, one of your goals may be learn Robotics or Artificial Intelligence. Another goal may be to learn the necessary skills and work for a startup. The goals are anything that you want to achieve, and in this case it would be related to the field that you are going to study in the college that you are applying to. Therefore, simply write what you think you want your life to be like in the future with what you learn in college.

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3 years ago

According to Mendenhall and Oddou, which of the following dimensions that predicts success in a foreign posting strengthens an e

Ne4ueva [31]

According to Mendenhall and Oddou self-orientation predicts success in a foreign posting strengthens an expatriate's self-esteem, self-confidence, and mental well-being.

Option: D

Explanation:

Mendenhall and Oddou belief that self-orientation is beneficial to have assumption regarding success in foreign posting capacities by showcasing sufficient amount of self-confidence and mental stability.

Self-orientation allow the representative to arrange the strategy or upcoming conversation in mind according to on going scenario, this is only possible when one is having a stable self-oriented brain rather then doubtful, full of questions, nervous mode or any unimpressive act.

Here, they have correlated self-orientation with positive side of business inspite of being only self concern and not considering other factors.

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3 years ago