Borrower must pay off loan
Answer:
a. 3,760
Explanation:
The computation is shown below:
Period Demand Weight Demand × weight
1 3,500 0.15 525
2 3,800 0.20 760
3 3,500 0.25 875
4 4,000 0.40 1,600
Total 3,760
We simply multiplied the demand with the weight to get the total.
Answer:
C. Governments have a difficult time fine-tuning the economy by using fiscal policy because there are several time lags and these are often variable.
Explanation:
Fiscal policy includes two important tools, one is taxation and the other is government spending, the balance of which is essential for the sustainable economy, however the collection of expected tax and the nature of spending (also include the priorities) takes time and certain variable factors e.g. economic growth (GDP), employment, inflation, etc makes it difficult for the government to fine tune the economy.
Answer:
$10.49
Explanation:
The computation of the net asset value of the fund is shown below:
= (Market value of the assets - market value of the liabilities) ÷ number of oustanding shares
where,
Market value of assets is
= (200,000 × $35) + (300,000 × $40) + (400,000 × 20) + (600,000 × 25)
= $42,000,000
So, the net asset value of the fund is
= ($42,000,000 - $30,000) ÷ (4,000,000)
= $10.49
Answer:
This leads to a reduction in net income
Explanation:
Manufacturing overheads refer to those costs which indirectly relate to a good's production. Examples of manufacturing overheads would include depreciation charged on equipments used for production, rent of the factory wherein production takes place.
The effect of recognition of $400 of estimated manufacturing overheads would be reduction in net income since their recognition raises the cost of production which reduces gross profit. Consequently this would reduce the net income.