8.

Assume that a hypothetical economy with an MPC of 0.9 is experiencing a severe recession. Instructions: In part a, round your an

Dahasolnce [82]

Answer:

$10 billion

Explanation:

Calculation for By how much would government spending have to rise to shift the aggregate demand curve rightward by $25 billion

Using this formula

Government multiplier spending=1/1-MPC

Where,

MPC=0.9

Let plug in the formula

Government multiplier spending=1/1-0.9

Government multiplier spending=1/0.1

Government multiplier spending=$10 billion

Therefore how much would government spending have to rise to shift the aggregate demand curve rightward by $25 billion will be $10 billion

6 0

3 years ago

Wingate Company, a wholesale distributor of electronic equipment, has been experiencing losses for some time, as shown by its mo

Vesnalui [34]

Answer:

Required 1.

Contribution format income statement

East Central West

Division Sales $434,000 $650,000 $500,000

Less Variable Expenses ($230,020) ($130,000) ($250,000)

Controllable Contribution $203,980 $520,000 $250,000

Less Controllable Fixed Costs :

Traceable fixed expenses ($261,000) ($357,000) ($204,000)

Controllable Profit/(Loss) ($57,020) $163,000 $46,000

Required 2.

2a. Calculation of Incremental Net Income - West Division

Incremental Sales ($500,000 × 14%) $70,000

Less Incremental Variable Expenses ($29,000)

Incremental Contribution $41,000

Less Incremental Fixed Expenses $0

Incremental Net Income/ (loss) $41,000

2b. Recommendation

Yes. The Increase in advertising is bringing a positive contribution towards the Company`s loss.

Explanation:

The Company`s loss will reduce by $41,000 to ($56,020) due to increase in advertising.

3 0

3 years ago

List three reasons that people should pay their taxes.

adelina 88 [10]

Improved Healthcare and Education

A significant chunk of the collected taxes is spent on improving healthcare in the country. There are government hospitals that offer medical services without any cost or at minimum cost. Over the years, the quality of service provided by government hospitals has improved by leaps and bounds, and it has only happened because of taxpayers paying tax.

Helps Build the Nation

The cost of running an entire country, especially one that is as large and populated as ours, is humongous. It is through the taxes we pay that the government can perform civil operations. In other words, without taxes, it would be impossible for the government to run the country.

Avoid Tax Back

When being confronted with back taxes we owe the government, we often think of ways to cut back on it. Well, most tax laws understand the hardships of every taxpayer. Though, tax services are available for those who are delinquent in paying their taxes, which is a helpful opportunity to people who don’t have available money or funds.

6 0

3 years ago

Read 2 more answers

It is necessary to cite a source because _____. the idea, work, or material is someone else's it is proper to give the author cr

son4ous [18]

Answer:

True

Explanation:

The reason is that the idea which the person is deriving from the work is someone else's which means not giving credit to the person is ethically and according to academic rules are incorrect. It is also important because it helps the reader to assess the authenticity of the paper. So the statement is correct.

7 0

4 years ago

Read 2 more answers

When a person is unable to make a decision because they have no way to process and weigh the risks and rewards in front of them,

Artemon [7]

C on edguinity (analysis paralysis)

4 0

4 years ago

Read 2 more answers