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Nookie1986 [14]
3 years ago
5

If the economy experiences a recession with a current spending gap $1,000 below full-employment output, and the marginal propens

ity to consume is 0.8, how much must government increase spending to restore the economy to full-employment GDP?
Business
1 answer:
gtnhenbr [62]3 years ago
5 0

Answer:

Change in Investment  (Government Spending) = $200

Explanation:

Multiplier = k =∆Y/∆I = 1/(1-MPC)

Needed ∆Y = $1000  ;  MPC = 0.8

1000/ ∆I = 1 / (1-0.8)

1000/∆I  = 1 / 0.2

1000/∆I  = 5

∆I  = 1000/5

∆I = 200

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Answer:

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The following data concerning the retail inventory method are taken from the financial records of Welch Company. Cost Retail Beg
maksim [4K]

Answer:

$ 168,000

Explanation:

Include both Mark-ups and Mark-Downs and Exclude beginning inventory

When LIFO Inventory Method is used to find out Ending inventory retail Value. Cost to Retail Ratio will be Applied for both Previous year ending Inventory and the Current Year addition To Calculates

the Previous year Ending inventory :

Cost to Retail Ratio : Ending inventory at cost / Ending inventory at Retail

For Current year Addition :

Cost to Retail Ratio : Current Year Addition in Cost /Current Year Addition in Retail

Current year addition in retail includes : Markup ,Markdown purchases

Kindly check the attached images below to see the step by step explanation to the question above.

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3 years ago
Which memo provided advanced general principles to consider in cases involving corporate wrongdoing in that it makes clear that
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Answer:

E. Thompson memo

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The name 'Thompson Memo' was used to honor the Deputy attorney General that first issued the memo in 2003. His name is Larry Thompson.

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The memo consist of several criteria that future prosecutors can use to determine whether a company should be punished or not. Those criterias are:

- The nature/seriousness of the offense

- Whether they did a similar 'mistake in the past

- Whether the company admit the mistake by their own or whether it's exposed by other people

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8 0
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In a promotion mix, ________ involves personally connecting with carefully targeted individual consumers to both obtain an immed
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Answer:

<u><em>Direct marketing.</em></u>

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Direct marketing works as a set of strategies whose objective is to promote the promotion of a company's products and services through direct contact with its potential audience.

It is a user-friendly strategy that translates into positive results for maintaining business / consumer interactions, creating brand satisfaction and value. Some examples of direct marketing are: telemarketing, telesales, direct mail, email marketing and others.

In order to be an effective strategy the company must select the target audience according to their needs, identify which approach will be most compatible with the internal strategy of the organization and identify marketing tools that translate the organizational values ​​and objectives.

4 0
3 years ago
If Patty Shoemaker estimates that her $400 weekly grocery bill will increase at an annual inflation rate of 5%, what should her
balu736 [363]

Answer:

the weekly grocery bill in 4 years is $486.2025

Explanation:

The computation of the weekly grocery bill in four years is shown below:

= Estimated amount × (1 + rate of interest)^number of years

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= $400 × 1.21550625

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We simply applied the above formula so that the correct value could come

And, the same is to be considered

6 0
3 years ago
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