Answer:
2. raises interest rates, causing aggregate demand to shift to the right.
Explanation:
Expansionary Fiscal Policies try to increase Aggregate demand by :-
- Decrease in taxes by government ; or / and
- Increase in government spending
The government injecting more money in public : by reduced taxes & increased govt spending - increases the aggregate demand .
The government finances this increased public spending with same or decreased taxes - through borrowings.
The government borrowing funds reduces the loanable funds in capital market, this loans' excess demand in capital markets increase their price i.e Interest.
Answer:
The current price of the stock is $99.76
Explanation:
The price of a stock which pays a constant dividend throughout for an indefinite period of time can be calculated using the present value of perpetuity formula. The stock qualifies as a perpetuity as it pays a constant cash flow after equal intervals of time and for indefinite time period.
The formula for the present value of perpetuity is,
Present Value = Cash Flow or Dividend / r
Where,
Present value = 4.18 / 0.0419
Present value = $99.76
So, the current price of the stock is $99.76
Answer:
The correct option is A
Explanation:
Contribution Margin = Sales - Variable expense
= $150,000 - $120,000
= $30,000
Doombug's Profit Margin = Avoidable fixed expenses - Contribution Margin
= $8,000 - $30,000
= ($22,000)
Increase or Decrease in net operating income = Additional contribution margin - Doombug's Profit Margin
= $16,000 - ($22,000)
= ($6,000)
Therefore, there is decrease in net operating income of Doombug. So, there is decrease of $6,000.
The statement that applied to the given situation is "Listing associate that needs to present the verbal offer to the seller and act as the individual seller or transaction agent" is considered.
The information related to the transaction agent should be as follows:
- The purchasers & sellers should be assisted in the real estate transactions having no financial interest.
- It is treated as a neutral third party but at the same time, it is bounded as per the law and the ethical principles.
The other statements should not be relevant.
So, here we can conclude that a listing associate that needs to present the verbal offer to the seller and act as the individual seller or transaction agent" is considered.
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