1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
True [87]
4 years ago
10

Consider an island country called Arcadia. Assume that the aggregate price level is constant, the interest rate is fixed, and th

ere are no taxes in this country. Assume that an increase of $300 in autonomous investment leads to an increase of $900 in equilibrium income.
Required:
1. If the marginal propensity to import equals.0.10, the marginal propensity to consume must be?
Business
1 answer:
lozanna [386]4 years ago
3 0

Answer:

If the marginal propensity to import equals.0.10, the marginal propensity to consume must be 0.2333333

Explanation:

In order to calculate the marginal propensity to consume (MPS), we would have to use the following formula:

Multiplier =1/(MPS+MPI)

Multiplier =change in income/change in autonomous spending

Multiplier =$900/$300

=3

Therefore,  3=1/(MPS+0.1)

3MPS+0.3=1

3MPS=0.70

MPS=0.70/3=0.2333333

If the marginal propensity to import equals.0.10, the marginal propensity to consume must be 0.2333333

You might be interested in
This paragraph explains the activity of a holding company. Can someone please explain this in simple terms.
Igoryamba
This paragraph is trying to get across that this class have a company that they owe but they can’t provide service to other businesses because they don’t own or have an agreement with these other businesses.
4 0
4 years ago
Derek owns and runs a local motel, Sleep Away. He has just rented a billboard that says: "If your home is too far away, come Sle
True [87]

Answer: Strategic plan    

           

Explanation: In simple words, refers to the plan that helps an organisation to direct its operation for the maximum benefit. It focuses on how to attain objectives rather than what to attain. It determines the factors that are important for achieving goals and the steps that one has to take.

In the given case, the hotel is offering their customers several facilities so they can enjoy a healthy service.

Thus, we can conclude that the correct option is strategic plan.

4 0
4 years ago
Suppose the earnings per share of a stock is $2 and the current price/earnings (p/e) ratio is 10. what is the current price of t
Brums [2.3K]

The current price of the stock = $20

<h3>What is  stock?</h3>

The division of ownership of a corporation or company into shares is known as stock. Depending on the total number of shares, one share of stock represents a fractional ownership interest in the company.

<h3>What is mathematical operation?</h3>

An operation is a function in mathematics that converts zero or more input values, also known as operands, into a clearly defined output value. The operation's complexity is determined by the number of operands, sometimes referred to as arguments.

<h3>According to the given information:</h3>

The earnings per share of a stock is  = $2

the current price/earnings (p/e) ratio is =  10

the current price of the stock = P/E

                                             10 = P/2

                                               P = 10*2

                                                P = 20

The current price of the stock = $20

To know more about mathematical operation visit:

brainly.com/question/12809457

#SPJ4

3 0
2 years ago
Some time ago, julie purchased eleven acres of land costing $36,900. today, that land is valued at $214,800. how long has she ow
KATRIN_1 [288]
The formula is
A=p (1+r)^t
A future value 214800
P current value 36900
R rate of increases 0.06
T time?
We need to solve for t
T=log (A/p)÷log (1+r)
T=log(214,800÷36,900)÷log(1+0.06)
T=30 years
5 0
4 years ago
Orange County Shop follows the revenue recognition principle. Orange County services a bicycle on July 31. The customer picks up
mel-nik [20]

Answer:

a. July 31

Explanation:

According to the revenue recognition principle, the revenue is recorded when the revenue is realized or earned not when the cash is received. There is no effect on cash receipt in this principle

Whether cash is received or not, the revenue is recognized when the service is provided to a customer

According to the given scenario, the service is performed so it is on July 31

8 0
3 years ago
Other questions:
  • A representative from a prestigious industry association just emailed. She asks for your participation on an expert panel that w
    5·1 answer
  • Lois avoids crowded streets and stores, and rarely ventures to the theater or to church. she is particularly fearful of travelin
    5·1 answer
  • Metal Smelting, Inc., operates a plant¾a "major source"¾that emits hazardous air pollutants for which the Environmental Protecti
    15·1 answer
  • Which of the following are true?
    6·1 answer
  • Spencer Co. has a $360 petty cash fund. At the end of the first month the accumulated receipts represent $59 for delivery expens
    12·1 answer
  • What time does the stock market open central time?
    9·1 answer
  • Credit collections are ​% two months following the​ sale, ​% in the month following the​ sale, and ​% in the month of sale. The
    6·1 answer
  • Which of the following is a suggested policy on executive smartphone use?
    10·1 answer
  • Kubin Company's relevant range of production is 29,000 to 33,000 units. When it produces and sells 31,000 units, its average cos
    12·1 answer
  • When producers manage all marketing functions at the retail level they are employing a(n) distribution system.
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!