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pishuonlain [190]
3 years ago
14

Identify how planned investment will change in each scenario. Airwings, a commercial airline manufacturer, becomes optimistic ab

out economic conditions after seeing reports of strong growth in consumer spending. Due to Airwings, planned investment The Federal Reserve announces an end to accommodative monetary policy, and is now implementing policy tools that will increase the real interest rate. Due to the Fed, planned investment In an effort to reduce constant budget deficits, Congress announces plans to increase the corporate income tax rate. Due to the Congress, planned investment A major recession has reduced consumption spending, which has hurt profit levels for Aston-Benz, a high-end car manufacturer. Due to the recession, planned investment
Business
1 answer:
kari74 [83]3 years ago
7 0

Answer:

See explaination for the details of the answer.

Explanation:

1) Increase

As business is optimistic about its future, such business will start capacity expansion to cater for consumer demand.

2) Decrease

Higher real interest rate simply means borrowing cost is higher for the firms and so that they will reduce the investment in respose to that.

3) Decrease

A lower tax means higher profits and firms can pass these benefits to consumers with lower prices, to employees with higher wages and to the government with tax on profit. However, if the rate of tax itself has been increased then in that case corporates will see higher tax as a dampener in sentiments and they might curtail investment plans.

4) Decrease

A recession means there will be lesser economic activity overall and demand will be lower so as the consumption. In such case, planned investment will be reduced.

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Country Farm Supply applies for a business loan from Farmers Credit Co-Op. Country Farm Supply owes McGregor money under another
Aliun [14]

Answer: must be in writing because it benefits McGregor.

Explanation:

From the question, we are told that Country Farm Supply applies for a business loan from Farmers Credit Co-Op. We are also aware that Country Farm Supply owes McGregor money under another business deal, and that McGregor wants to help Country Farm Supply get the loan so that it will be able to stay in business to pay him back, McGregor promises Farmer's Credit Co-Op that he will repay the loan if Country Farm Supply does not.

Therefore to be enforceable, McGregor's promise must be in writing because it benefits him. The the deal is between Farmer's Credit Co-Op and McGregor, hence, the promise must be in writing because this will make it valid and also applicable for future purpose in case McGregor isn't able to repay the loan he took .

4 0
3 years ago
Solemon Company has total fixed cost of $15,000, variable cost per unit of $6, and a price of $8. If Solemon wants to earn a tar
mojhsa [17]

Answer:

If Solemon wants to earn a targeted profit of $3,600, the number of units must be sold are 9,300 units.

Explanation:

In Solemon Company:

Contribution margin per unit = Sales price – Variable cost per unit = $8-$6=$2

The number of units must be sold to meet the target profit figure are calculated by using following formula:

The number of units must be sold = (Total fixed cost + Targeted profit) / Contribution margin per unit.

In there: Total fixed cost are $15,000

Targeted profit are $3,600

The number of units must be sold = ($15,000 + $3,600)/$2 = $18,600/$2 = 9,300 units.

8 0
3 years ago
Which of the following statements is best?
frozen [14]

Answer:

Option D I, II and IV only are true.

Explanation:

Conflict explanation:

The reason is that their is conflict between marketing and finance that greater the marketing, the greater is the cost to the company. Similarly the greater the production of unit is, the greater is the cost to the company. The conflict between marketing and production department is that greater the marketing of the product is, the greater are the number of units of the product must be produced by the production department. So the statement 1 is correct.

What we derived from conflict explanation?

Marketing objectives can be met by the production meets the demand of the customers. This means the higher is the marketing expense the greater is the stress on production department to produce more to meet demand. This means Statement 2 is also correct.

Statement 3 is incorrect because the higher the inventory levels are, the higher are the cost to company to hold these inventories. So here we have a conflict of finance and production department.

Statement 4 is correct because the primary objective of the production department is producing more to meet the maximum number of customers need and grasp economies of scale.

5 0
3 years ago
Elsa, the owner of Fertile Farm, sells Gina a right to camp on Fertile land overnight. Gina's right is _________.a. a leasehold
Sonja [21]

Answer:

B, a license

Explanation:

A license is an official permit issued by a person or body in authority to do, own or use a thing. A license could be granted as a sign of agreement between parties  on a particular thing.

From the question, Elsa gave Gina license to use her farm land as a camp for one night. After one night, the license expires.

I hope this helps.

6 0
3 years ago
If a radio station holds an online contest in which you must log in to its website and submit personal details such as name, pho
alukav5142 [94]

The complete question should be:

If a radio station holds an online contest in which you must log in to its website and submit personal details such as name, phone number, and e-mail in order to participate, the radio station is:

A.) Offering an exchange.

B.) Hoping to receive feedback.

C.) Overstepping its role.

D.) Implementing a CRM program.

E.) Behaving unethically.

Answer: Offering an exchange.

Explanation:

The radio station is giving their users an offer in the form of an exchange, where a prize is to be won in exchange for personal data submitted by their users. An exchange takes place between two or more individuals, where each individual gives away an item to receive another.

6 0
3 years ago
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