Which financial statement shows money moving in and out of the company during a period of time?

A closed economy has income of $1,200 billion, government spending of $220 billion, taxes of $170 billion, and investment spendi

Llana [10]

Answer: CONSUMPTION SPENDING = $730 Billion

PRIVATE SAVING = $300 Billion

PUBLIC SAVING = -$50 Billion

NATIONAL SAVING = $250 Billion

Explanation:

The missing figures are the Consumption Spending, Private Saving, Public saving and National Saving.

This is a closed economy so no imports.

Consumption Spending.

The Formula for GDP is

Y = C + I + G

Y is income

C is Consumption

I is Investment

G is Government Spending.

Making C the subject we have,

C = Y - I - G

= 1,200 - 220 - 250

= $730 billion

Private Saving is what people are left with after taxes and Consumption so,

= Y - T - C

= 1,200 - 170 - 730

= $300 billion

Public Saving is how much the Government spent vs what it received.

The formula would therefore be

= Taxes - Government Spending

= 170 - 220

= -$50 billion

National Saving is the amount in the Economy that was saved after accounting for Consumption and Government Spending.

= Y - C - G

= 1,200 - 730 - 220

= $250 billion

If you need any clarification do react or comment.

3 0

2 years ago

John is an entrepreneur who plans to enter a franchise contract with a hotel business. which of these is an advantage that John

umka2103 [35]

Answer:

The correct answer would be option C, He will be able to gain knowledge and support from the hotel business to run the franchise.

Explanation:

Franchise is basically a contract between two parties in which one of the party who is owning the business is ready to sell his business rights to use its name and products to the other party. The other party can open the same business with the same name and products or services and run that business. In this type of contract, a continuous help and support is given to the franchisee to run the business. So if John being an entrepreneur wants to enter into the franchise contract, then he will surly be able to gain knowledge and support from the hotel business to run the franchise.

3 0

3 years ago

Read 2 more answers

A professional office center is purchased for $475,000. The land value is 20% of the total acquisition cost. What is the annual

Vika [28.1K]

Answer:

$9,744

Explanation:

In the case of the annual IRS depreciation deduction, the time period for each category assets are different. Like for commercial real estate, the time period is 39 years, for residential real estate, it would be 27.5 years.

The computation is shown below:

= (Purchase value of professional office center × remaining percentage) ÷ (applicable time period)

= ($475,000 × 80%) ÷ (39 years)

= ($380,000) ÷ (39 years)

= $9,744

3 0

3 years ago

On April 1, a patent with an estimated useful economic life of 12 years was acquired for $1,500,000. In addition, on December 31

Tasya [4]

Answer:

April 1

Debit : Patent $1,500,000

Credit : Cash $1,500,000

December 31

Debit : Amortization $125,000

Credit : Accumulated Amortization $125,000

December 31

Debit : Impairment loss $6,000,000

Credit : Accumulated Impairment loss $6,000,000

Explanation:

Both the Amortization and Impairment loss reduce the value of assets. They are therefore expenses accounted in Income Statement.

Amortization : is the loss of value of an asset due to passage of time.

Amortization Expense = (Cost - Residual Amount) ÷ Useful Life

= ( $1,500,000 - $ 0) ÷ 12

= $125,000

Impairment loss : is the excess of the Carrying Amount of an Asset over its Recoverable Amount( Higher of Value in Use and Fair Value less Cost to Sell)

6 0

2 years ago

Help-. You and a friend are designing and selling artisan smartphone covers. The covers are decorated with tiny manufactured rhi

GuDViN [60]

I believe it would be capital. You have to invest in the jewels to complete the cases.

8 0

3 years ago