Future expectations for the mentioned items are as follows-
- Gold- The price would appreciate in the times to come
- Oil- The price would be at floor bottom in coming times with minor upticks at intervals
- Japanese Yen- The currency would depriciate with respect to USD
Explanation:
Given the Corona epidemic, ensuing US-China trade wars, US-Iran fiasco and dampening global growth prospects, the global economy is going through a phase of slowdown, if not recession.
Hence the general future expectation for the commodities are as follows-
- Gold- With global growths deepening and share markets crashing, investors would probably store their wealth in the form of gold. This would lead to appreciation in the gold prices. The prices have spiralled upwards in the last few months and would continue doing so in times ahead.
- Oil- Lack of demand, forced lockdowns of the economy, disrupted global growth has reduced the demand of the oil. Hence the demand graph has fallen and consequentially the prices of oil which is a floor value. It would continue to remain doing do so in times ahead.
- Japanese Yen- Yen would depreciate during this time due to the strengthening of the US dollar. This depreciation would continue.
Answer:
n = 150.06
Explanation:
Since the confidence c = 95% = 0.95
α = 1 - 0.95 = 0.05
z score of 0.025 is the same as the z score of 0.5 - 0.025 = 0.475
From the probability table, 
Also E = 0.08
Therefore the sample size n is given by:
n = 150.06
The sample must be at least 150.06 to be 95% sure that a point estimate will be within a distance of 0.08 from p
Answer: c. $22,000 increase in operating income
Explanation:
Expected decrease in revenues -$280,000
Expected decrease in total variable costs (-$200,000)
Expected decrease in fixed costs <u> (-$102,000)</u>
Expected increase(decrease) in operating income $22,000
<em>Costs are to be deducted from revenues so if the costs are decreasing, the mathematical treatment would be to add the decrease to the revenues which is how the above was calculated. </em>
Answer:
Explanation:
If the government changes taxes without changing government spending to eliminate the recessionary gap, will the minimum required change in taxes be greater than, smaller than, or equal to the minimum required change in government spending?
The minimum required change in taxes will be greater than that of the minimum required change in government spending
tax multiplier (mpc/mps = 0/8/0.2=0.4) is smaller than the government spending multiplier (1/mps= 1/.2=5) because of the initial increase in disposable income caused by the decrease in income tax will be saved rather than spent
Answer:
$113.80 per unit
Explanation:
The computation is shown below:
For computing the total production engineering cost per unit, first we have to determine the variable cost per hour which is shown below:
Variable cost per hour = ($796,500) ÷ (9,000 machine hours) × (9,300 machine hours)
= $823,050
And, the fixed cost = $235,290
So, the total cost would be
= $823,050 + $235,290
= $1,058,390
So, the total production engineering cost per unit would be
= $1,058,390 ÷ 9,300 machine$ hours
= $113.80 per unit
