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3 years ago

It becomes easier for businesses to borrow money when

1 answer:

4 0

It becomes easier for businesses to borrow money when the federal reserve increases money supply. Money supply is the quantity of currency and other liquid instruments that are circulating in a nation's economy at a particular time. The central bank of a country can increase the money supply by purchasing government securities on the open market, thereby increasing available funds to private banks. Private banks are thus empowered to lend money to businesses.

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One factor that shifts the consumption schedule is household wealth. Households build wealth by spending their incomes as they e

yanalaym [24]

Answer:

the correct answer is *not spending all their current incomes.

Explanation:

if you look at all the other options, they are not creating wealth but depletes it away. the only way to build wealth is by investing and saving over time. ideally, by not spending all their current income.

6 0

3 years ago

If a borrower's monthly interest payment on an interest-only loan at an annual interest rate of 7.3% is $877, how much was the l

mihalych1998 [28]

Answer:

$144,200

Explanation:

7 0

3 years ago

Chiquita produces bananas for an average explicit cost of $0.25 per banana and sells 1 million bananas per week for a price of $

Sergio039 [100]

Answer:

Option (A) is correct.

Explanation:

Given that,

Implicit costs per week = $200,000

Average explicit cost per banana = $0.25 per banana

Per week bananas sold = 1 million

Explicit cost = Average explicit cost per banana × No. of banana sold

= $0.25 × 1,000,000

= $250,000

Total revenue = No. of banana sold × Selling price of each banana

= 1,000,000 × $0.50

= $500,000

Accounting profit = Total revenue - Explicit cost

= $500,000 - $250,000

= $250,000

Economic profit:

= Total revenue - Explicit cost - Implicit costs

= $500,000 - $250,000 - $200,000

= $50,000

5 0

3 years ago

How do I become a business man?

rjkz [21]

It depends. Do you want to start a business? If so, it costs alot of money. First you need to decide what you want you business to be, then you have to build a corporation and hire workers.

8 0

3 years ago

Read 2 more answers

The Dante Manufacturing Company is considering a new investment. Financial projections for the investment are tabulated below. T

evablogger [386]

Answer:

a) incremental net income

net income year 1 = ($16,500 - $3,500 - $8,000) x 0.65 = $3,250

net income year 2 = ($17,000 - $3,600 - $8,000) x 0.65 = $3,510

net income year 3 = ($17,500 - $3,700 - $8,000) x 0.65 = $3,770

net income year 4 = ($14,500 - $2,900 - $8,000) x 0.65 =$1,340

b) incremental net cash flow

cash flow year 1 = [($16,500 - $3,500 - $8,000) x 0.65] + $8,000 - $430 = $10,820

cash flow year 2 = [($17,000 - $3,600 - $8,000) x 0.65] + $8,000 - $480 = $11,030

cash flow year 3 = [($17,500 - $3,700 - $8,000) x 0.65] + $8,000 - $380 = $11,390

cash flow year 4 = [($14,500 - $2,900 - $8,000) x 0.65] + $8,000 + $1,670 = $12,010

c) project's NPV

NPV = -$32,380 + $10,820/1.13 + $11,030/1.13² + $11,390/1.13³ + $12,010/1.13⁴ = $1,093.13

4 0

4 years ago