Is it true savings vehicles are never insured

The consumer surplus from water, which is cheap, is ______ than the consumer surplus from gold, which is expensive. The tota

bonufazy [111]

Answer: The correct answer is "D. greater; less".

Explanation: The consumer surplus from water, which is cheap, is <u>greater </u>than the consumer surplus from gold, which is expensive. The total utility from gold is <u>less</u> than the total utility from water.

8 0

3 years ago

Organic Laboratories allocates research and development costs to its three research facilities based on each facility's total an

spayn [35]

Answer:

$21,000,000

Explanation:

Ratio is used in allocating the research and development cost

This is the expression of relationship between two or more data showing the number of times one data contains or is contained in another data

Total research and development cost = $60,000,000

Revenue

Kentucky = $56,000,000

Arizona -= $ 100,000,000

Illinois = $84,000,000

Total = $240,000,000

Illinois allocation of research and development cost=

84,000,000/240,000,000*60,000,000 =$21,000,000

3 0

3 years ago

Maddie's shoe store donated hundreds of pairs of shoes to needy children at an inner city school. A news crew reported on the do

chubhunter [2.5K]

Answer:

publicity

Explanation:

Publicity involves creating an excellent reputation for a company's brand name. Publicly arises from positives messages from the media, and other sources such as the internet and word of mouth. An organization engages in activities that create a good relationship with the media and the public to build the desired publicity.

Publicity messages are not paid for, unlike advertising. In the case of Maddie, the business was engaged in a charitable event. The event was captured in the press, and Maddie brand name was mentioned, thus promoting its brand name.

3 0

3 years ago

A country is in the midst of a recession with real GDP estimated to be $4.5 billion below potential GDP. The government's policy

VARVARA [1.3K]

Answer:

a. The government needs to increase spending by $0.45 billion and decrease taxes by $0.5 billion.

b. The real GDP will fall short of potential GDP by $3.6 billion.

c. The real GDP will fall short of potential GDP by $4 billion.

d. If government overestimates MPC change in spending or taxes will be too small.

Explanation:

The GDP gap is $4.5 billion.

a. The marginal propensity to consume is 0.90.

Government spending multiplier

= $\frac{1}{1-MPC}$

= $\frac{1}{1-0.9}$

= 10

The government needs to increase spending by

= $\frac{GDP\ Gap}{Government\ spending\ multiplier}$

= $\frac{4.5}{10}$

= $0.45 billion

Tax multiplier

= $\frac{-MPC}{1-MPC}$

= $\frac{-0.9}{1-0.9}$

= -9

The government needs to decrease taxes

= $\frac{GDP\ Gap}{Tax\ multiplier}$

= $\frac{4.5}{9}$

= $0.5 billion

b. The marginal propensity to consume is 0.50.

Government spending multiplier

= $\frac{1}{1-MPC}$

= $\frac{1}{1-0.5}$

= 2

If the government increases spending by $0.45 billion,

The real GDP will increase by

= $Increase\ in\ spending\ \times\ Spending\ multiplier$

= $\$ 0.45\ \times\ 2$

= $0.9 billion

The real GDP will fall short of potential GDP by

= $4.5 billion - $0.9 billion

= $3.6 billion

c. Tax multiplier

= $\frac{-MPC}{1-MPC}$

= $\frac{-0.5}{1-0.5}$

= -1

If the government decreases taxes by $0.5 billion

The real GDP will increase by

= $$0.5\ billion\ \times 1$

= $0.5 billion

The real GDP will fall short of potential GDP by

= $4.5 billion - $0.5 billion

= $4 billion

d. If the government overestimates the value of the MPC, then its change in spending or taxes will be too small and real GDP will fall short of potential GDP.

4 0

3 years ago

The option of sticking with the current business lineup makes sense when

worty [1.4K]

Answer:

The correct answer is the option A: the company's present business offer attractive growth opportunities and can be counted on to create economic value for shareholders.

Explanation:

To begin with, the fact that a company faces the dilemma between continue with the current business lineup or change it in order to begin producing a new one by starting from zero then a lot of variables must be taken care of and considered, that is, that at the moment of making the final decision the managers must understand the opportunity costs that can affect the organization and moreover the benefits that the actual lineup makes. That is why, that at the time of sticking with the current business lineup it makes sense to continue with the current one when the company's present business offer attractive growth opportunities and can be counted on to create economic value for shareholders.

8 0

3 years ago