GDP is designed to assess the production of goods in a market economy by output. However, it is not efficient in accounting for public and private services that without output that are easily countable by the number of units produced. GDP is not also well suited in measuring improvements in the diversity and quality of goods and
services. It is also poor in estimating the depletion of resources. Finally, it doesn't also reflect the degradation
of the environment involved in the production process.
Answer:
(receive higher wages that reflect an increase in their value of marginal product.)
Answer:
The rate of return is 7.20%
Explanation:
a) Assuming you purchased the bond for $880, in order to calculate the rate of return you earn if you held the bond for 25 years until it matured with a value $5,000 we would have to calculate the following formula:
Rate of Return = [FV/PV]1/n - 1
Rate of Return= [$5,000 / $880]1/25 - 1 = [5.6818]0.04 - 1 = 1.0720 - 1 = 0.0720, or 7.20%
Rate of Return= [5.6818]0.04 - 1
Rate of Return= 1.0720 - 1
Rate of Return=0.0720, or 7.20%
The rate of return is 7.20%
Answer:
The correct answer is letter "B": product extension.
Explanation:
In International Business, product extension refers to the approach by which a firm introduces its product or service across borders without shaping the product according to the profile of each consumer in each region. Product extension is implemented to expand the business operations of a firm in an attempt of finding new consumers in new markets, thus, generating more profit.
<em>Product extension is likely to work only if customers' preferences and necessities are the same in different countries.</em>
Answer:
the depreciation expense on the equipment will be 1,785 for tax purpose.
Explanation:
We will look into the MACRS (Modified Accelerated Cost Recovery System)
table for a property of seven years placen into service in the 4th quarter:
Which give us 3.57%
now we multiply the basis by the coefficient and get the value for depreciation
50,000 x 3.57% = 1,785 depreciation expense under MACRS
