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Maksim231197 [3]
3 years ago
13

Advanced Analysis) Suppose that the linear equation for consumption in a hypothetical economy is:

Business
1 answer:
natima [27]3 years ago
5 0

Answer:

0.8; 0.2; $360; 90%; 10%

Explanation:

Linear equation for consumption is as follows:

C = 40 + 0.8Y

suppose that income (Y) = $400

MPC = 0.8

Marginal propensity to save = 1 - Marginal propensity to consume

MPS = 1 - 0.8

       = 0.2

C = 40 + 0.8Y

C = 40 + 0.8 × 400

   = $360

Therefore, consumption is $360.

Average propensity to consume ( APC):

= Consumption ÷ Income level

= 360 ÷ 400

= 0.9

= 90%

We know that income is either consumed or saved, therefore,

Y = C + S

$400 = $360 + S

S = $40

Average propensity to save ( APS):

= Savings ÷ Income level

= 40 ÷ 400

= 0.1

= 10%

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aalyn [17]

Answer:

1. Present value

2. Market

Explanation:

Neumann Corporation is planning to issues bonds with a face amount of $2 million. If Neumann's accountant, Betty, wants to calculate the expected issue she should calculate the present value of the related future cash payments using the market interest rate.

3 0
3 years ago
Read 2 more answers
Universal Travel Inc borrowed $500,000 on November 1, 2018 and signed a twelve month note bearing interest at 6% Principal and i
horrorfan [7]

Answer:

Interest will be $5000

So option (A) will be correct option

Explanation:

We have given principal amount P = $500000

Rate of interest = 6 %

Time is November 1 to December 31

So time = 2 months = 0.1666 year

Interest is given by

Interest =\frac{principal\ amount\times rate\times time}{100}=\frac{500000\times 6\times 0.1666}{100}=$5000

So option (a) will be correct option

4 0
3 years ago
A store has two different coupons that customers can use. One coupon gives the customer $15 off their purchase, and the other co
andrey2020 [161]

Answer:

16.25;

g(f(x)) ;

76 ;

f(g(x))

Explanation:

For 15 off

f(x) = x - 15

For 35% off

g(x) = (1 - 0.35)x = 0.65x

g(x) = 0.65x

A.)

For the $15 off coupon :

f(x) = x - 15

f(x) 40 - 15 = 25

For the 35% coupon :

g(x) = (1-0.35)x

g(x) = 0.65(25)

g(x) = 16.25

B.)

Applying $15 off first, then 35%

Here, g is a function of f(x)

g(f(x))

Here g(x) takes in the result of f(x) ;

For the $140 off coupon :

f(x) = x - 15

f(140) = 140 - 15 = 125

For the 35% coupon :

g(125) = (1-0.35)x

g(124) = 0.65(125) = $81.25

C.)

x = 140

g(x) = 0.65x

g(140) = 0.65(140)

g(140) = 91

f(x) = x - 15

f(91) = 91 - 15

f(91) = 76

D.)

Here, F is a function of g(x)

f(g(x))

f(x) = (0.65*140) - 15

6 0
2 years ago
What is true about government budget deficits and surpluses since​ 1940?
Pani-rosa [81]
I think your answer should be c. Hope this helps. :)
5 0
3 years ago
The average annual return over the period 1926-2009 for the S&P 500 is 12.0%, and the standard
arsen [322]

Answer:

C) -30.6%, 54.6%

Explanation:

95% Confidence Interval = (Average Return - 2*Standard Deviation, Average Return + 2*Standard Deviation)

=(0.12 - 2*0.213, 0.12 + 2*0.213)

= -30.6%,54.6%

Therefore, The 95% confidence interval for  2010 returns is -30.6%,54.6%.

5 0
3 years ago
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