Answer:
(a) 0.7
(b) 3.33
(c) -$210
(d) -$147
(e) -$1 trillion
Explanation:
(a) Marginal propensity to consume (MPC) = 0.7
(b) Multiplier of this economy:
= 3.33
(c) Decrease government purchases by $300 billion,
Initial change in consumption = Change in government purchases × MPC
= $300 × 0.7
= -$210 billion
(d) This decreases income yet again, causing a second change in consumption equal to:
= Initial change in consumption × MPC
= -$210 × 0.7
= -$147 billion
(e) The total change in demand resulting from the initial change in government spending is:
= Change in government purchases × Multiplier
= $300 × 3.33
= -$1 trillion
Answer:
a) <u>Direct labor rate variance </u>
=5000*(22.75-24)
=-$6250 Favorable
<u>Direct labor time variance</u>
=24*(5000-800*6)
=$4800 Unfavorable
<u>Total Direct labor cost variance</u>
=(5000*22.75)-(800*6*24)
=-$1450 Favorable
b) Direct labor debited to Work in process
=800*6*24
=115200
Answer:
"What does success look like for you?" And: "Do you have what it takes to get there?
Explanation:
Answer:
The effect that causes Corey's quantity demanded of a frozen dinner to increase is known as income effect
Explanation:
Income effect refers to the change in consumption pattern or in the amount of the good consumed as a result of changes in the consumer's utility and purchasing power. Income effect can be positive or negative.
Here, Corey derives some utility from consuming a frozen dinner (an inferior good). Therefore, as the price increases, the income effect will induce Corey (the consumer) to purchase more.
Answer:
$1,484,000
Explanation:
For calculation of operating cash flow first we need to compute the cash flow from assets which is shown below:-
Cash flow from assets = Cash flow to creditors + Cash flow to stockholders
= $20,000 + $75,000
= $95,000
Cash flow assets = OCF - Net capital spending - Change in net working capital
= $95,000 = OCF - $1,480,000 - (-$91,000)
= $95,000 = OCF - $1,480,000 + $91,000
= $95,000 = OCF - $1,389,000
OCF = $1,484,000
