It works through the relationship between interest rates and exchange rates in the transmission mechanism and through the relationship between interest rates in closed economies. On the other hand the impact of fiscal policy on aggregate demand has weakened.
Flexible exchange rate monetary policy has a strong ability to change AD.The exchange rate flow does not require central banks to hold large amounts of foreign exchange reserves to maintain exchange rates. Subsidies can therefore be used to stimulate economic growth through the accumulation of capital goods.
Fiscal policy affects aggregate demand through changes in administrative spending and taxes. These factors affect work and family life which in turn affect spending and investment. Monetary policy affects the money supply in the economy which affects interest rates and growth
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Answer:
$28.62
Explanation:
Calculation to determine what amount of revenue will be allocated to Math Fun in the package that contains all three products
First step is to calculate the Total revenue of three product if sold individually
Total revenue= $21 + $37 + $48
Total revenue= $106
Now let calculate the allocation of revenue to Math fun based on revenue proportion
Using this formula
Revenue allocation= Packaged revenue / Total individually revenue * Revenue of Math fun
Let plug in the formula
Revenue allocation= $82/106*37
Revenue allocation= $28.62
Therefore the amount of revenue that will be allocated to Math Fun in the package that contains all three products is $28.62
Answer:
PV= $4,903.38
Explanation:
Giving the following information:
FV= $35,000
n= 15 years
i= 14% compounded annually
<u>To calculate the initial investment required, we need to use the following formula:</u>
PV= FV/(1+i)^n
PV= present value
FV= future value
i= interest rate
n= number of years
PV= 35,000/(1.14^15)
PV= $4,903.38
Answer: Critical success factors (CSFs)
Explanation:
The critical success factor is one of the management element that helps in achieving the organizational main goals and their mission in an organization.
The main aim of the critical success factor is that it helps in evaluating all the key factor in the company for increase the performance and also helps in accomplishing the given task.
According to the given scenario, the Prometheus corporation is one of the large electronic manufacturing firm and each employee of this company contributing in the profits as it is categorized as critical success factor.
Therefore, Critical success factors (CSFs) is the correct answer.