Answer:
The effective purchasing purchasing power of the initial loan of $6,200,000 when the firm repays is $3,444,444
If the original purchasing power of the $6,200,000 is to be maintained the firm must repay $ 11,160,000
Explanation:
In computing the figures above, I adhered strictly to the hints given in the question the purchasing of the original should be calculated by dividing the original amount by 1 plus cumulative inflation rate of 80% and that the amount should be multiplied by 1 plus cumulative inflation rate to arrive the amount needed as repayment to maintain the purchasing of the initial loan amount.
Find attached for detailed computations
Answer:
When there is now demand for this type of labor
Explanation:
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Answer: d) a rise in input prices; a decrease in the number of sellers in the market; a rise in the price of a substitute in production.
Explanation:
Supply simply has to do with the amount of goods that a particular producer is willing to sell to economic agents at a particular price and at a given time.
It should be noted that rise in input prices; a decrease in the number of sellers in the market; a rise in the price of a substitute in production would cause a reduction in supply of goods and services.
This is because when the number of sellers reduce, the supply will also reduce as there are lesser people supplying the goods. Also, when the prices of input increases, it affects cost and supply reduces.
Therefore, the correct option is D.
Answer:
My answer is A) C) and D)
Explanation:
If I am wrong please tell me.
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