Answer:
The question has below options:
A. The unsold cars count as inventory investment for 2017. 2018 GDP is not affected.
B.The unsold cars count as consumption spending in 2018.
C. The unsold cars count in the inventory investment category for both years and count as consumption spending in 2018.
Option B is the correct answer
Explanation:
The unsold stock of 10 cars in 2017 is classified as investment since the cost of producing them is expected to yield returns in 2018 when they have been sold.
However, the unsold stock of 2017 becomes 2018 consumption of GDP since it relates to household expenditure in 2018, as a result it is accorded such classification.
It cannot be classified as government expenditure as the government is not the one purchasing the vehicle
Also, the ten cars have nothing to do with import or export as they are trade within the domestic economy
Answer:
I
Explanation:
The Uniform securities act is a framework that serves to protect investors as it guides the states securities regulation in managing security related fraud and also helps the security exchange commission's enforcement and regulation .
It allows the clients right to civil suit for damages under certain conditions except a situation such as when the advice that is the subject of the suit was given more than three years ago.
A civil suit can only be filed on the earlier of "within 3 years of the alleged infraction or 2 years of the discovering of the violation"
Answer:
5,409 books
Explanation:
to calculate break even point in units we can use the following formula:
break even point in units = total fixed costs / contribution margin per unit
- total fixed costs = $53,000
- contribution margin per unit = sales price - variable costs = $12 - $2.20 = $9.80
break even point in units = $53,000 / $9,80 = 5,408.16 ≈ 5,409 books
in $, that would equal = 5,409 books x $12 per book = $64,908
Answer:
The expected rate of return on the market portfolio is 14%.
Explanation:
The expected rate of return on the market portfolio can be calculated using the following capital asset pricing model (CAPM) formula:
Er = Rf + B[E(Rm) - Rf] ...................... (1)
Where:
Er = Expected rate of return on the market portfolio = ?
Rf = Risk-free rate = 5%
B = Beta = 1
E(Rm) = Market expected rate of return = 14%
Substituting the values into equation (1), we have:
Er = 5 + 1[14 - 5]
Er = 5 + 1[9]
Er = 5 + 9
Er = 14%
Therefore, the expected rate of return on the market portfolio is 14%.
