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levacccp [35]
3 years ago
13

Suppose that in 1984 the total output in a single-good economy was 10,000 buckets of chicken. Also assume that in 1984 each buck

et of chicken was priced at $10. Finally, assume that in 2005 the price per bucket of chicken was $16 and that 22,000 buckets were produced.
Required:
a. What is the GDP price index for 1994, using 2005 as the base year?
b. By what percentage did the price level, as measured by this index rise between 1984 and 2005?
c. What were the amounts of real GDP in 1984 and 2005?
Business
1 answer:
Dvinal [7]3 years ago
4 0

Answer:

a. 62.5

b. 60%

c. $160,000; $352,000

Explanation:

a. Price Index = (Price in year of interest/ Price in Base year) * 100

= (10/16) * 100

= 62.5

b. Rose from 62.5 in 1984 to 100 in 2005

= (100 - 62.5)/62.5

= 60%

c. Using 2005 as the Base year means that the Real GDP will be based on 2005 prices.

Real GDP 1984

= 10,000 buckets * 16

= $160,000

Real GDP 2005

= 22,000 * 16

= $352,000

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Camper's Edge Factory produces two products: canopies and tents. The total factory overhead is budgeted at $750,000 for the year
Pavel [41]

Answer:

Camper's Edge Factory

Departments                                  Cutting             Sewing

a. The total number of budgeted

   direct labor hours for the year  60,000            70,000

b. Products                                     Canopy          Tent

   Factory overhead per unit         $17.50            $40

Explanation:

a) Data and Calculations:

Total budgeted factory overhead = $750,000

                                               Canopy        Tent     Total

Direct labor hours  

Cutting                                       2                     1         3

Sewing                                       1                     6         7

Total direct labor hours            3                    7

Budgeted production units 20,000          10,000

Departments                              Cutting                        Sewing

Budgeted factory overhead  $350,000                     $400,000

Direct labor hours:

Canopy                                  40,000 (20,000 * 2)          10,000 (10,000 * 1)

Tent                                       20,000 (20,000 * 1)          60,000 (10,000 * 6)

Total direct labor hours        60,000                              70,000

Overhead allocation rates     $5.833                               $5.714

                         ($350,000/60,000)                              ($400,000/70,000)

Overhead per unit              $17.50 ($5.833 * 3)            $40 ($5.714 * 7)

               

5 0
2 years ago
Bonds often pay a coupon twice a year. For the valuation of bonds that make semiannual payments, the number of periods doubles,
garik1379 [7]

Answer:

$876,205.93

Explanation:

Calculation for the value of the Treasury note

FV= 1,000,000

N=3*2

N=6

PMT=3%*1,000,000/2

PMT=30,000/2

PMT= 15,000

I/Y=7.7/2

I/Y= 3.85

Using financial calculator to find the present value of the treasury note

Present Value = $876,205.93

Therefore the present value of the treasury note will be $876,205.93

3 0
3 years ago
Visit the eBay website and identify three ways a small business can use the website to support its operations.
Alex787 [66]

Answer:

The eBay website provides a platform for the small business to grow and do business using their sites.

Explanation:

eBay is a multinational e-commerce company situated on California. The company sells goods and items that is registered on its site.

Recently eBay, the e-commerce giant has pledge a 100 million dollar to support and help the small business of America. For this eBay is :

  • eBay is providing the new businesses in America a free of cost basic eBay store for a period of three months.
  • It is waiving off the fees for selling products for up to 500 sold products on eBay websites.
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8 0
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The Economy Tomorrow Suppose a person who is developing an app crowdfunds $15,000 and holds this as cash for future expenses. If
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Answer:

Question 1)

Decrease in money supply = Decrease in checking account / Required reserves ratio

Decrease in money supply = $25,000 / 0.05

Decrease in money supply = $500,000

NOTE: As per Answering Policy, first question is answered.

Explanation:

Question 1)

Decrease in money supply = Decrease in checking account / Required reserves ratio

Decrease in money supply = $25,000 / 0.05

Decrease in money supply = $500,000

NOTE: As per Answering Policy, first question is answered.

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The author of article "The Pentagon’s Virtuous Insurgency" asserts that there are four key takeaways from the conference discuss
r-ruslan [8.4K]

Answer and explanation:

Here is one of the key notes,

Even the Department of Defense recognizes that getting things done quickly now requires working around the system.

From the article it was stated that bureaucratic processes are agonizingly slow and this problem is being addressed by new defense department organization. These two organizations are the Defense Digital Service and Defense Innovation Unit Experimental.

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