e. $0
SEP PLANS ONLY PERMITS EMPLOYER CONTRIBUTIONS.FOR A SELF -EMPLOYED INDIVIDUAL,CONTRIBUTIONS ARE LIMITED TO 25% OF YOUR NET EARNINGS FROM SELF-EMPLOYMENT (NOT INCLUDING CONTRIBUTIONS FOR YOURSELF) UP TO $57,000 (FOR 2020) ; $56,000 FOR 2019.
Answer:
moral hazard
Explanation:
Banks reduce the risk of moral hazard when they monitor and supervise how their clients are using the loans and credits made to them.
Some types of credits do not require any type of monitoring or control, e.g. a credit card which a client can use basically however he/she wants to. But other types of credit that are taken for purchasing assets, e.g. a mortgage, must be used by the bank's client to specifically carryout the intended activity.
In economics, moral hazard refers to the tendency that an economic party can engage in unusually risky activities because the capital (money) that they are investing is not theirs and the negative effects of a potential loss will be suffered most by other parties.
Answer:
The correct answer is E
Explanation:
ROE termed as or stand as Return on Equity, which is described as the profitability ratio that evaluates the firm ability for generating the profits from its shareholders investment in the company or firm.
The formula to represent ROE is value of Net Income attributable to the equity shareholders.
ROE = Net Income agter Taxes / Shareholders Equity
And there is one more formula which is a disaggregation of ROE into the non- operating as well as operating components, which is as:
ROE = [ROE +(FLEV × Spread)] x NCI
Therefore, option A and C are correct.
Answer:
see calculation and working below
Explanation:
operating activities section
Net income $ 8,500
Adjust for changes in non- cash items :
Amortization expense $1,500
Adjust for changes in working capital :
Prepaid expenses increase ($ 3,000)
Inventory increase ($500)
Accounts payable decrease ($1,000)
Net Cash Provided by Operating Activities $5,500
Answer:
A. 600
B. 0
C. 0
D. -1100
E. -1000
Explanation:
For part A you are asked to find the change in GDP with the addition of paying a babysitter $600. The GDP beforehand was the total income from both Vinny and Sandra which is $1200 + $1000 = $2200. For these questions, you are being asked to find a change in GDP which would simply be the addition of $600. Similiary, for part B there is no change in GDP because they do not pay Sandra's mother, so the change in GDP is 0. For part C, since the payments are not reported, there is no change in GDP. Part C can be thought of as a reference to the shadow market and GDP from the shadow market is not recorded. Part D has a negative 1100 because they each go back to work part-time, Vinnie earning $500 per week and Sandra earning $600. The change in GDP would be negative because they are losing 1100 in order to care for a new child. For part E, Vinnie gives up all his income which would normally amount to $1000 per week. The change in GDP is therefore negative.
