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3 years ago

What do inflation rates measure

Business

1 answer:

Darina [25.2K]3 years ago

6 0

Answer:

The speed with which general prices are rising

Explanation:

Inflation measures the rate at which the general prices of goods and services are increasing in an economy. During inflation, the purchasing power of a country's currency is eroded. Inflation means a selected basket of goods will cost more this period than it did in the previous season.

The consumer price index or CPI is the most acceptable index used in determining the rate of inflation. Inflation may result from high economic growth where firms and individuals have increased incomes resulting in too much money in circulation. A moderate level of inflation is required to promote spending and sustain favorable economic growth

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Howard Co. had the following first-year amounts for a $7,000,000 construction contract: Actual costs $2,000,000 Estimated costs

Dmitrij [34]

Answer:

estimated loss from the project is $1,000,000

correct option is a. ($1,000,000)

Explanation:

given data

contract price = $7,000,000

Actual costs = $2,000,000

Estimated costs = 6,000,000

Progress billings = 1,800,000

Cash collected = 1,500,000

to find out

What amount should Howard recognize as gross profit (loss)

solution

we get in the amount to complete the project that is

amount to complete = contract price - Actual costs - Estimated costs

amount to complete = $7,000,000 - $2,000,000 - 6,000,000

amount to complete = - $1000000

so estimated loss on project

so that the total $1,000,000 loss must be recognize

so correct option is a. ($1,000,000)

5 0

4 years ago

The three contemporary management perspectives are the ______ viewpoints.

Anastaziya [24]

The answer to this question is: Sytems viewpoint, contingency viewpoint, and quality management
System viewpoint refers to an approach to problem-solving that see the problem at a whole. Contingency viewpoint is a developmental effort that made into managerial approach, and quality management refers to the effort to maintain the standard result of our tasks

6 0

3 years ago

Read 2 more answers

Career selection should be based on salary alone. Please select the best answer from the choices provided T F

Ksivusya [100]

Answer: False, career selection should not be based on salary alone.

Explanation: When choosing a career it is important to consider several aspects such as your abilities to perform the task the job requires and how much you would enjoy the job.

7 0

4 years ago

Read 2 more answers

Which one of these equations is an accurate expression of the balance sheet? Assets ≡ Liabilities −Stockholders’ equity Stockhol

Greeley [361]

Answer:

Stockholders’ equity ≡ Assets −Liabilities

Explanation:

The Balance Sheet equation is also known as the Accounting equation. It can be written in 3 ways as :

Assets = Equity + Liabilities

Equity = Assets - Liabilities

Liabilities = Assets - Equity

3 0

3 years ago

Wanda Sotheby purchased 120 shares of Home Depot stock at $148 a share. One year later, she sold the stock for $140 a share. She

Archy [21]

Answer:

Return on investment = -0.71%

Explanation:

The return on investment is the sum of the dividends earned and capital gains made during the holding period of the investment.

Dividend is the proportion of the profit made by a company which is paid to shareholders.

Capital gains is another type of the return made on an equity investment as a result of increase in the value of the shares. It is difference between the cost of the share and the value at the time of disposal.

Therefore, we can can compute the return on the investment as follows:

Total Return on investment =

(Capital gain/ loss + dividend )/purchase price × 100

Capital loss = (184 -140) × 120 = - 480

Dividend = 427

Commission = 34 + 39 =-73

Net loss on investment = - 480 - 73 + 427= -126

Return on investment = -126 /(148× 120) = -0.71%

Return on investment = -0.71%

5 0

3 years ago