All categories

3 years ago

The tax multiplier is smaller in absolute value than the government purchases multiplier because some portion of the

1 answer:

4 0

The correct answer for the question that is being presented above is this one: "B) decrease in taxes will be saved by households and not spent, and some portion will be spent on consumer durable goods."

Here are the following choices:
A) decrease in taxes will be saved by households and not spent, and some portion will be spent on imported goods.
B) decrease in taxes will be saved by households and not spent, and some portion will be spent on consumer durable goods.
C) increase in government purchases will be saved by households and not spent, and some portion will be spent on imported goods.
D) increase in government purchases will be saved by households and not spent, and some portion will be spent on consumer durable goods.

You might be interested in

McCarthy Company has inventory... McCarthy Company has inventory of 8 units at a cost of $200 each on October 1. On October 2, i

KatRina [158]

Answer:

Ending inventory= $3,485

Explanation:

Giving the following information:

Beginning inventory= 8 units for $200 each

On October 2= purchased 20 units at $205 each.

11 units are sold on October 4.

under the FIFO (first-in, first-out) inventory method, the ending inventory is calculated using the cost of the last units incorporated into inventory.

Ending inventory= 17*205= $3,485

6 0

3 years ago

Vanguard has an overall (composite) WACC of 10%, which reflects the cost of capital for its average asset. Its assets vary widel

Svetradugi [14.3K]

Answer:

The projects which maximize Vanguard's shareholder wealth are Project A; Project B; Project D.

Explanation:

Projects which maximize the shareholder value are projects delivering Expected Returns which are higher than its risk-adjusted weighted average cost of capital (WACC).

As a result, Project A with Expected return of 15% and risk adjusted WACC of 12%; Project B with Expected return of 12% and risk adjusted WACC of 10%; Project D with Expected return of 9% and risk adjusted WACC of 8%; are the projects that maximize the shareholder's value.

On the other hand, Project C with Expected return of 11% and risk adjusted WACC of 12% is harmful to shareholder value.

8 0

3 years ago

People bring their abilities, goals, and experiences to each and every situation, which often changes the situation. Conversely,

kobusy [5.1K]

Answer:

interdependent person and situation factors.

Explanation:

Interpendent person refers to the type of person who realize that each individuals have their own negative and positive attributes, including themselves. This type of person realize that people need to rely on each other in order to cope with the negative attributes that they have.

Situation factors refers to a characteristic that might make a certain situation become unique from another.

Often time, an individual can be effective in handling a certain situation , but extremely inefficient when handling other situation. This happen because they have different abilities/experiences that added to their positive attribute. In order to survive a situation that they can't handle really well, people need to learn to become interdependent person.

7 0

3 years ago

Micromedia company offers computer training seminars on a variety of topics. In the seminars each student works at a personal co

Soloha48 [4]

Answer:

the break-even quantity is 18 students

Explanation:

Break Even point is when a firm neither makes a profit nor a loss

Break Even = Fixed Costs/Contribution per Unit

= $4800/($300-$30)

= 17.77777778

= 18 students

Please note that, the cost for the conference room, instructor compensation, lab assistants, and promotion is $4800 represents a fixed cost as this does not vary with the number of students taking the training seminars.

3 0

2 years ago

In the perfectly competitive gadget industry there are 10 firms with identical costs given by C = 500 + 20q + q2, none of which

IgorC [24]

Answer:

The explanation is below

Explanation:

A. Shutdown point is achieved when price equal AVC. when price lowers than the AVC, firm shutdown.

VC = q^2

AVC = q

So,

P = q is the shutdown point.

B. For profit maximizing level of output,

P = MR = MC

500 = 20 + 2q

q = 240 units

So, profit maximization level of output = 240 units

C. Firm level supply curve = MC curve above the shutdown point

Number of firms = 5

So,

Industry supply curve = 10*MC = 200+20Q

Industry supply curve = 200+20Q

It shows that MC curve above the shutdown point is supply curve.

4 0

3 years ago