Answer:
Option B (150) is the correct answer.
Explanation:
Given:
Nominal GDP,
= $900
Money velocity,
= 6
As we know,
⇒ 
By putting the vales, we get
⇒
⇒ 
⇒ 
<span>Assets - equity = liabilities
So liability before the increase is:
300, 000 - 100, 000 = 200, 000
And if assets increases by 80, 000. Hence new assets = 380, 000. Liabilities increases by 50, 000; hence new liability = 250, 000.
New Equity = New Assets - New liability.
New Equity = 380, 000 - 250, 000 = 130, 000.</span>
Answer:
b. The slope of the budget constraint is the same for each woman.
Explanation:
Budget Line is the combination of two goods that a consumer can buy, given prices & money income (all spent).
Equation : p1x1 + p2x2 = m ;
where p1 & p2 are price of good 1 & 2 , x1 & x2 are quantities of good 1 & good 2 , m = money income
- Abby's Budget Line : 5I + 8N = 80
- Bobbi's Budget Line : 5I + 8N = 60
- Deborah's Budget Line : 5I + 8N = 40 [ I = Icecream, N = Novel ]
Slope of Budget Line represents change (sacrifise) of a good needed to get change (gain) of other good, given same prices & income.
Slope = ΔY/ΔX = Px / Py
Since prices are same for each woman, price ratios & hence the slope of budget line will also be same for all of them.
Answer:
b. Jacob should be hired at the $20 per hour wage rate
<u>Options</u>
a. Sophia should do the drafting work herself because she has the lower opportunity cost
b. Jacob should be hired at the $20 per hour wage rate
c. Sophia should not hire Jacob because it would be faster for her to do the work herself
d. Jacob should be hired, but only if he is paid more than $30 per hour
Explanation:
Sophia cannot fullfil their client request on time without hiring an employee Assuming Jacob is the best possible candidate for Sophie she should consider to hire it as three hours of Jabor will cost 60 dollars while an hour of his work is worth 90 dollars
Thus, making convinient to hire it as there is a profit of 30 dollars.
We should also conider jacob will earn experience over time and this will make it a better employee in the long-run.
Answer:
Make; $72,000
Working:
Make ($106*8000) 848,000
Buy [($120*8000 - 40,000)] 920,000
Make increases profits by 72,000