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3 years ago

In our aggregate expenditure model we assume that:

Business

1 answer:

maria [59]3 years ago

7 0

Answer:

The correct answer is regarding the model, is that an individual firms prices are flexible but the level of the price is fixed.

Explanation:

The aggregate expenditure model is the model in which the sum or total of all the expenditures are undertaken in the economy with the factors during the particular time period.

The equation is:

AE = C (Consumption) + I (Investment) + G (Government) + NX (Net Exports)

In this model, it is assumed that the prices of the individual firm are flexible whereas the price level is fixed.

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In a certain country, the labor force is 30 million and the unemployment rate is 5 percent. what is the amount of unemployed ind

meriva

Given the number of the total population who belonged in the work or labor force which is 30 million, and the recorded percentage of those who are unemployed is 5 percent, this means that a number of unemployed individuals in this country is 1,500,000. Hope this helps.

3 0

3 years ago

Mechem Corporation produces and sells a single product. In April, the company sold 2,000 units. Its total sales were $163,000, i

Scilla [17]

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

The company sold 2,000 units.

Total sales were $163,000

Total variable expenses were $80,900

Total fixed expenses were $57,800.

The contribution margin income statement follows this structure:

Income statement:

Sales

-Total variable cost

= contribution margin

-fixed costs

= net operating income

1) Income statement

Sales= 163,000

Total variable cost= (80,900)

Contribution margin= 82,100

Total fixed costs= (57,800)

Net operating income= 24,300

2) First, we need to calculate the unitary selling price and unitary variable cost:

Selling price= 163,000/2,000=$81.5

Unitary variable cost= 80,900/2,000= $40.45

Sales= 1,900*81.5= $154,850

Total variable cost= (1,900*40.45)= (76,855)

Total contribution margin= 77,995

Total fixed cost= (57,800)

Net operating income= 20,195

6 0

3 years ago

(Ignore income taxes in this problem.) The management of Stanforth Corporation is investigating automating a process. Old equipm

solniwko [45]

The simple rate of return on the investment is closest to: 34.5%

Explanation:

Given:

Current salvage value = $15,000

Cost of new machine = $408,000

Cash operating cost = $141,000

Simple Return on Investment is Calculated as follows:-

Simple rate of return on the investment = Net Operating Cost Saved/ Initial Investment X 100

So Simple Return = 141000/408000 X 100

= 34.5%

The simple rate of return on the investment is closest to: 34.5%

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4 years ago

Oscar owns a building that is destroyed in a hurricane. His adjusted basis in the building before the hurricane is $130,000. His

Alinara [238K]

Answer: $132,000

Explanation:

Oscar's new basis on the building will be the basis of the old building plus any additional investment he added.

This is the because there is no gain on the $140,000 he received because it was an Involuntary Conversion amount and he reinvested it into another building within a period of 2 years.

As there is no gain, the building will retain it's original basis but will add any amount outside the involuntary replacement cost of the building.

The Additional basis will be,

= Cost of building - Insurance

= 142,000 - 140,000

= $2,000

The Basis for the new building is,

= 130,000 + 2,000

= $132,000

3 0

3 years ago

_____, as a conflict management strategy, is the political equivalent of "win some, lose some" and is possible in a long-term re

Lady bird [3.3K]

Answer:

compromising

Explanation:

Compromising—when you compromise or “split the difference” in a conflict which is the political equivalent of "win some, lose some" and is possible in a long-term relationship where there is time for give-and-take exchange.

5 0

3 years ago