Answer:
lower investment and raise the interest rate.
Explanation:
Investment = savings
In this scenario, the marginal propensity to consume (MPC) is increasing which means that consumers will spend a larger proportion of their disposable income and save less. The marginal propensity to save (MPS) = 1 - MPC, so a higher MPC will result in a lower MPS. Lower savings = lower investment.
Since the savings level will decrease, businesses needed money to finance their activities (includes corporations, banks, small businesses, etc.) will need to pay a higher interest for the lower available savings. If the supply of a good or service decreases at all demand levels, the equilibrium price will increase.
Answer:
E) $250,000
Explanation:
As for the provided information, we know that the External Failure Cost is defined as the cost of meeting the failure in products after sales.
Warranty cost in form of warranty claims = $250,000
Note :
Cost to dispose the rejected products are the cost incurred before sales thus, not part of external failure.
Training is done prior to sales, thus, not an external failure cost.
Recall cost is also not an external failure cost.
Production losses again are incurred before sales.
Defective products are found at inspection stage before sales.
Inspection in between the process of production, thus before sales.
Correct option is:
E) $250,000
Matthew is experience an effect known as post-purchase dissonance or Buyer's remorse. it is comes in the sense of regret after having bought something. It normally comes after the purchase of an expensive item like real estate. It usually stems from resources invested, involvement of purchaser and whether the purchaser is fighting with the decisions as to whether the purchase is compatible with the his/her goals. For Matthews case it has been cost by the low cost of the product and also he could be feeling that he purchased the item in an ethically unsound way.
Answer:
A. The two sided specification process capability index is 1.47
Explanation:
The formula for calculating process capability index is :
( Upper specification Limit - Average of mean ) / 3 * Standard Deviation
CI = ( 22 - 19.8 ) / 3 * 0.5
CI = 1.47 approximately.
Answer:
Present value = $1,170.68
Explanation:
The value of the bond in 5 years will be:
PV of face value = $1,000 / (1 + 7%)¹⁵ = $362.45
PV of coupon payments = $110 x 9.1079 (PVIFA, 15 periods, 7%) = $1,001.87
Total value = $1,364.32
The current value of the bond is:
PV of face value = $1,364.32 / (1 + 12%)⁵ = $774.15
PV of coupon payments = $110 x 3.6048 (PVIFA, 5 periods, 12%) = $396.53
Present value = $1,170.68