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3 years ago

When is "deflation" most likely to occur in the business cycle?

1 answer:

8 0

In economics, deflation can be described as a decrease in the general price level of goods and services or currency appreciation with respect to the same goods and services. Deflation occurs when the inflation rate falls below 0% (a negative inflation rate). Inflation reduces the real value of money over time; conversely, deflation increases the real value of money – the currency of a national or regional economy. This allows one to buy more goods and services than before with the same amount of money.

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MC Qu. 112 A company is considering... A company is considering the purchase of new equipment for $105,000. The projected annual

Alina [70]

Answer:

Net Present Value = $660.98

Explanation:

The Net present value (NPV) is the difference between the Present value (PV) of cash inflows and the PV of cash outflows. A positive NPV implies a good and profitable investment project and a negative figure implies the opposite.

NPV of an investment:

NPV = PV of Cash inflows - PV of cash outflow

PV of cash inflow = A× (1- (1+r)^(-n))/r

A- annul cash inflow, r- 8%, n- 3

PV of cash inflow= 41,000× (1- 1.08^(-3))/0.08

= 105,660.98

Initial cost = 105,000

NPV = 105,660.98 - 105,000

= $ 660.98

3 0

3 years ago

One way in which international trade results in a higher standard of living?

Whitepunk [10]

I will will engage with this "The more a nation engages in International Trade, the better its Standard of Living will be, because no nation can make everything."

3 0

3 years ago

Gitano Products operates a job-order costing system and applies overhead cost tojobs on the basis of direct materialsused in pro

IgorLugansk [536]

Answer:

$3,400

Explanation:

The computation of predetermined overhead rate for the year is shown below:-

Predetermined Overhead Rate = Estimated Manufacturing Overhead ÷ Estimated Allocation Base × 100

= $119,600 ÷ $92,000 × 100

= 130%

2. The computation of the amount of underapplied or overapplied overhead for the year is shown below:-

Overhead Applied = (Opening Value of Direct Material + Purchase of Direct Material - Closing Value of Direct Material) × Predetermined Overhead Rate

= ($24,000 + $140,000 - $17,000) × 130%

= $147,000 × 130%

= $191,100

Overhead Incurred = $106,300 + $8,000 + $18,000 + $15,000 + $8,200 + $39,000

= $194,500

Underapplied overhead = $194,500 - $191,100

= $3,400

6 0

3 years ago

Explain how a manager at a Subway or any fast food restaurant restaurant can use feedforward control to get the best customer sa

egoroff_w [7]

Customer satisfaction is increased as a result of quality management, which also enables businesses to meet customer expectations. One of the key areas where businesses need to be knowledgeable enough is in the service quality.

<h3>What is Subway or any fast food restaurant?</h3>

One of the top brands on the global market is Subway, which places a high priority on maintaining the quality of its products and providing excellent customer service.

Some key features regarding the subway are-

It consistently emphasizes the quality of the ingredients as well as the eventual deliverables in its marketing methods.
The business is committed to providing natural food products that are healthful and free of artificial additives and calories.
The customers' health is directly correlated with the meal quality.
To remain competitive in the marketplace and achieve its goal of being the healthiest alternative in the fast food sector, the company must maintain the quality of the items.

To know more about the subway, here

brainly.com/question/27207234

#SPJ4

8 0

2 years ago

Gammy Corporation provides services with a normal price of $800,000 and a trade discount of $100,000. Terms are 2/10, n/30 and t

oee [108]

Answer:

$686,000

Explanation:

net service revenue = gross revenue - discount for early payment

gross revenue = total sales price - trade discount

gross revenue = $800,000 - $100,000 = $700,000

net service revenue = $700,000 - 2%($700,000) = $700,000 - $14,000 = $686,000

4 0

3 years ago