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3 years ago

M1 and M2 are two definitions of the money supply.

Business

1 answer:

Alex787 [66]3 years ago

5 0

Answer: Please refer to Explanation

Explanation:

M1 is the narrowest definition of money supply. It refers to the most liquid or instruments and includes actual currency as well as money in checking accounts.

M2 is the next type of of money. It includes EVERYTHING in M1 and then also includes savings deposits, time deposits, and money market funds.

Now,

Classifying the above will go as,

Gold - Neither M1 or M2

Traveler's check - M1 and M2

Balance in savings accounts - M2 only

Money market account balance - M2 only

Credit cards - Neither M1 or M2

Common stock - Neither M1 or M2

Certificates of deposit - M2 only

Currency - M1 and M2

Balance in Checking accounts - M1 and M2

It is worthy of note that there is no M1 only. This is because as stated in the definition, all M1s are in M2.

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Most economists A. apply the assumption that people rarely behave as if they act rationally although they do aim to maximize uti

aleksklad [387]

Answer:

The correct answer is letter "C": apply the assumption that people behave as if they act rationally with an aim to maximize utility.

Explanation:

The theory of rational expectations is mainly used in macroeconomics, with the idea that decisions of individuals will affect the future course of the economy. According to this theory, people's behaviors are based on rationality, all the information that they have available, and past experiences.

Some of the rational expectations theory's premises are that people hold expectations that will be met, variables values (price, output, and employment) are taken into account, and individuals are always trying to maximize their profits.

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2 years ago

All of the following are factors that may complicate capital investment analysis except a.sunk costs b.changes in price levels c

alexira [117]

Answer:

a. sunk costs.

Explanation:

Sunk cost is the amount which is already invested or incurred before any project is initiated. This cost is permanently lost and cannot be recovered. The business managers avoid incorporating sunk cost in decision making process.

The correct answer is sunk cost because it doesn't complicate capital investment analysis. These costs are not considered when making business decisions or analysis of capital investments.

5 0

3 years ago

Read 2 more answers

A manufacturing company has been inspecting units of output from a process. Each product inspected is evaluated on five criteria

laila [671]

Answer:

3,300 defects

Explanation:

If there are 5 defect opportunities per unit, and 2,000 units were inspected, the number of defects per opportunity observed was:

$DPO = \frac{33}{5*2,000}\\DPO=0.0033$

Therefore, the number of defects per 1 million opportunities (DPMO) is:

$DPMO = 0.0033*1,000,000\\DPMO = 3,300$

The number of defects per 1 million opportunities (DPMO) for this process is 3,300.

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3 years ago

Which component of an enterprise resource planning (ERP) system provides business-to-consumer (B2C) information related to order

Anni [7]

Answer:

E-commerce

Explanation:

Enterprise resource planning can be regarded as one that encompass

technologies as well as systems that is used by companies in managing and integrating their core business.

Electronic commerce known as

can be regarded as E-commerce and can be explained as buying as well as selling of goods/services, it can as well be defined as transmitting of funds as well as data through electronic network, these could be the internet. These business transactions can appear as business-to-business (B2B), it can also be seen as business-to-consumer (B2C), it also be in form of

consumer-to-consumer as well as consumer-to-business.

It should be noted that E-commerce

component of an enterprise resource planning (ERP) system provides business-to-consumer (B2C) information related to order status and business-to-business (B2B) information related to suppliers and business partners

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2 years ago

_______ includes the initiation of joint ventures with nationals (individuals or those in firms, labor unions, or government) to

Leno4ka [110]

Answer:

Equity sharing

Explanation:

Equity sharing: The term "equity sharing" is also referred to as "co-ownership" or "shared ownership", and is described as a process in which more than one owner is being involved and utilizes one property in order to blend them to "maximize tax deductions and profit". Generally, equity sharing occurs when different parties ought to find a particular home and then buys it together as "co-owners", yet these people tend to join to "co-own" a particular property a person already bought it before or owns it.

In the question above, the given statement represent equity sharing.

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3 years ago