When revising a budget, it is important to make choices that allow you to continue<br> money.

Household behavior with respect to changes in income can be described by the marginal propensity to consume (MPC) and the margin

Citrus2011 [14]

Answer: Greater the MPC

Explanation:

The Marginal Propensity to consume refers to how much Economic consumption increases or decreases due to a change in income.

The formula for MPC is;

= Change in Consumption/Change in Income.

Consumption is a major component of GDP so it has a direct influence on Economic output. In other words, the larger the level of consumption, the higher the higher the output.

As evident from the equation, if the change in consumption is higher than the change in income, the MPC will be larger. A larger MPC therefore corresponds to a higher Consumption.

If a higher Consumption leads to a larger output and a larger MPC corresponds to a higher Consumption then that means that a higher MPC leads to a larger output.

5 0

3 years ago

Marvin Corporation has the following information reported on the balance sheet as of December 31, 2017 Common Stock, $10 par val

SCORPION-xisa [38]

Answer:

How many shares of common stock are outstanding?

C. 3,000

Explanation:

Treasury stock, are those that the company repurchase from the market and keep it in the company, in this case the company keep the shares in the accounting and the shares could be reissued in the future.

The company issued 9,000 shares, it is reflected in the Common Stock account, $90.000 / $10 = 9,000.

Then in the Treasury Stock account are registered the shares that the company repurchases from the market, these are, 6,000 shares.

Finally the total Common Shares outstanding are 3,000.

3 0

4 years ago

An oil cartel effectively increases the price of oil by 100% causing a shock in oil consuming countries A and B. The FED in coun

Ann [662]

When an oil cartel effectively increases the price of oil by 100% causing a shock in oil consuming countries A and B.

The FED in country A takes immediate action increasing the money supply, while FED in inflationary country B does not take any action

In this case, in long term "Both countries return to their long-term stable equilibrium, but country A will remain with a higher price level than country B".

<h3>What is Federal Reserve System (FED)?</h3>

The nation's central banking system is the Federal Reserve System, usually referred to as the Federal Reserve or just the Fed.

The Fed offers a secure, adaptable, and stable monetary and financial system to the nation.

The Fed's primary responsibilities include-

overseeing and regulating banks,
implementing national monetary policy,
preserving financial stability, and
offering banking services.

Therefore, to better understand the effects of financial services laws and practices on customers and communities, the Federal Reserve promotes supervision, community reinvestment, and research.

To know more about monetary policy, here

brainly.com/question/13926715

#SPJ4

3 0

2 years ago

Abbott Company purchased $7,100 of merchandise inventory on account. Abbott uses the perpetual inventory method. How does this t

yaroslaw [1]

The answer is b I hope this helps

6 0

3 years ago

2. For the fiscal year of 2017, Excel Sports Inc. had a net income of $255,000 and paid out $51,000 as common dividend. Meanwhil

KatRina [158]

Answer:

$1,093,000

Explanation:

Given the above information, retained earnings in the balance sheet for 2016 would be computed as;

Beginning retained earnings + Net income - Dividends = Ending retained earnings

Fixing in the values, then we'll have

Beginning retained earnings + $255,000 - $51,000 = $1,297,000

Beginning retained earnings = $1,297,000 - $255,000 + $51,000

Beginning retained earnings = $1,093,000

It therefore means that the sum of $1,093,000 is the retained earnings in Excel Sports Inc. 2016 balance sheet.

7 0

3 years ago

When revising a budget, it is important to make choices that allow you to continue money.