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vagabundo [1.1K]
3 years ago
12

Firms require capital to invest in productive opportunities. The best firms with the most profitable opportunities can attract c

apital away from inefficient firms with less profitable opportunities. Investors supply firms with capital at a cost called the __________. The interest rate that investors require is determined by several factors, including the availability of production opportunities, the time preference for current consumption, risk, and inflation.
Business
1 answer:
Arturiano [62]3 years ago
7 0

Answer:

Interest rate

Explanation:

Firms require capital to invest in productive opportunities. The best firms with the most profitable opportunities can attract capital away from inefficient firms with less profitable opportunities. Investors supply firms with capital at a cost called the <u>Interest rate</u>. The interest rate that investors require is determined by several factors, including the availability of production opportunities, the time preference for current consumption, risk, and inflation.

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If Clancy's boss is interested in a graphical representation of the relationship between the price and quantity of televisions d
Anna35 [415]

Answer:

A demand schedule

Explanation:

A demand schedule is a table that shows how the quantity demanded varies with changes in prices. It is a table that explains the relationship between the price of a product or service and its demand. A demand schedule provides the same information as the demand curve. The only difference is that the demand curve uses graphical representation, while the demand schedule uses the table format.

Clancy should, therefore, prepare the demand schedule for her boss. It will give the same information regarding the relationship between price of televisions and the quantity demanded.

6 0
3 years ago
A corporation reports the following year-end balance sheet data. The company's debt-to-equity ratio equals:Cash $ 41,000 Current
Rudiy27

Answer:

0.54

Explanation:

Debt-to-equity ratio = Total Debt ÷ Total Equity

                                 = $107,000  ÷  $197,000

                                 = 0.54

The company's debt-to-equity ratio equals 0.54

4 0
3 years ago
alderwood company has provided the following information prior to any year-end bad debt adjustment: cash sales, $455,000 credit
nordsb [41]

If  sales discounts, $57,000 allowance for doubtful accounts credit balance, $3,800 alderwood prepares an aging of accounts receivable and the result shows that 5% of accounts receivable is estimated to be uncollectible. The bad debt expense is:$13,450.

<h3>How to determine the Bad debt expenses ?</h3>

First step is find the Required Balance using this formula

Required Balance =Accounts Receivables × Percentage of Uncollectible

Let plug in the formula

Required Balance =$345,000 × 5%

Required Balance =$17,250

Now let find the bad debt expenses using this formula

Bad debt expenses = Required Balance - Existing Credit Balance

Let plug in the formula

Bad debt expenses = $17,250 - $3,800

Bad debt expenses = $13,450

Therefore we can conclude that the Bad debt expenses  is the amount of $13,450.

Learn more about Bad debt expenses here: brainly.com/question/24871617

#SPJ1

​

6 0
1 year ago
Which of the following costs do not vary with the amount of output a firm produces? a. average fixed costs b. fixed costs and av
Harrizon [31]

Answer:

d. fixed costs

Explanation:

The fixed cost is the cost which does not change if there is a change in the level of production i.e if the production level is increased or decreased it the fixed cost would remain the same as it is previous before

Therefore according to the given situation, since the fixed does not vary with the amount of firm output

Hence, option d is correct

4 0
3 years ago
In the equation of exchange, M x V = P x Q, the P represents ___________________.
Bogdan [553]

Answer:

P in the equation represents Price level

Explanation:

The equation above is referred to as the equation of exchange.

M = money supply, V= velocity of money, P= price level and Q= real output (real GDP)

P × Q gives the nominal GDP while M×V is the effective money supply.

The total value of goods and services available in the economy (represented by the nominal GDP) is equals to the total amount of money available to purchase them (the effective money supply.

The velocity of money is the rate at which money been is used or spent for transaction purposes in the economy. It is assumed to be constant.

For example, If there exist only a $1000 note in the economy, this amount just needs to be spent once to purchase a total nominal GDP of $1000. However, if there exist just one $500 note, then it means the $500 will need to be spent 2 times to purchase the total value of goods worth $1000. The 2 is the velocity of money

This equation is also used to explain the concept of the quantity theory of money.

The theory states that if an economy is operating at the full employment level, an increase in money supply will not impact the real GDP rather it will drive up the price level up. This idea forms the basis of the position of some economists that money supply drives inflation

The assumptions of the theory are as follows:

The velocity of money is constant

The the economy is at the full employment output. This implies that the economy is using all of its productive resources efficiently

3 0
3 years ago
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