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sergij07 [2.7K]
3 years ago
10

Money stock Identify whether each of the following examples belongs in M1 or M2. If an example belongs in both, be sure to check

both boxes. Example M1 M2 Kenji has $25,000 in a money market account. Lucia has $8,000 in a two-year certificate of deposit (CD). Eric has a roll of quarters that he just withdrew from the bank to do laundry.
Business
1 answer:
yulyashka [42]3 years ago
3 0

Answer:

<em>For Kenji he falls on the category M2, for Lucia it's M2, and for Eric belongs to the category of both M1 and M2 respectively.</em>

Explanation:

<em>M1 money supply comprises of  currency in physical form and coin, the demand deposit( check-able) travelers check</em>

<em> M2 money supply comprises of  Certificate deposit and M1, savings, money market funds, and time deposits for example, M2 money supply comprises   money.  that is less liquid/</em>

  • <em> Kenji has $25000 in a money market account - it belongs to the category of  M2 money supply.</em>
  • <em>  Lucia has $8000 in a two year CD, it belongs to the category - M2  which is money supply </em>
  • <em>Eric withdrew money from the bank to do laundry. The money he took will go to cash that is available or in the economy at that time or the  physical currency. these category belongs in M1. As M2 money supply contains  M1 therefore this example also belongs in M2. </em>

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The price of the shoes will increase.

Explanation:

It is supply-and-demand. In this case, the supply is low but the demand is high so the store(s) have to raise the prices.

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2 years ago
A<br> Advantages of Product Added Mothed<br> Accounting<br> in National income
Ganezh [65]

It is determined by subtracting the value of the output from the value of the intermediate goods. As double counting, a severe mistake when estimating national income, is concerned, the value-added approach is a widely utilized method for computing national revenue.

A mistake known as double counting in accounting occurs when a transaction is counted more than once for any reason. But when an attempt is made to quantify the new value produced by Gross Output or the value of all investments, it also alludes to a conceptual issue in social accounting practice.

A mistake known as double counting in accounting occurs when a transaction is counted more than once for any reason. But when an attempt is made to quantify the new value produced by Gross Output or the value of all investments, it also alludes to a conceptual issue in social accounting practice.

Learn more about double counting here

brainly.com/question/1098565

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6 0
2 years ago
In July, 2013 the consulting firm Mercer released results from a survey where workers in the U.S. expected a 2.9% increase in pa
Sliva [168]

Answer:

A 2.9% pay increase in 2014 for U.S. workers will cause the AS (aggregate supply) curve to shift inward in the short-run, signaling a decline in the quantity supplied.

Explanation:

The supply quantity declines because a pay increase increases suppliers' cost of production and reduces their ability to produce more goods and services.  On the contrary, a fall in workers' pay causes the aggregate supply curve to shift outward, thereby increasing the quantity supplied.  In the long-run, the pay increase will increase aggregate demand, thereby pushing prices to increase, while, at the same, suppliers try to increase the quantity supplied to meet with increased prices and demand.

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Dog Up! Franks is looking at a new sausage system with an installed cost of $460,000. This cost will be depreciated straight-lin
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Answer:

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Explanation:

Note: Find attached the excel file for the calculation of the NPV of this project.

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On its own, present value (PV) refers the value that a future sum of money or stream of cash flows has now or currently given a specified rate of return. The formula for calculating the PV is given as follows:

PV = FV / (1 + r)^n

Where,

FV = Future value

r = discount rate. This is given as 10% in this question

n = Relevant period, e.g. year

The above explanation and formula together with other stated formulae in the attached excel file is used in calculating the NPV of this project.

Download xlsx
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Explanation:

I tried the best I could.

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