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3 years ago

Why would the Fed intentionally use contractionary monetary policy to reduce real GDP?

Business

1 answer:

Nana76 [90]3 years ago

6 0

Answer:

C. The Fed intends to reduce inflation, which occurs if real GDP is greater than potential GDP

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Sharon purchases two products, X and Y, with a given fixed budget. The marginal utility she receives from the last unit of X she

lorasvet [3.4K]

Answer:

The correct answer is option A.

Explanation:

Sharon in consuming two goods X and Y.

The price of X is $2 and that of Y is $1.

The marginal utility derived from consuming X is 60 utils and from consuming Y is 30 utils.

For profit-maximization the ratio of marginal utility and price should be equal for both goods or the marginal utility of money spent on both goods should be equal.

The ratio for good X

= $\frac{MUx}{Px}$

= $\frac{60}{2}$

= 30

The ratio for good Y

= $\frac{MUy}{Py}$

= $\frac{30}{1}$

= 30

Since the ratio is same for both the goods it implies that Sharon is maximizing her total utility.

3 0

4 years ago

Nascar redirected its marketing efforts when a survey indicated that almost 50 percent of its fans were female. this is an examp

olga nikolaevna [1]

This would not be psychographic segmentation, as segmenting by gender would be demographic

4 0

3 years ago

Gilbert is considering purchasing the Side Steamer 3000, a higher-end steamer, which costs $12,000, and has an estimated useful

mixer [17]

Answer:

Explanation:

initial outlay $12,000 + ($2,900 - $700) = $14,200

depreciable value = $10,800

depreciation per year:

$2,160
$3,456
$2,073.60
$1,244.16
$1,244.16
$622.08

incremental revenues = $2,000 + $1,400 = $3,400

CF year 0 = -$14,200

CF year 1 = [($3,400 - $2,160) x 0.6] + $2,160 = $2,904

CF year 2 = [($3,400 - $3,456) x 0.6] + $3,456 = $3,422.40

CF year 3 = [($3,400 - $2,073.60) x 0.6] + $2,073.60 = $2,869.44

CF year 4 = [($3,400 - $1,244.16) x 0.6] + $1,244.16 = $2,537.66

CF year 5 = [($3,400 - $1,244.16) x 0.6] + $1,244.16 = $2,537.66

CF year 6 = [($3,400 - $622.08) x 0.6] + $622.08 + $1,200 + $2,200 = $5,688.83

WACC = 12%

a) the steamer should not be replaced, since the NPV is negative.

b) Using a financial calculator, NPV = -$14,200 + $13,298.29 = -$901.71

8 0

3 years ago

Which statement below best describes the accounting equation? Multiple Choice The change in retained earnings equals net income

8_murik_8 [283]

Answer:

The correct answer is Resources of the company equal creditors' and owners' claims to those resources.

Explanation:

It can be used to determine that the income or income of the consumer is exactly equal to the expense (purchase) of goods, for the determined period of consumption. In other words, by adding the value spent on the acquisition of goods "x" and goods "y". To have such values it is enough to multiply the number of possible units to acquire - in each of the points - by their respective price and then add them; This can be done at any point in the price line.

4 0

4 years ago

The George Company has a policy of maintaining an end-of-month cash balance of at least $40,000. In months where a shortfall is

Amiraneli [1.4K]

Answer:

A.$130

B. $13,130

Explanation:

Loan taken at the beginning of april in order to maintain cash balance of $40,000 = $40,000 - $27,200 = $12,800 = $13,000 (Increment of $1,000)

Interest payment estimated for april = $13,000*12%*1/12 = $130

Solution b:

Cash balance at the end of april = $27,200 + $13,000 - $130 = $40,070

Cash balance at the end of may before financing effect = Cash balance at the beginning + Excess of cash collected over cash payments

= $40,070 + $31,200 = $71,270

Total financin effect for may = Loan repayment + Interest repayment = $13,000 + $13,000*12%*1/12 = $13,130

3 0

3 years ago