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Advocard [28]
4 years ago
9

Arthur sells $100 worth of cotton to Bob. Bob turns the cotton into cloth, which he sells to Camille for $300. Camille uses the

cloth to make prom dresses that she sells to Donita for $700. Donita sells the dresses for $1,200 to kids attending the prom. The total contribution to GDP of this series of transactions is _______.
Business
1 answer:
kow [346]4 years ago
8 0

Answer:

$1200

Explanation:

Gross Domestic Product (GDP) is the total market value of all of the final goods and services produced in a country over a particular period of time.

The contribution to GDP can be determined by adding the value created by each of the economic agents involved in the creation of the final goods and services

Arthur = 100 = 100

Bob = 300 - 100 = 200

Camille = 700 -300 = 400

Donita = 1200 - 700 = 500

Total Value 100 +200 +400 +500 = $1200.

You will observe that it is the same as the value of the final good i.e dress. In the production process, other goods involved are referred as intermediate goods

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How does an improvement in consumer confidence affect the consumption function and the aggregate demand curve?
puteri [66]
If the consumers are further confident they will expend additional dollars at entirely earnings stage and the consumption function moves upward. This increase in expenditure reasons the aggregate demand curve to move to the right. The ceteris paribus is known as a alteration in interest rates reasons a movement alongside the investment demand curve.
3 0
3 years ago
Read 2 more answers
Describe the relationship between the strategic planning process and portfolio management in an organization.
mel-nik [20]

Answer:

Portfolio management depends on strategic planning

Explanation:

While strategic planning in the analysis of both internal and external factors that will guide towards implementing an effective business strategies using models like SWOT and ,PESTLE analysis and Porters five forces, portfolio management is the management of a particular investment.

Before one can improve on a plan , there must be an existing plan. This means that there must be a functioning operation  before one can begin to talk of improving on a particular portfolio

6 0
4 years ago
Krista goes to a store to buy a new liquid soap dispenser. When she purchases a new dispenser from the store she gets two liquid
MrRa [10]

Answer:

Captive pricing

Explanation:

Captive pricing is the pricing of products that have both a "core product" and a number of "accessory products.". In the question, when she purchase a dispenser(core product) she gets two liquid soap(accessory product) for free, so the pricing strategy to engage is the captive pricing.

7 0
3 years ago
Flint, Inc. is trying to establish the standard labor cost of a typical oil change. The following data have been collected from
Julli [10]

Answer:

1. 1.875 hours

2. $20.25

3. $37.97

Explanation:

The computation is shown below:

1. For Standard direct labor hours per oil change, it is

= (Actual time spent on the oil change) +  (Setup and downtime + Cleanup and rest periods) × Actual time spent on the oil change  

= 1.25 hours + (22% + 28%) × 1.25 hours

= 1.25 hours + 0.625 hours

= 1.875 hours

2. Standard direct labor hourly rate, it is

= (Hourly wage rate) + (Payroll taxes + Fringe Benefits) × hourly wage rate

= $15 + (10% + 25%) × $15

= $15 + $5.25

= $20.25

3. And, the standard direct labor cost per change is

= Standard direct labor hours per oil change × Standard direct labor hourly rate

= 1.875 hours × $20.25

= $37.97

We simply applied the above formulas for each one part

7 0
3 years ago
Over the past six months, you have watched as your parent's retirement savings have declined in value by 25 percent due to a sev
Yuliya22 [10]

Answer:

Myopic loss aversion

Explanation:

Loss Aversion is defined as the likelihood for individuals to strongly prefer making or avoiding losses over getting or acquiring gains.

Myopic loss aversion is simply defined as likelihood to look(focus) on avoiding short-term losses, even at the hands or expense of long-term gains. It is simply written as;

MLA = Loss aversion + mental accounting.

It is a kind of loss aversion that comprises mainly the idea that people do not see far enough into the future to invest in the right sense and as such life cycle hypothesis is forgotten or ignored.

6 0
3 years ago
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