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3 years ago

Why does a small difference in economic growth result in a large difference in wealth over time?

Business

1 answer:

larisa [96]3 years ago

7 0

Answer:

The correct answer is the option C: Because the effect of compounding allows growth to build upon previous growth.

Explanation:

To begin with, the term of "Compounding" in economics refers to the situation in which an assets' earnings are reinvested to generate more additional earnings over the pass of time and therefore that in an economy when there is a small growth the investors take advantage of the effect that the compounding has over the situation and use it in order to generate more earning in the future and that is why that the the effect of compounding allows growth to build only upon previous growth.

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A favorable materials price variance coupled with an unfavorable material usage variance would most likely result from:

Masteriza [31]

The purchase of low-quality materials would most likely the result of a favorable materials price variance coupled with an unfavorable material usage variance. Material price variance is the difference between the cost and the budgeted and actual cost to obtain an object or materials, multiply to the total amount of the product purchased. They are what you called positive value of direct material price and negative value of direct material price. A positive value of direct material price variance is the one that is favorable and it means that the direct material was purchased for a lesser price than the standard price. A negative value of direct material price variance is the one that is unfavorable and it means that more than the expected price per unit is paid.

3 0

4 years ago

Which formula is correct formatting for a nested function?

erastova [34]

Answer:

=IF(AND(B2>3000,02>2000),"Bonus","No Bonus")

Explanation:

A nested If statement is used when 1 or more conditions are to be tested. The result of the nested function depends based on the true value of the function.

i.e. If the nested statement is true, certain operations are to be done otherwise, do something else. In other words, the IF function allows you to make a logical comparison between a value and what you expect by testing for a condition and returning a result if True or False.

The syntax of a nested function goes thus

IF( condition1, value_if_true1, IF( condition2, value_if_true2, value_if_false2 ))

This would be equivalent to the following in Excel

= IF(condition1,"value_if_true",value_if_false)

Base on the above explanation, only option B is right.

And what it does is that

it checks if cell B2 is greater than 3000 AND cell 02 is greater than 2000.

If both statement are true, "Bonus" will be the output result

If one ore both statement are false, "No Bonus" will be the output result

7 0

3 years ago

Intro to Investing Math Quiz

olga nikolaevna [1]

As a result of having increased from a price of $55 to $85, we can say that the stock value increased by 54.55%

The stock was valued at $55 then it increased to $85. First thing to do is to check how much it increased by in dollar terms:

= New price - old price

= 85 - 55

= $30

In percentage terms, this is:

= Increase/ Old price x 100%

= 30 / 55 x 100%

= 54.55%

In conclusion, the stock value increased by 54.55%

Find out more at brainly.com/question/10273187.

4 0

3 years ago

One way that the world bank might experience an adverse selection in its own lending is if __________.

Sloan [31]

Adverse selection describes situations when high-risk persons are more likely to receive insurance or when one bargaining side has important knowledge that the other does not. Our goal is to influence decision-makers, both inside and outside of government, to consider the future and adopt long-term plans.

When vendors and/or purchasers have different knowledge about a certain component of a product's quality, this is referred to as adverse selection. Thus, those who work in hazardous environments or lead high-risk lives are more likely to buy life or disability insurance, knowing that they will likely be able to use it.

To learn more on world bank

brainly.com/question/3520105

#SPJ4

6 0

2 years ago

Simmons, Inc. uses the lower-of-cost-or-market method to value its inventory that is accounted for using the LIFO method. Data

MA_775_DIABLO [31]

Answer:

The lower- of- market- or cost for the item is $21

Explanation:

In the lower of cost or market, the market begins at the replacement cost which is $20, which is then limited or restricted to a ceiling and a floor.

The ceiling is computed as:

Ceiling = Selling price - Completion cost

where

selling price is $30

Completion cost is $2

Putting the values above:

Ceiling = $30 - $2

Ceiling = $28

Computing the floor as:

Floor = Ceiling - Normal profit margin

Floor = $28 - $7

Floor = $21

As the market cannot be lower than the floor which is $21. Therefore, the lower of cost which is $26 and the market which is $21. But have to take lower. So, it is $21.

6 0

3 years ago