Answer:
Increase by more than $500 billion.
Explanation:
Use the below formula to find the multiplier effect.
Multiplier = 1 / (1-MPC)
Multiplier = 1 / (1 - 0.8)
Multiplier = 1 / 0.2
Mulitiplier = 5
GDP increase by = 5 x 100
GDP increases by = $500
Since the multiplier is five and the increase in transfer by $100 that will have multiplier effect of $500. Thus option "a" is correct.
Answer:
Explanation:
Return on common stockholders' equity for 2015:
(Net income - preferred stock)/Equity
(63,000-5,400)/2,400,000 = 57,600/2,400,000 = 2.4%
Return on common stockholders' equity for 2015:
(99,000-5,400)/3,000,000 = 93,600/3,000,000 = 3.12%
From these calculations, it is clear that return has improved.
Answer: 13.2%
Explanation:
Given data:
No of stores in the market = 5000
No. of store owners = 2000.
Allison charges = $8/month
Sam charges = $8/month.
Solution:
The market penetration rate would be calculated based on potential customers.
Using our general formula,
Market penetration=Numbers of customers who purchased Allison derived sales and Sam derived sales /Total potential population
Where,
Total potential population=1,500
•Allison derived sales = 129 customers
•Sam derived sales = 69 customers
•Numbers of customers who purchased Allison derived sales and Sam derived sales=129 customers+ 69 customers
•Numbers of customers who purchased Allison derived sales and Sam derived sales =198 customers
Let’s input this into our general formula.
Market penetration
= 169 customers/1,500
= 0.132*100
= 13.2%
The market penetration rate based on potential customers is 13.2%
Answer: Aggregate
Explanation: Aggregate demand is the sum of consumption expenditure, investment expenditure, government expenditure, and net exports.
Here is more information!!!: http://www.businessdictionary.com/definition/aggregate-demand.html
Answer:
b. 2.64 : 1
Explanation:
Current ratio = Current assets/Current liabilities
Current assets = Cash + Account Receivables + Inventory + Prepaid insurance
Current assets = $65500 + $93000 + $148000 + $87500
Current assets = $394,000
Current liabilities = Accounts payable + Salaries and wages payable
Current liabilities = $131500 + $17500
Current liabilities = $149,000
Hence, Current ratio = $394,000/$149,000
Current ratio = 2.644295
Current ratio = 2.64 : 1
