Answer:
1. B. Nurses and doctors.
C. X-ray technician.
E. A nursing home.
2. Decrease; Increase
Explanation:
1. To produce medical care means to have the capacity to give medical care and this is what doctors and nurses do. When you go to a hospital and they diagnose and recommend treatment, they are producing medical care. In Nursing homes this is also done as they have full time medical staff that provide health care to their clients so they are also considered producers of medical care.
An X-ray technician produces medical care by showing the parts of the body that may have been damaged.
2. If the number of medical care producers increase, the equilibrium price will go down because the shift in the supply curve to the right will intercept the demand curve for medical care at a lower point thereby decreasing equilibrium price.
Consumer surplus refers to the difference between the price that customers would have paid and the price they are paying so with the prices lower, consumers will see their surplus increase.
Answer:
D) Stock prices of companies that announce increased earning in January tend to outperform the market in February.
Explanation:
The above is consistent with the Efficient Market Hypothesis. All others are a direct contravention.
<em>The efficient market hypothesis (EMH), also known as the efficient market theory, is a hypothesis that states that the prices of shares contain all information and that consistent alpha generation is impossible.</em>
According to the hypothesis, stocks always trade at their fair value on exchanges, making it impossible for investors to purchase undervalued stocks or sell stocks for inflated prices.
This means that it should not be possible to outperform the overall market through professional stock selection or market timing.
The only way according to EMH that an investor can obtain better returns is by purchasing riskier investments.
By implication, this also means that it is not possible to "beat the market" consistently on a risk-adjusted basis since market prices should only react to new information.
You would note that in the option D, earning (which is a key driver for demand of stock) is announced in one month. The natural reaction would be for the demand for that stock to surge in the next month.
Answer:
$480,000
Explanation:
The computation of the depreciable cost of the new asset is shown below:
Given that
Depreciation tax shield = $19,200
Tax rate= 40%
Now
Actual Depreciation for the year is
= $19,200 ÷ 40%
= $48,000
Now
Total Depreciation cost for 10 years is
= $48,000 × 10
= $480,000
Answer:
The adjusted balance will be of $ 25,420
Explanation:
For the bank reconciliation we should post what is the unknow information for each party.
<em>CASH</em>
<em></em>
Balance 24,930
Service Charge -50
accounting mistake 540
(+710 to ammend the mistake - 170 real value of the check)
Adjusted Balance <em>25,420</em>
<em>BANK </em>
Balance 26,420
Outstanding Check -5,060
Deposit in transit 4,060
Adjusted Balance <em> 25,420</em>
Option C ($305 million) is the correct answer.
<u>Explanation:</u>
GDP<u> </u>= GNP - Net foreign factor income
GNP can be calculated by using the following formula
GNP (FC) = NNP (FC) + depreciation
NNP (FC) = 300, thus the depreciation is as follows:
Depreciation = Gross private domestic investment - Net private domestic investment
= 55 minus 40 = 15
<u>Now, we can calculate GNP (FC) by substituing the values into the formula </u>
GNP (FC) = 300 plus 15 = 315
<u>Now, we can calculate GDP by by substituing the values into the formula.</u>
GDP = 315 minus 10 = 305
Thus, the value of U.S. GDP is $305 billion
Therefore, the correct answer is option C
