Answer: A. output, investment, and depreciation will decrease and consumption will increase and then decrease but finally approach a level above its initial state.
Explanation: from the above question, an economy that is in a steady-state with no population growth or technological change and the capital stock is above the Golden Rule level and the saving rate falls then output, investment, and depreciation will decrease and consumption will increase and then decrease but finally approach a level above its initial state.
Answer:
Recession cause standard monetary and fiscal effects.
Explanation:
Recession impact all kinds of business, large and small,due to tightening credit conditions, slower, demand, and general fear and uncertainty.
Answer and Explanation:
The economics of scope refers to the total cost production cost i.e to be averaged for the various type of goods
While on the other hand, the economics of scale refers to the benefit of the cost than occurs when there is a higher production level at a time
Based on this, the classification is as follows
1, Economics of scale as the output rises that declines the LAC so automatically it goes downward
2. economics of scope
Answer:
The correct answer is option d.
Explanation:
An industry is comprised of a large number of small firms.
Because of losses, many firms have left the industry.
This will cause the industry supply to decline.
The industry supply curve will move to the left.
The new supply curve will intersect the demand curve at a higher point.
This leftward shift in the supply curve will cause the equilibrium price to increase and equilibrium quantity to decline.
Answer:
35.35 days
Explanation:
For the computation of company’s days’ sales in receivable first we do the following calculations
As we know that
Profit margin = Net income ÷ Sales
0.086 = 187,000 ÷ Sales
Sales = 2,174,418.605
So,
Credit sales = Sales × Sales percentage
= 2,174,418.605 × 0.6
= 1,304,651.163
Receivables turnover ratio = Credit sales ÷ Receivables
= 1,304,651.163 ÷ 126,370
= 10.3241
Now
Days sales in receivables = 365 ÷ Receivables turnover
= 365 ÷ 10.3241
= 35.35 days
