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IRISSAK [1]
3 years ago
7

The quantity theory of money is a theory of how A) the money supply is determined. B) interest rates are determined. C) the nomi

nal value of aggregate income is determined. D) the real value of aggregate income is determined.
Business
1 answer:
meriva3 years ago
5 0

Answer:

C) the nominal value of aggregate income is determined

Explanation:

The quantity theory of money states that nominal aggregate income is determined by money supply. It is assumed that money velocity is constant in the short run and so would not impact nominal aggregate income.

The quantity theory of money is obtained from the equation of exchange which is:

(Money supply × velocity ) = (price × agregrate output)

Dividing both sides by velocity gives,

Money supply = (1/velocity) × ( price × agregrate output)

It is assumed velocity is constant, therefore,

Money supply = k × (price × agregrate output)

I hope my answer helps.

All the best

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Parsons Company acquired 90% of Roxy Company several years ago and recorded goodwill of $200,000 at that date. During 2015 an an
Crank

Answer:

d. $150,000.

Explanation:

The computation of the consolidated goodwill reported is shown below:

= Recorded amount of goodwill - impairment amount of goodwill

= $200,000 - $50,000

= $150,000

By deducting the impairment of goodwill from the recorded amount of goodwill we can get the consolidated goodwill that is to be reported.

The 90% acquired percentage is ignored

6 0
3 years ago
Hexon Printing Company projected the following information for next year: Selling price per unit $80 Contribution margin per uni
Nonamiya [84]

Answer:

Break-even point in units= 5,500

Explanation:

Giving the following information:

Selling price per unit $80

Contribution margin per unit $40

Total fixed costs $120,000

Tax rate 40%

Desired profit= $60,000

<u>First, we need to calculate the earnings before tax:</u>

EBT= desired profit / (1 - t)

EBT= 60,000 / (1 - 0.4)

EBT= $100,000

<u>Now, the break-even point in units using the following formula:</u>

Break-even point in units= (fixed costs + EBT)/ contribution margin per unit

Break-even point in units= (120,000 + 100,000) / (80 - 40)

Break-even point in units= 5,500

5 0
3 years ago
At a potluck, everyone brings his or her favorite dish to share. gavin decides to avoid the foods he has never heard of before a
Kay [80]
I<span>n this example, Gavin eating food he prepared himself suggests that he is most influenced by Familiarity.  It means </span><span>a good knowledge of something, in this case, the food that Gavin brought to the party. </span>
3 0
3 years ago
Barney has a balance of $780 on a credit card with an APR of 31.3%, compounded monthly. About how much will he save in interest
BlackZzzverrR [31]

$119.66 is the answer for apex

8 0
3 years ago
Read 2 more answers
Steven's Battery Company has two service departments, Maintenance and Personnel. Maintenance Department costs of $320,000 are al
inna [77]

Answer:

From maintenance to department B will be allocated 85,333 dollars

Explanation:

We distribute maintenance over personnel and operating and then,

we distributed the accumulated in personnel over the operating department:

\left[\begin{array}{cccccc}&Maintenance&Personnel&Dep A&Deb B\\$maintenance-hours&&800&960&640\\$employes&&&160&480\\$Direct \: Cost&320,000&80,000&160,000&240,000\\$Allocate A&-320,000&106,667&128,000&85,333\\$Subtotal&&186,667&288,000&325,333\\$Allocate J&&-186,667&46,667&140,000\\$Total&&&334,667&465,333\\\end{array}\right]

<em><u>For the given question it would be:</u></em>

total maintenance-hours: 800  + 960 + 640 = 2,400

<u>allocation of maintenance:</u>

320,000 x   640/2400 = 85,333

4 0
3 years ago
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