Answer:
$2,500
Explanation:
The calculation of American opportunity tax credit is shown below:-
According to the given situation, Steve's part-time job wouldn't come in between his not applying for the credit as the AGI is lower than the applying number.
Therefore, the credit would be 100% of first is
= $2,000 + 25% (Increased)
= $2,500
Answer:
$3,750
Explanation:
at $25 per sheet of plywood:
total demand = 800 - (10 x 25) = 800 - 250 = 550
total supply = (50 x 25) - 1,000 = 1,250 - 1,000 = 250
the equilibrium price is:
800 - 10P₁ = 50P₁ - 1,000
1,800 = 60P₁
P₁ = 1,800 / 60 = 30
the equilibrium quantity (Q₁) is:
Q₁ = 800 - (10 x 30) = 800 - 300 = 500
at 250 units, the price should be:
250 = 800 - 10P₂
10P₂ = 550
P₂ = $55
total deadweight loss = 0.5 x (P₂ - P₁) x (Q₂ - Q₁) = 0.5 x ($55 - $25) x (250 - 500) = 0.5 x $30 x -250 = -$3,750
Answer:
Time period corresponds to recession is D. 1937-1939
Step-by-step explaination:
Recession period is the period in which there is negative growth in stock market i.e that period in which the graph declines or accompanied by drop.
In the given interval 1931-1935 upto period 1933 the graph declines but after that it increases so it does not corresponds to recession period.
In the given interval 1931-1934, same reason as above.
In given interval 1933-1936, the graph goes to upward direction so it does not corresponds to recession period.
In the given interval 1937-1939,the graph declines upto 1939 so it corresponds to recession period.
Answer:
C. Reducing the discount rate
Explanation:
Expansionary monetary policies are macroeconomic undertakings by the Federal Reserve that aim at stimulating economic growth in the economy. Expansionary policies result in an increased flow of money in the country, which increases the aggregate demand.
The discount rate is the rate at which the Federal Reserve (the Fed ) charges commercial banks for advancing them credit. Reducing the discount rate makes loans from the Fed more affordable. Commercial banks will opt to borrow from the Fed at lower rates and lend out to households and firms at a higher interest rate, thereby making profits. Reducing the discount rate increases the money available for banks to lend out. Households and businesses will borrow this money for development and investments, which ignites economic growth.
Answer:
Mercer Asbestos should define the Cost Drivers first before introducing the Activity Based Costing System, cost drivers actually help the compnay to measure the cost per unit based on the contribution / impact of eac activity that had direct relation with the cost.
Explanation:
Estimator should define the cost drivers such as labor, factory overhead indicators and which has impact on the performance activity of both routine and non routine works.
Possible cost drivers for the below activities can be;
- Removal of asbestos insulation around heating pipes in older homes. Likely cost drivers can be ( Direct Labor Hours Involved in the activity, Other indirect manpower hours dedicated for the activity)
- Removal of asbestos-contaminated ceiling plaster in industrial buildings. Likely cost drivers can be ( Total covered area where contaminated ceiling plaster is present, Supervisors and other manpower involved in the activity).
Once the drivers have been defined cost/unit based on ABC system will help the decision makers such as Cost Planners to quote the accurate selling price to cover the profit margin.
