Answer:
Explanation:
The formula for GDP is
GDP = C + I + G + NX
C = consumption
I = Investment by business and household purchases by individuals
G = Government Expenditures
NX = foreign trade.
The first thing you can do is knock out foreign trade.
I think you can dispense with Government expenditures as well all though a school is an arm of government.
I think investment is what you have to look at carefully because it does include charitable organizations. We'll come back to this.
Consumption is what it sounds like it sounds.
You can't answer this in any other way than to know how the company writes it off. It is an asset that goes from some value to 0. It no longer exists on their books. So it decreases their assets. It is balanced on their books by calling it an expense I think and that further has impact on their books.
So they are decreasing their value (albeit by a small amount -- they've already bought new computers).
I'm not sure about this, but I think what has happened is that the GDP is going to go down. Their investment has decreased by being written off.
Answer:
The annual rate of return of the invesment will be -14,97%
Explanation:
The initial investment is 45.000 and after 5 years the value of the investment is only 20.000. Here we can see a destruction of value (20.000 < 45.000). In finance, the time takes an essential part in calculation, so through the interest rate we calculated how bad was the investment in annual terms. The formula is as follows: Final investment value=(Initial investment*(1+interest rate)^(total years)) in our case would be: 20.000=(45.000*(1+interest rate)^(5)) From this formula we got -14,97%
Answer:
Debiting in this case means to add to the inventory. Therefore, crediting means that inventory was used up when closing inventory.
Explanation:
A debit is an accounting entry that either increases an asset or expense account, or decreases a liability or equity account. ... A credit is an accounting entry that either increases a liability or equity account, or decreases an asset or expense account.
