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Rufina [12.5K]
3 years ago
14

"An inflationary gap exists when AD and SRAS" :

Business
2 answers:
lozanna [386]3 years ago
8 0

Answer: The Answer IS A.

Explanation: fail to Intersect

svetoff [14.1K]3 years ago
8 0

Answer: b). Intersect to the right of Natural Real GDP.

Explanation: Inflation is a persistent increase in the general price level of goods and services in an economy over a given period of time.

Inflationary gap describes the difference between the current level of real gross domestic product and the anticipated GDP that would occur if an economy is at full employment.

An inflationary gap however exists when aggregate demand (AD) and short run aggregate supply (SRAS) intersect to the right of natural real GDP.

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Adams Company makes fine jewelry that it sells to department stores throughout the United States. Adams is trying to decide whic
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Answer:

                                      Bracelet A,                 Bracelet B

Total fixed cost =             $15,000                    $12,400

Total variable cost =        $65                           $77

Total Avoidable cost =    $8,829                      $6,941

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Cost of material = $29

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Annual depreciation = 6,200

For Bracelet B

Cost of material = $41

Cost of labor = 36

Advertising cost = 6,900

Annual depreciation = 5,500

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For bracelet B,

Fixed cost = 6,900 + 5,500 = 12,400

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Variable cost = 29 + 36 =  65

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Variable cost = 41 + 36 = 77

And Avoidable cost = Cost of material  + Advertising cost

For Bracelet A,

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6 0
2 years ago
A company wants to generate a forecast for unit demand for year 2017 using exponential smoothing. The actual demand in year 2016
zimovet [89]

Answer:

114

Explanation:

For computing the forecast value for the resulting year, we have to apply the formula which is shown below:

= Actual demand × alpha + forecast demand × ( 1-  alpha)

= 90 × 0.2 + 120 × (1 - 0.2)

=  18 + 96

= 114

To compute the forecast value we have to deduct the alpha from the forecast demand and multiply the alpha with the actual demand

8 0
3 years ago
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