Answer:
A) Shifty has $5,000 of income when Easy cancels the debt.
Explanation:
Since Shifty originally owed $10,000 to Easy, if the debt is cancelled by paying just $5,000, the remainder of the debt would be considered income by Shifty (= $10,000 - $5,000). On the other hand, Easy should consider a $5,000 loss on the uncollected amount.
I would do the things I remember. and next time I will secretly record it
Answer: c. III only
Explanation:
The marginal propensity to consume (mpc) measures the proportion of a consumers income that is spent.
The marginal propensity to save (mps) measures the proportion of a consumers income that is saved.
It is usually assumed that disposable income is either saved or spent, so mps + mpc = 1
The multiplier is measured as : 1 / MPS or 1 / (1-MPC)
the MPC has a positive relationship with the multiplier.
Models used for analysis, evaluation and selection are useful to know the feasibility of a business project. With these tools, business people can quantify the measures they must achieve to gain the outcome profit. However, ethical business practices may affect the end decisions. This is because it only does not care about the money but the morals of what they are doing. In a way, this is a business limitation.
