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Gennadij [26K]
3 years ago
12

A college graduate in 1972 found a job paying $7,200. The CPI was 0.418 in 1972. A college graduate in 2005 found a job paying $

30,000. The CPI was 1.68 in 2005. The 1972 graduate's job paid ______ in nominal terms and ______ in real terms than the 2005 graduate's job.
Business
1 answer:
11111nata11111 [884]3 years ago
6 0

Answer:

D. Less; Less

Explanation:

Given that

CPI in 2005 = 1.68

Wage in 1972 = 7200

Wage in 2005 = 30,000

CPI in 1971 = 0.418

Therefore,

Real wage in 1972 = wage in 1972/CPI in 1972

= 7200/0.418

= $17,224.88

Real wage in 2005 = wage in 2005/CPI in 2005

= 30000/1.68

=$17,857.14

Thus, from the given data 1972 job paid LESS in nominal terms (7200 < 30000) and LESS in real terms (17,244.88 < 17,857.14) than the 2005 job.

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2. (12 points) The following is the income statement for Mattel Inc. ($ thousands) MATTEL INC. AND SUBSIDIARIES Consolidated Sta
marysya [2.9K]

Answer:

A.$23,109.09

B.$114,829.09

C. 22.1%

Explanation:

a.

Interest expense 95,118

Interest (income) (9,144)

Other non-operating (income), net 23,517

($95,118 - $9,144 – $23,517)

= $62,457 ×37%

=$23,109.09

b.

Provision for income taxes $91,720 +$23,109.09 =$114,829.09

c.

$114,829.09/519,233

= 0.22 ×100

= 22.1%

6 0
4 years ago
If the fed undertakes expansionary monetary policy, it can return the economy to its original unemployment rate but the inflatio
prohojiy [21]

TRUE, If the fed undertakes expansionary monetary policy, it can return the economy to its original unemployment rate but the inflation rate will be higher.

Monetary policy is the macroeconomic policy set by the central bank. It involves the management of the money supply and interest rates, and is the demand-side economic policy adopted by national governments to achieve macroeconomic goals such as inflation, consumption, growth and liquidity.

Monetary policy refers to the measures taken by a country's central bank to control the money supply in order to stabilize the economy. For example, policymakers manipulate the money supply to increase employment, GDP, and price stability using instruments such as interest rates, reserves, and bonds.

Learn more about monetary policy here:brainly.com/question/13926715

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3 0
2 years ago
How much should you pay for a share of stock that offers a constant growth rate of 10%, requires a 16% rate of return, and is ex
Bad White [126]

Answer: $48.33

Explanation:

Using the Gordon Growth model:

Price of stock = Next year dividend / (Required return - growth rate)

Next year price of stock can be used to calculate year 2 dividend:

53.17 = D₂ / ( 16% - 10%)

53.17 * 6% = D₂

D₂ = $3.19

D₂ = D₁ * ( 1 + growth rate)

3.19 = D₁ * ( 1 + 10%)

D₁ = 3.19/ 1.1

= $2.90

Price of stock today:

= 2.90 / ( 16% - 10%)

= $48.33

6 0
3 years ago
A woman hires a personal chef (cook) at $60,000 a year for his services. The two fall in love and get married, but the chef (coo
Anna71 [15]

Answer:

The Answer is explained below

Explanation:

When they both fall in love and got married there was a marital relationship between them and no explicit payments were made due to that there will be no addition to GDP but after divorce, there will be no marital relationship between them so the salary that should be added in GDP will be 60,000 because GDP is calculated on a yearly basis.

8 0
3 years ago
Sasha works for a large corporation, and sometimes, she finds it difficult to see how she fits into the corporate picture. Howev
FinnZ [79.3K]

Answer:

C. It can boost employee productivity.  

Explanation:

Sasha's company decision to establish an employee stock ownership plan has the potential benefit of boosting employee productivity because staff members and people in general are motivated by rewards.

Employee stock ownership plan is a staff reward scheme where a company's employees are awarded shares of the company they work for, hence they become both staff and shareholders of that company.

Sometimes these plans are futuristic, they are awarded at a certain date in future if the company achieves certain goals. Hence the productivity of employees are boosted in the bid to boost the company's performance and achieve their share rewards

8 0
3 years ago
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