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AlexFokin [52]
3 years ago
11

IE 9-6 ... AS/AD model – If this economy has an equilibrium in Year 5 with a Price Level of $2.54, then Nominal Income GDP will

be __________ but Real Income GDP will be _____________ ..
Business
1 answer:
REY [17]3 years ago
4 0

Answer:

<u>$4387 b</u> but Real Income GDP will be <u>$4500 b</u> ..

Explanation:

This nominal GDP signifies the worth of all those ultimate assets including assistance that economics performed throughout a provided year. The aforementioned is calibrated by implementing the uses that remain contemporary throughout the year while which that output is generated. Meanwhile, in economics, a nominal worth is formulated into monetary sessions.

This is essential to identify amidst the nominal and real value of a nation's internal production including profit. Real GDP estimates a specific amount of production. An expansion in real production signifies that AD has grown quicker than this rate of inflation moreover this prosperity is encountering assertive germination. So according to the above eplaination the answer is mentioned below.

AS/AD model – If an aforementioned administration maintains equanimity into Year 5 including a Value Level concerning $2.54, later Nominal Earnings GDP will remain <u>$4387 b</u> still Real Income GDP will remain <u>$4500 b</u> ..

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If investors expect a total return of 14.60%, what will be Goodwin’s expected dividend and capital gains yield in two years—that
storchak [24]

Answer:

First Expected Dividend will come in at the end of Year 3 or t=3 assuming current time is t=0.

D3 = $ 4.25, Growth Rate for year 4 and year 5 = 22.1 %

Therefore, D4 = D3 x 1.221 = 4.25 x 1.221 = $ 5.18925 and D5 = D4 x 1.221 = 5.18925 x 1.221 = $ 6.33607

Growth Rate post Year 5 = 4.08 %

D6 = D5 x 1.0408 = 6.33607 x 1.0408 = $ 6.59459

Required Return = 13.6 %

Therefore, Current Stock Price = Present Value of Expected Dividends = [6.59459 / (0.136-0.0408)] x [1/(1.136)^(5)] + 4.25 / (1.136)^(3) + 5.18925 / (1.136)^(4) + 6.33607 / (1.136)^(5) = $ 45.979 ~ $ 45.98

Price at the end of Year 2 = P2 = Present Value of Expected Dividends at the end of year 2 = [6.59459 / (0.136-0.0408)] x [1/(1.136)^(3)] + 4.25 / (1.136) + 5.18925 / (1.136)^(2) + 6.33607 / (1.136)^(3) = $ 59.3358 ~ $ 59.34

Dividend Yield at the end of year 3 = DY3 = D3 / P2 = 4.25 / 59.34 = 0.07612 or 7.612 %

Total Required Return = 14. 6 %

Therefore, Required Capital Gains Yield = 14.6 % - 7.612 % = 6.988 %

7 0
3 years ago
Which of the following represents procurement as part of the support value activities in a value chain​ analysis?
ArbitrLikvidat [17]

Answer:

E. Purchasing inputs such as raw materials, resources, equipment and supplies

Explanation:

In business, <u>Procurement</u><u> </u>is the process of acquiring goods/services in order to support operational activities.

It includes all the aspects related to a purchase: price ( estimates, biddings ) , payment terms, good specifications, quality, delivery, volumes, etc.

8 0
3 years ago
Edith Carolina is president of the Deed Corporation. The company is decentralized, and leaves investment decisions up to the dis
Softa [21]

Answer:

Check the explanation

Explanation:

In this case option A is the correct option, i.e. Carolina will accept the new cosmetic line but Sanders will reject the new cosmetic line. This is because Carolina being the president of Deed Corporation would like to take the cosmetic line differently and with the expected rate of return of 12%, i.e. higher than the minimum required rate of return of 8%.

However, Sanders has achieved a 14% rate of return from his cosmetic division thus, being the manger he would not like his performance to go down with 12% return from the new cosmetic line. Thus, option A is the correct option.  

8 0
3 years ago
Allegheny Company ended Year 1 with balances in Accounts Receivable and Allowance for Doubtful Accounts of $82,000 and $4,500, r
Cerrena [4.2K]

Answer: $10,700

Explanation:

The Uncollectible Account Expense is the Accounting Adjustment made when a Receivable defaults on their debt and it can be calculated using the following formula,

= Uncollectible Amount written off + Closing Balance - Opening Balance.

Now the balances are as follows,

Opening Balance for Year 2 = 4,500

Closing Balance for Year 2 = 6,800

Uncollectible Amount written off during Year 2 = 8,400

Calculating therefore,

= 6,800 + 8,400 - 4,500

= $10,700

Allegheny will report $10,700 as Uncollectible Accounts Expense for Year 2.

3 0
3 years ago
Melinda wants to set aside money for a long-term savings goal. She hopes to deposit
babymother [125]

Answer:

future savings

Explanation:

because at the end of the 5year saving she will be able get more interest on her saving

8 0
3 years ago
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