Answer:
Changes in the equilibrium interest rate
- affects both the size of the domestic output and the allocation of capital goods among industries.
Explanation:
Changes in interest rates affects the demand for goods and services and, thus, aggregate investment spending. A decrease in interest rates lowers the cost of borrowing, which encourages industries to increase investment spending.
The aggregate demand is determined by consumption demand and investment demand. When the rate of interest falls the level of investment increases and vice versa
An increase in the equilibrium interest rate affects demand for money. This increase in demand raises the equilibrium interest rate.
Households and businesses then try to decrease their cash holdings by purchasing bonds affecting both the size of the domestic output and the allocation of capital goods among industries.
The equilibrium interest rate changes with the economy and monetary policy.
Hello, yes it's actually common for people to give up their home to avoid further payment only if their lender agrees and allows that to happen. But of course, the remaining balance (the difference of the house value and what's left of the mortgage) must be paid. Walking away from an underwater mortgage can seriously affect that person's financial future and by extent his/her relationship with the community. His/Her credit score will go down with this, it may be difficult for him/her to qualify for another mortgage in the future. Another reason is that - in most states, it is completely legal for lenders to go after the difference (deficiency) because technically they own that and have rights to it.
Answer:
$169 million
Explanation:
To calculate the cash flow from operating activities we must start with the net income:
net income $140 million
plus patent amortization $1 million
plus decrease in accounts receivable $9 million
plus depreciation expense $20 million
<u>minus decrease in salaries payable ($1 million) </u>
cash flow from operating activities $169 million
Answer:
The correct answer is the option C: A vertically integrated supply chain.
Explanation:
To begin with, a vertically integrated supply chain is the one that the companies choose in order to have a higher management over the whole supply chain and that is because the principal company who uses that strategy is the one who will give the orders and manage the other firms of the supply chain with the purpose of establishing better results by avoinding catastrophic risks that can happen. That is why, a vertically integrated supply chain tends to minimize the risks inside the chain.
Answer:
<u><em>decrease</em></u>
Explanation:
<em>If there is a low demand for a product, the price for that product will decrease.</em>