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Akimi4 [234]
3 years ago
8

If Real GDP increases at an annual rate of 3 percent and velocity increases at a rate of 2 percent per year, then rules-based mo

netary policy advocates who wish to maintain a stable price level would set the annual money supply growth rate at:
a. 1
b. 4
c. 3
d. 6
e. 2
Business
1 answer:
inn [45]3 years ago
8 0

Answer:

a. 1

Explanation:

Rules-based monetary policy advocats would most likely set the annual money supply growth rate at 1%. The money supply refers to the total value of money that is available in an economy at a particular point in time. This usually includes currency in circulation as well as demand deposits. However, the exact definition of "money supply" can vary depending on the central bank that manages it.

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Current profit Blank______ and target Blank______ are two strategies used by firms that are pursuing a profit pricing objective.
prohojiy [21]

Current profit maximization and target return are two strategies used by firms that are pursuing a profit pricing objective.

A profit-oriented pricing objective means that a company tried to earn maximum profit with every sale or service provided, and achieve long term business profits.

Current profit maximisation is a price setting objective in which organisation set a price for a product that will give maximum profits, cash flow or return in short term without considering long term.

Target return pricing is a method where the firm determines the price on the basis of a target rate of return on the investment.

The two strategies that a firm use while pursuing a profit pricing objective is current profit maximization and target return pricing.

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8 0
1 year ago
A firm’s profit margin is 5 percent, its debt/assets ratio is 56 percent, and its dividend payout ratio is 40 percent.
beks73 [17]

Answer:

The given statement is FALSE.

Explanation:

It will only be till sustainable growth rate that the firm will not require external financing. The debt /ratio demands resources to sustain the operation, which are not powered by the profit margin.

3 0
3 years ago
Data concerning three of the activity cost pools of Salcido LLC, a legal firm, have been provided below: Activity Cost Pool Tota
igor_vitrenko [27]

Answer:

Estimated manufacturing overhead rate (Meeting with clients)= $170 per hour

Explanation:

Giving the following information:

Activity Cost Pool -  Total Cost -  Total Activity

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Meeting with clients $ 1,270,410 and 7,473 meeting hours

Preparing documents $ 93,490 and 5,850 documents

Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Estimated manufacturing overhead rate (Meeting with clients)= 1,270,410/7,473= $170 per hour

3 0
3 years ago
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What should I prepare the trial balance from?
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