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elixir [45]
3 years ago
7

Suppose that this year's money supply is $500 billion, nominal GDP is $10 trillion, and real GDP is $5 trillion. The price level

is , and the velocity of money is . Suppose that velocity is constant and the economy’s output of goods and services rises by 5 percent each year. Use this information to answer the questions that follow. If the Fed keeps the money supply constant, the price level will , and nominal GDP will . If the Fed wants to keep the price level stable instead, it should next year. If the Fed wants an inflation rate of 10 percent instead, it should . (Hint: The quantity equation can be rewritten as the following percentage change formula:

Business
1 answer:
MakcuM [25]3 years ago
4 0

Answer:

Please see attachment

Explanation:

Please see attachment

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A company has net credit sales of​ $1,200,000, beginning net accounts receivable of​ $290,000, and ending net accounts receivabl
7nadin3 [17]

Answer:

Days of receivable will be 75 days

Explanation:

We have given net credit sales = $1200000

Net account receivable at the beginning = $290000

And receivable at the ending = $201000

Average receivable =\frac{290000+201000}{2}=$245500

Now receivables turnover ratio =\frac{credit\ sales}{average\ receivable}=\frac{1200000}{245500}=4.888

Days of receivables = \frac{365}{4.888}=74.67=75days

8 0
3 years ago
On December 1, 2016, Insto Photo Company purchased merchandise, invoice price $25,000, and issued a 12%, 120-day note to Ringo C
Leto [7]

Answer:

See explanation section

Explanation:

Requirement A

                            Insto Photo Company

                                  Journal Entries

Date                             Accounts Name                    Debit          Credit

December 1, 2016     Inventory                              $25,000

                                           Notes payable                                 $25,000

<em>Note</em>: As the merchandise company issued a note for the credit purchase of merchandise inventory, notes payable is used instead of accounts payable.

Dec. 31, 2016             Interest expense                      $250

                                               Interest payable                             $250

<em>Note: </em>Adjusting entry is needed as the fiscal year is ended on 31st December, therefore, there will be an accrued interest expense to be paid for one month. The calculation of interest expense = $25,000 × 12% × (30 ÷ 360) [assuming  1 year = 360 days, 1 month = 30 days]. = $250 for one month's accrual.

Requirement B

March 31, 2017           Interest expense                     $   750

                                   Interest payable                      $   250

                                   Notes payable                       $25,000

                                                      Cash                                      $26,000

<em>Note:</em> At the end of the maturity date, the buyer will pay all the bills of the notes plus interest. Interest payable becomes debit as it did not pay by the buyer on 31st December, 2016. The remaining interest = $25,000 × 12% × (90 ÷ 360) = $750. Total cash will be paid after the maturity = $25,000 + $250 + $750 = $26,000.

3 0
3 years ago
G Government expenditure​ ________ change potential GDP and taxes​ ________ change potential GDP.
Furkat [3]

Answer:

<u>can</u> ; <u>can</u>

Explanation:

With increasing or decreasing government expenditure there are various other things also associated. Government expenditure is not only done to construct roads, but rather to provide education, to provide better health services, to provide more opportunities.

If an individual is more educated and healthy then the remaining candidates his chances for a better job are even higher, with that he shall contribute to GDP.

With taxes the buying capacity of individuals earning are decreased, also with the levy of taxes government tends to earn more. With this again the GDP suffers directly.

7 0
3 years ago
What would you have done if you were an employee at Enron and you found out about all the unethical things going on in the compa
Volgvan

Answer:

478

Explanation:

3 0
2 years ago
A boat licensed to harass enemy shipping in wartime is called a
azamat
Its a destroyer i think
5 0
3 years ago
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