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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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In a macroeconomic context, choose the best definition for the term velocity. The rate at which the aggregate price level increa
N76 [4]

Answer:

The rate at which money circulates through an economy.

Explanation:

In Macroeconomics, the term velocity refers to the speed at which money circulates in an economy, and it is a variable in a fundamental macroeconomic equation, the quantity theory of money equation:

M x V = P x T

Which states that the price of goods and services is equal to the amount of money in an economy, or its money supply (M) multiplied by the Velocity of circulation of money, which is in turn equal to price (P) multiplied by the number of transactions (T).

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Mike is a sole proprietor who buys, sells and repairs kilns and other equipment used in pottery making. He has an arrangement wi
Artyom0805 [142]

Answer:

c) Broker Factor.

Explanation:

A broker factor is an agent that sells goods that are from someone else for a comission and this person takes possession of the products that is selling. Also, a broker factor can make a sell in his/her name and has authorization to receive the money from the sale. Because of this, Mike's relationship with K&M is that of a broker factor.

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3 years ago
John earns $5.75 per hour. He worked 40.0 hours last week. What was the amount of his check?
Nataliya [291]
John would have made 230$
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Brainliest and 40 pts!!! Does my answer work for this question?
anyanavicka [17]

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6 0
2 years ago
DeLong Corporation was organized on January 1, 2017. It is authorized to issue 14,500 shares of 8%, $100 par value preferred sto
DanielleElmas [232]

Answer:

Jan. 10

Cash $507,00 (debit)

Common Stock $507,00 (credit)

Mar 1

Cash $566,500 (debit)

Preferred Sock $515,000  (credit)

Share Premium : Preferred Stock $51,500 (credit)

April 1

Land $91,000 (debit)

Common Stock $91,000 (credit)

May 1

Cash $420,000 (debit)

Common Stock $420,000 (credit)

Aug 1

Legal Expenses : Attorneys bill $39,500 (debit)

Common Stock $39,500 (credit)

Sept 1

Cash $80,500 (debit)

Common Stock $80,500 (credit)

Nov 1

Cash $222,000 (debit)

Preferred Sock $200,000  (credit)

Share Premium : Preferred Stock $22,000 (credit)

Explanation:

<u>Common Stocks are at no par value:</u>

This means that ,

1.When Common Stocks are Issued, the value is the issue price there is no share premium reserve on it.

2. For consideration paid in Common Stocks, value of stocks would be the same as the cost at initial recognition. For example the Purchase of Land on April 1. Initial recognition is at Asking Price of $91,000. Hence common stocks are issued at $91,000.

<u>Preference Stocks are at $100 par</u>

This means that,

1.Any issue of Preference Stock made in excess of par value is accounted in the Preference Share Premium Reserve.

5 0
3 years ago
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