Answer: Effective interest rate : 6.58%.
Explanation:
Simple interest rate = principle × rate × time period
= $1,849 × 0.06 ×
= $157.165
When move out from the bank:
We will be left with(1849 - 157.165) = $1691.835
∴ Effective interest rate =
= 0.0658
= 6.58%
Answer:
2.2
Explanation:
The formula for calculating price elasticity using the midpoint method is:
midpoint method = {(Q2 - Q1) / [(Q2 + Q1) / 2]} / {(P2 - P1) / [(P2 + P1) / 2]}
midpoint method = {(150 - 100) / [(150 + 100) / 2]} / {(1.20 - 1) / [(1.20 + 1) / 2]}
midpoint method = [50 / (250 / 2)] / [0.20 / (2.20 / 2)] = (50 / 125) / (0.20 / 1.1)
midpoint method = 0.4 / 0.19 = 2.2
The advantage of using the midpoint method to calculate price elasticity is that we can calculate the price elasticity between two points, and it doesn't matter if the price increases or decreases.
If we calculate price elasticity using the single point formula:
price elasticity = % change in quantity supplied / % change in price = 50% / 20% = 2.5
Answer:
its b
Explanation:
When a persons actions make another person look bad
Answer:
GDP is not affected by Pete's production of the jewelry box.
Explanation:
Pete is a woodworker and works 20 hours to prepare a jewelry box to gift his wife. If Pete prepares this jewelry box to sell and earn revenue, this will be considered in GDP but in this case Pete prepares a jewelry box to give his wife as his wife's birthday gift.
All types of gifts received or given in kind are not included in Gross Domestic Production.
Answer:
money supply = 32 million
Explanation:
The reserve requirement is the money banks keep in their vaults against the deposited money.
The supply of money is affected by reserves and the supply of money can be increased if we lower the reserve requirements.
The money supply is calculated as
money supply = deposits*money multiplier
Where money multiplier is ( 1/ % of reserve requirement)
money supply = deposits*( 1 / % of reserve requirement)
money supply = 1600000*( 1/0.05)
money supply = 32000000
money supply = 32 million