Answer: The Ricardian equivalence theorem states that
: <u>"A. an increase in the government budget deficit has no effect on aggregate demand."</u>
Explanation: Ricardian Equivalence establishes that when the government increases the expenses financed with debt to try to stimulate the demand, this increase of the expenses does not produce any change in the demand.
This happens because the increases in the public deficit will be higher taxes in the future. Therefore, taxpayers reduce their consumption and increase their savings in order to offset the cost that will be the future tax increase.
Use this formula:
A= P(1+rt),
A is the final investment amount (4424.50x10)
P is the principal amount (25,000)
r is the rate of interest (annual)
t is the time period (10)
If A= P(1+rt),
then (1+rt) = A/P.
(1+r(10)=( 44,245)/25,000
10r=1.7698-1
r=.7698/10
<span>r=.07698 or 7.698%</span>
(C) Direct marketing.
<h3>
What is telemarketing?</h3>
- Telemarketing is a form of direct marketing in which a salesman calls potential clients to ask them to purchase goods or services.
- This can be done over the phone, during a prearranged in-person meeting, or by web conferencing.
<h3>
What is microtargeting?</h3>
- Direct marketing datamining techniques that use predictive market segmentation are part of microtargeting, which is frequently used by political parties and election campaigns.
<h3>What is direct marketing?</h3>
- The act of presenting an offer directly to a target client and providing them with a way to respond immediately is known as direct marketing.
- It is sometimes referred to as direct response marketing among practitioners.
- Advertising, in contrast, is a form of mass messaging.
<h3>What is the sharing economy?</h3>
- The sharing economy is a socioeconomic structure based on capitalism that emphasizes resource sharing.
- It frequently involves a different method of buying goods and services than the conventional business model, which involves employers hiring workers to create commodities that are then sold to customers.
Therefore, the correct answer is (C) Direct marketing.
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Answer:
her expected gain is $45,000.
Explanation:
If she wins
She will make = $400,000
Probability of winning = 0.3
Expected income = $400,000 x 0.3 = $120,000
Cost on the cash = $75,000
Expected gain = Expected income - Cost = $120,000 - $75,000 = $45,000
If she loses the case she has to bear the cost incurred to prepare the case. So, the probability on the cost side is 1 but probability on the income side is 0.3 so we calculated the 0.3 probable income which is $120,000 after deducting the cost the lawyer will have expected gain of $45,000 only.
Answer:
$48
Explanation:
Calculation to determine the minimum transfer price that the Heating Division should accept
Using this formula
Min. transfer price=[VC/unit + (Lost USP - VC/unit)
Let plug in the formula
Min. transfer price=$22 + ($48 - $22)
Min. transfer price=$22+$26
Min. transfer price= $48
Therefore the minimum transfer price that the Heating Division should accept is $48