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ExtremeBDS [4]
4 years ago
5

How will a decrease in the federal government's budget deficit affect the equilibrium interest rate in the bond market?

Business
1 answer:
sasho [114]4 years ago
6 0

Answer:

Interest rate decrease

Explanation:

When the federal budget deficit increases, the Government Issue more treasury bonds to raise funds which increase the equilibrium interest rate in the bond market. Similarly, if the budget deficit decreases, the government stops issuing more bonds which decrease the equilibrium interest rate. It’s a simple concept of demand and supply which determines the interest rate.

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On january 2, fafnir co. purchased a franchise with a finite useful life of 10 years for $50,000. an additional franchise fee of
skelet666 [1.2K]

The amount should Fafnir report as intangible asset - franchise is -

Purchase value of Franchise = $ 50,000

Life of Franchise = 10 years

Salvage value = $ 0 ( not given)

Since, no other methods of amortization are specifically mentioned, straight line method will be used.

Book value of Franchise = Purchase price - Amortization expenses

Book value of Franchise = $ 50,000 - [ ( $ 50,000 - $ 0) / 10 Years ]

Straight-line depreciation = ( Purchase price - Salvage value) / Number of years

Book value of Franchise = $ 50,000 - $ 5,000 = $ 45,000

The amount should Fafnir report as intangible asset - franchise is = $ 45,000

7 0
4 years ago
The welding department supplies parts to the final assembly line. Management decides to implement a kanban system and has collec
const2013 [10]

Answer:

25 containers

Explanation:

The computation of the number of kanban containers required is shown below:

= (Lead time demand + Safety stock) ÷ Container size

where,

Lead time demand is

= 2,000 units × 4 days

= 8,000 units

Container size = 400 units

Safety Stock is

= 1 day × 2,000 units

= 2,000 units

So, the number of kanban containers required is

= (8,000 units + 2,000 units) ÷ (400 units)

= 25 containers

We simply applied the above formula

6 0
3 years ago
Discuss social responsibility and ethics?<br><br>​
LuckyWell [14K]

Answer:

Social responsibility: It is an ethical theory in which individuals are accountable for fulfilling their civic duty.

Social ethics: It refers to guidelines and principle if that group of people who decided to references to in order to be accepted.

8 0
4 years ago
Is 6ixnine getting out of jail this year?
Alborosie

tbh idk some people has said he escaped others say hes still in there but whatever it is he needs to make another album.

4 0
3 years ago
Read 2 more answers
Go to the internet and find a news article published within the last month that discusses changes in demand and supply of partic
Setler79 [48]

Answer: The explanation is provided below

Explanation:

Below article is the summary of the acceleration of inflation in the emerging markets that was published in 2018.

According to the article, inflation in an economy is caused by an adverse supply shock or as a result of the expansionary fiscal policy or the expansionary monetary policy.

In an adverse supply shock, total quantity of basic goods will reduce drastically causing the aggregate demand to rise exponentially and therefore, push prices higher and then gradually lead to inflation.

Also, the continous and eventual implementation of the expansionary fiscal or monetary policy through continous tax cuts or by increasing government spending or reducting interest rates, lead into significant increase in the aggregate demand and as a result, prices rise eventually resulting in hyperinflation in the economy. This will also lead to increase in the real GDP of the economy.

Different tools in the monetary policy framework can be used to control inflation such as government securities,

the cash reserve ratio, interest rates. To reduce recession, government utilize automatic stabilizer in order to boost the economy.

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3 years ago
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