Answer:
b. 5.75
Explanation:
Times Interest earned ratio is the measure of ability of a company to pay the interest on its debts. It is the ratio of earning before interest and tax and interest expense as below.
Times Interest Earned Ratio = Earning before interest and tax / Interest Expense
Times Interest Earned Ratio = $86,250 / $15,000
Times Interest Earned Ratio = 5.75 times
Answer:
C. the market demand curve understates the relative importance of the product and resources are therefore underallocated to its production.
Explanation:
Positive external benefits refer to third party positive side effects, above & beyond private marginal benefit to the concerned consumer.
Eg : Education - Its consumption not only affects the concerned person, but the positive trickle down to the people & society around.
Personal consumption decisions are based on : equalisation - of private marginal benefit (demand) curve & private marginal cost curve. However, goods having positive external benefits have real marginal benefit curve increased over private benefit curve, by the extent of extra marginal social benefit.
So, market demand (based on private marginal benefit) curve understates the importance of product, and resources are therefore underallocated to its production (due to undervaluation of demand).
<span>Yes these contractually-stipulated programs between the both parties are actually a realistic and workable concept. It is important for both union and employer because when there is a situation of disagreement this contract will provide a resolution to both of them saving time and resources.</span>
Answer:
The owner's equity is $900
Explanation:
Because an asset takes money from your pocket and liability puts money in your pocket.
True According to the quantity theory of money, if the amount of money in an economy doubles, all else equal, price levels will also double.
Definition: The quantity theory of money states that the money supply and price level in an economy are directly related to each other. When the money supply changes, the price level changes proportionally, and vice versa.
The quantity theory of money states that the price level multiplied by real output is equal to the money supply multiplied by the speed or rotation of the money supply. Speed is generally stable.
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