Mariah applied for a loan at a financial institution. The loan officer will look at ___

The Central Bank of Wiknam increases the money supply at the same time the Parliament of Wiknam passes a new investment tax cred

tresset_1 [31]

Answer:

a. both the money supply increase and the investment tax credit

Explanation:

When the Central Bank of Wiknam increases the money supply, it is known as expansionary monetary policy.

When the Parliament of Wiknam passes a new investment tax credit, it is known as expansionary fiscal policy.

A shift in the aggregate demand curve to the right is when aggreagrate demand increases.

When money supply is increased, disposable income increases, consumption increases and aggregate demand increases.

Investment tax credit reduces the amount paid as tax and therefore increases disposable income, consumption increases and aggregate demand increases.

I hope my answer helps you.

3 0

3 years ago

A company issued 260 shares of $100 par value common stock for $31,000 cash. The total amount of paid-in capital in excess of pa

Lelu [443]

Answer:

The total amount of paid-in capital in excess of par is: $5,000.

Explanation:

When Common Stocks are classified as par value Stocks, any price paid in excess of the par value of the Stock is accounted for in the Share Premium account.

Here is the Summary of the Transaction provided.

Common Stocks : 260 shares × $100 = $26,000

Paid-in capital in excess of par : $31,000 - $26,000 = $5,000

5 0

3 years ago

Four roommates are planning to spend the weekend in their dorm room watching old movies, and they are debating how many to watch

gulaghasi [49]

Answer:

See the five answers below.

Explanation:

The roommates are debating how many movies they should watch.

This is the constraint; given that they have to pay to rent each movie.

PART (A)

Since their dormitory room is the 'cinema', meaning that it's just going to be 4 of them and a private good that they'll pay for; then the showing of a movie is not a public good!

Public goods are those general utilities usually provided by governments, for their citizens; e.g. public defense, clean drinking water, good roads, etcetera.

PART (B)

Given the 'willingness to pay' constraint, we need to find the optimal number of movies they can watch. It costs $8 to rent a movie, no matter how interesting it is or how much satisfaction the viewers derive from it. So the cost of the 1st film = the cost of the 2nd film = the cost of the 3rd film = the cost of the 4th film = the cost of the 5th film.

To get the total amount they're willing to pay for all 5 movies, sum up!

(10+9+6+3) + (9+7+4+2) + (8+5+2+1) + (7+3+0+0) + (6+1+0+0)

KEY: This arrangement should remind you of the law of diminishing marginal utility. The more movies they watch in one sitting or over a weekend, the less satisfaction they derive from the intangible commodity. Hence, the less they are willing to pay for more of the commodity.

So the sum is 28 + 22 + 16 + 10 + 7 = 83

Now to get the number of movies they should rent if they wish to maximize their total spending, divide the total willingness to pay by the cost for a movie:

83/8 = 10.375

Rounding up to the nearest whole number or in reality, that's 10 movies.

PART (C)

Suppose the roommates choose to rent this optimal number of movies - which is higher than the intended number of movies - and then split the cost equally, what will each roommate pay?

Here, we will use the approximated value 10.

10movies x $8 = $80

Splitting the cost equally, divide by 4

$80 ÷ 4 = $20

This figure is just in obedience to the question's requirements which says the bill must be shared equally. In actual fact, some of the four roommates don't have a purchasing power or willingness that is up to $20! That's Felix and Larry.

PART (D)

Complete the given table by inputing each roommate's total willingness to pay for the 5 movies and the surplus each person obtains from watching the movies. Remember to assume that Van is the same person as Raphael.

Also, total cost for 5 movies is 8 x 5 = $40

Dividing this by 4, you have $10 per roommate. So a surplus would be the excess of each roommate's TWTP over $10.

TWTP($) CS($)

VAN 40 30

CARLOS 25 15

FELIX 12 2

LARRY 6 -4

PART (E)

If the cost is divided up based on the benefits (remember how the price for movie was static despite the movie and satisfaction received by each viewer? That's about to change) or satisfaction each roommate receives, the practical problem with this 'solution' is that each roommate has an incentive to reduce the value of the movies to him; and this can only be measured by the efficient number (the number that rates the value each roommate derives from each movie). In this case, the incentive is the window given to each roommate to 'not tell the truth' about their level of satisfaction from watching each movie, because that would mean a higher bill for the individual.

KUDOS!

4 0

3 years ago

More and more companies are increasing their interactive marketing budgets. most of this investment will be made in:

Zina [86]

Search marketing (such as search engine optimization/SEO) and display advertising.

5 0

3 years ago

On December 31, 2011, Colonial Corporation had the following account balances related to credit sales and receivables prior to r

kow [346]

Answer

Colonial corporation

Journal entries

A. $2,150 uncollectible of the year end Accounts receivable balance.

Debit Uncollectible Account with $2,150

Credit Account Receivable Account with $2,150

(Being aged debt that is uncollectible at year end)

Debit Allowance for doubtful debt with $200

Credit Uncollectible debt Account with $200

(Being reversal of allowance for doubtful debt no longer required after ageing review of debt)

B. 1% of credit sales is uncollectible

1% of $400,000 = $4,000

Debit Uncollectible Account with $4,000

Credit Account Receivable Account with $4,000

(Being 1% of credit sales that is uncollectible at year end)

Debit Allowance for doubtful debt with $200

Credit Uncollectible debt Account with $200

(Being reversal of allowance for doubtful debt no longer required after ageing review of debt)

C. (assuming a above but allowance for doubtful debt is a debit balance of $200)

i. $2,150 uncollectible of the year end Accounts receivable balance.

Debit Uncollectible Account with $2,150

Credit Account Receivable Account with $2,150

(Being aged debt that is uncollectible at year end)

ii. 1% of credit sales is uncollectible

1% of $400,000 = $4,000

Debit Uncollectible Account with $4,000

Credit Account Receivable Account with $4,000

(Being 1% of credit sales that is uncollectible at year end)

The debit receivable balance could relate to debts once written off but now being paid.

5 0

3 years ago

Mariah applied for a loan at a financial institution. The loan officer will look at ____ to determine if she will qualify.