Based on the current level of GDP, the investment spending, and the MPC, the new level of the real GDP will be $195 million.
<h3>What is the new level of the GDP?</h3>
First find the investment multiplier as:
= 1 / (1 - MPC)
= 1 / (1 - 0.7)
= 3.333
The new level of GDP is:
= Current level of GDP + (Investment spending x Multiplier)
= 150 + (13.5 x 3.333)
= $195 million
Find out more on the investment multiplier at brainly.com/question/6600233.
Answer:
Answer is Trade shows.
Explanation:
Trade show:
It is a show where different people of different companies are held together to showcase their own products and to demonstrate them.
Answer:
Please refer below the journal entry for the issuance of Common stock as well as preferred Stock
Explanation:
1. Journalize Arizona's issuance of 5,500 shares of common stock for $ 12 per share
Cash Debit $66,000
Common Stock Credit $27,500
Paid in Capital (Excess of Par) i.e. Premium Credit $38,500
2. Journalize Arizona's issuance of 5,500 shares of preferred stock for a total of $ 137,500.
Cash Debit $137,500
Preferred Stock Credit $137,500
Answer:
Estimated manufacturing overhead rate= $15.5 per machine hour.
Explanation:
Giving the following information:
H Corporation uses a predetermined overhead rate base on machine-hours.
Estimated manufacturing overhead from the beginning of the year $ 310,000 Estimated activity level from the beginning of the year 20,000 machine-hours.
Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base= 310000/20000= $15.5 per machine hour.