Answer:
The correct answer is: 2,000; 0.4
Explanation:
We can write the initial consumption function as,
C = a + bY
8,000 = a + 10,000b
a = 8,000 - 10,000b
The new consumption function is,
14,000 = a + 20,000b
Putting value of a in this function
14,000 = 8,000 - 10,000b + 20,000b
14,000 - 8,000 = 10,000b
b = 
b = 0.6
Putting the value of b in the initial function,
8,000 = a + 10,000 
0.6
a = 8,000 - 6,000
a = $2,000
The marginal propensity to consume or b is 0.6.
The marginal propensity to save will be
= 1 - 0.6
= 0.4
The answer should be two or more and central
Answer:
annual income = $70,292.52
Explanation:
initial outlay $900,000
in order to determine the net cash flows per year we can use the present value of an ordinary annuity:
PV = annual cash flow x annuity factor
- PV = $900,000
- annuity factor, 15%, 12 years = 6.1944
annual cash flow = $900,000 / 6.1944 = $145,292.52
annual cash flow = [(revenue - operating costs - depreciation) x (1 - tax rate)] + depreciation
- revenue - operating costs - depreciation = annual income
- tax rate = 0?
- depreciation = $900,000 / 12 = $75,000
$145,292.52 = annual income + $75,000
annual income = $145,292.52 - $75,000 = $70,292.52
Prox Inc. is a U.S.-based manufacturer of consumer electronics. It decides to export to Mexico and wants to protect its goods against damage, loss, and pilferage. The document which is applicable here is an A. <u>insurance certificate.</u>
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Explanation:
- A certificate of insurance is a document used to provide information on specific insurance coverage.
- The certificate provides verification of the insurance and usually contains information on types and limits of coverage, insurance company, policy number, named insured, and the policies' effective periods
- Certificate of Insurance is a summary document usually issued by an agent on behalf of an insurer that says a policy has been issued to an insured for a general type of risk.
- The Certificate is usually issued to a third party who wants some evidence or assurance that a policy has been issued.
- A certificate of insurance is requested when liability and large losses are a concern.
- Most commercial leases require the tenant to provide certificates of insurance or other evidence of insurance. Certificates of insurance are typically issued by an agent or broker for the named insured and set forth the coverages written for the insured
