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KengaRu [80]
3 years ago
10

A nation's central bank auctions off a new issue of 10-year bonds. What is the short-run effect on the nation's economy

Business
1 answer:
sdas [7]3 years ago
6 0

Answer: Aggregate Demand Decreases

Explanation:

When the Central Bank sells bonds, it is engaging in Open Market Operations to reduce the amount of money in the Economy by taking money out of people's hands ( the money they will use to buy the bonds).

When money supply in the economy decreases, it will have the opposite effect on Interest rates as they will increase because money is no longer readily available.

When this happens both businesses and Individuals will reduce the amount of money they borrow for investment and consumption respectively which are both components of Aggregate Demand.

Aggregate Demand therefore decreases and the AD curve shifts to the LEFT to depict this.

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What are the limitation of accounting ?
docker41 [41]

Answer:

One of the biggest limitations of accounting is that it cannot measure things/events that do not have a monetary value. If a certain factor, no matter how important, cannot be expressed in money it finds no place in accounting.

5 0
4 years ago
Paul & Griffon manufactures and markets many products you use every day. In 2016, sales for the company were $86,000 (all am
Gre4nikov [31]

Answer and Explanation:

The computation is shown below:

a. The receivables Turnover Ratio and Inventory Turnover Ratio is

receivables Turnover Ratio is

= Net credit sales ÷ average account receivable

= $86,000 ÷ ($6,500 + $6,900) ÷ 2

= $86,000 ÷ $6700

= 12.84 times

Inventory turnover ratio is

= Cost of goods sold  ÷ average account receivable

= ($86,000 × (1 - 49.8%) ÷ ($7,280 +  $7,300) ÷ 2

= $43,172 ÷ $7,290

= 5.92 times

b. The average days to collect receivables and inventory is

For receivables

= 365 ÷ 12.84 times

= 28.43 days

For inventory

= 365 ÷ 5.92

= 61.66 days

4 0
3 years ago
If your risk-aversion coefficient is A = 4.4 and you believe that the entire 1926–2015 period is representative of future expect
tamaranim1 [39]

Answer:

=> fraction of the portfolio that should be allocated to T-bills = 0.4482 = 44.82%.

=> fraction to equity = 0.5518 = 55.18%.

Explanation:

So, in this question or problem we are given the following parameters or data or information which are; that the utility function is U = E(r) – 0.5 × Aσ2 and the risk-aversion coefficient is A = 4.4.

The fraction of the portfolio that should be allocated to T-bills and its equivalent fraction to equity can be calculated by using the formula below;

The first step is to determine or Calculate the value of fraction to equity.

Hence, the fraction to equity = risk premium/(market standard deviation)^2 - risk aversion.

= 8.10% ÷ [(20.48%)^2 × 3.5 = 0.5518.

Therefore, the value for fraction of the portfolio that should be allocated to T-bills = 1 - fraction to equity = 1 - 0.5518 =0.4482 .

8 0
3 years ago
Fines and jail time (occasionally) for information security failures are:
Liono4ka [1.6K]

Answer:

The correct answer is b. Generally, only applied for serious, deliberate misuse, where someone intentionally accesses data in order to do harm or for personal gain.

Explanation:

Computer crime, cybercrime or cybercrime is all that unlawful action that is performed in the digital environment, digital space or internet. Given the widespread use and use of new technologies in all spheres of life (economy, culture, industry, science, education, information, communication, etc.) and the increasing number of users, a consequence of the digital globalization of society, the Crime has also expanded to that dimension. Thanks to anonymity and personal information stored in the digital environment, criminals have broadened their scope and crimes and security threats have increased exponentially.

7 0
3 years ago
The development group in a​ company's IS department is staffed primarily by​ programmers, test​ engineers, technical​ writers, a
PolarNik [594]

Answer:

A) The company develops programs in-house.

Explanation:

Many companies prefer to develop the resources it wants if it is possible. In cases when companies desire so, it has its own research and development team.

When the company has its own personnel for the development of programs, that is consisting test engineers, technical writers, and many other required development personnel, will specify for the company's own programs development.

The company has its own inbuilt capacity to develop the programs in house.

8 0
3 years ago
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