Question 25

Which of the following describes the expected outcome of expansionary monetary policy in the short run?

Vaselesa [24]

Answer:

The correct answer is letter "A": higher employment, higher output, and a higher price level.

Explanation:

Expansionary policy is a macroeconomic concept that focuses on expanding the economy to counteract cyclical downturns. Expansionary policies can be used through monetary policy to expand the money supply or to increase government expending and tax cuts to stimulate the economy. Under this scenario, interest rates are lower and aggregate demand increases. In that case, employment, output, and price level will be higher. Though, the latter is dangerous since it could lead to high inflation.

7 0

3 years ago

Private placements can be advantageous, compared to public issue, because: I. Private placements are cheaper to market than publ

Maurinko [17]

Answer:

Private placements

Explanation:

private placements are cheaper to market than public issues

8 0

3 years ago

g Companies can help to ensure they do their part toward achieving the Sustainable Development Goals set out by UNCTAD by

Lunna [17]

The correct answer to this open question is the following.

Companies can help to ensure they do their part toward achieving the Sustainable Development Goals set out by UNCTAD by establishing a continuing education program so employees can do what is expected on this issue. Management can start funding campaigns to donate some money to the cause. Ask employees to give volunteering time to noble causes and environmental. The company has to set an example from top management to the operational level to do the right thing always, no matter the circumstances.

We are talking about the sustainability development goals created by the United Nations Conference on Trade and Development (UNCTAD).

8 0

3 years ago

Classifications on Balance SheetThe balance sheet contains the following major sections:Current assetsLong-term investmentsPrope

Shkiper50 [21]

Answer:

1. Cash ⇒ CURRENT ASSETS, NOT A CONTRA ACCOUNT

2. Bonds Payable (due in 8 years) ⇒ LONG TERM LIABILITY, NOT A CONTRA ACCOUNT

3. Machinery ⇒ FIXED ASSET, NOT A CONTRA ACCOUNT

4. Deficit ⇒ PART OF RETAINED EARNINGS, NOT A CONTRA ACCOUNT

5. Unexpired Insurance ⇒ GENERALLY CURRENT ASSET (AT LEAST THE PORTION OF PREPAID INSURANCE THAT COVERS THE NEXT 12 MONTHS), NOT A CONTRA ACCOUNT

6. Franchise (net) ⇒ INTANGIBLE ASSET, NOT A CONTRA ACCOUNT

7. Fund to Retire Preferred Stock ⇒ LONG TERM INVESTMENT, NOT A CONTRA ACCOUNT

8. Current Portion of Mortgage Payable ⇒ CURRENT LIABILITY, NOT A CONTRA ACCOUNT

9. Accumulated Depreciation ⇒ PART OF FIXED ASSETS, CONTRA ACCOUNT

10. Copyrights ⇒ INTANGIBLE ASSET, NOT A CONTRA ACCOUNT

11. Investment in Held-to-Maturity Bonds ⇒ LONG TERM INVESTMENT, NOT A CONTRA ACCOUNT

12. Allowance for Doubtful Accounts ⇒ PART OF CURRENT ASSETS, CONTRA ACCOUNT

13. Notes Receivable (due in 3 years) ⇒ LONG TERM INVESTMENT, NOT A CONTRA ACCOUNT

14. Property Taxes Payable ⇒ CURRENT LIABILITY, NOT A CONTRA ACCOUNT

15. Deferred Taxes Payable ⇒ LONG TERM LIABILITY, NOT A CONTRA ACCOUNT

16. Additional Paid-in Capital on Preferred Stock ⇒ CONTRIBUTED CAPITAL, NOT A CONTRA ACCOUNT

17. Premium on Bonds Payable (due in 8 years) ⇒ LONG TERM LIABILITY, IT IS AN ADJUNCT ACCOUNT NOT A CONTRA ACCOUNT

18. Work in Process ⇒ CURRENT ASSET, NOT A CONTRA ACCOUNT

19. Common Stock, $1 par ⇒ CONTRIBUTED CAPITAL, NOT A CONTRA ACCOUNT

20. Land ⇒ FIXED ASSET, NOT A CONTRA ACCOUNT

21. Treasury Stock (at cost) ⇒ CONTRIBUTED CAPITAL, CONTRA ACCOUNT

22. Unrealized Increase in Value of Available-for-Sale Securities ⇒ ACCUMULATED OTHER COMPREHENSIVE INCOME, NOT A CONTRA ACCOUNT

3 0

3 years ago

The partnership of Anderson, Berry, Hammond, and Winwood is being liquidated. It currently holds cash of $20,000 but no other as

Rashid [163]

Answer:

a. Contribution from Berry = $6,000

b-1. Contribution from Hammond = $22,556

b-2. Disbursement shall be:

Anderson = $8,889

Berry = $3,667

c. Amount to be received by Anderson on Liquidation = $11,500

Explanation:

As for the provided information we have,

Capital balances

Anderson 40% $20,000

Berry 30% $12,000

Hammond 20% $17,000 (Deficit)

Winwood 10% $25,000 (Deficit)

a. Total deficit in this case will be = Share of Hammond + Winwood = $17,000 + $25,000 = $42,000

Berry's share = $\frac{30}{30+40} \times 42,000 = 18,000$

Since Berry's current balance = $12,000

Contribution required = $18,000 - $12,000 = $6,000

b-1. Total deficit of Winwood = $25,000

Hammond share = $\frac{20}{20+30+40} \times 25,000 = 5,556$

Hammond's current balance = - $17,000

Thus, contribution from Hammond = $5,556 + $17,000 = $22,556

b-2. Total deficit balance = $17,000 + $25,000 = $42,000

Total sufficient balance = $20,000 + $12,000 = $32,000

Net deficit balance = $42,000 - $32,000 = $10,000

Anderson share in Deficit of Winwood = $25,000 \times \frac{40}{40 + 30 +20} = 11,111$

Thus, net capital of Anderson = $20,000 - $11,111 = $8,889

Berry's share in deficit of Winwood = $25,000 \times \frac{30}{40+30+20} = 8,333$

Thus, net capital from Berry = $12,000 - $8,333 = $3,667

c. Total deficit from Hammond = $17,000

Anderson share = $17,000 \times \frac{40}{40+30+10} = 8,500$

Anderson's current balance = $20,000

Amount extra contributed by Anderson = $20,000 - $8,500 = $11,500

Thus, Anderson will receive $11,500 on liquidation.

Final Answer

a. Contribution from Berry = $6,000

b-1. Contribution from Hammond = $22,556

b-2. Disbursement shall be:

Anderson = $8,889

Berry = $3,667

c. Amount to be received by Anderson on Liquidation = $11,500

3 0

3 years ago