All categories

3 years ago

In your opinion, what is the most difficult thing about balancing the federal budget? Explain

1 answer:

7 0

I think the most difficult thing is the way the money is constantly going in and out i believe it is herd because we cant keep track of how much money we have it makes it difficult to balance

You might be interested in

Vandelay Industries is considering the purchase of a new machine for the production of

Colt1911 [192]

The Equivalent annual cost for the Machine A and B is $5,083,947.72 and $5,461,499.68 respectively,

<h3>What is an Equivalent annual cost?</h3>

In accounting, this refers to the annual cost of owning, operating, and maintaining an asset over its entire life.

<h3>Machine A:</h3>

Cost of Machine = $3,210,000

Useful Life = 6 years

Annual Depreciation = Cost of Machine / Useful Life

Annual Depreciation = $3,210,000 / 6

Annual Depreciation = $535,000

Annual OCF = [Sales - Variable Costs - Fixed Costs] * (1 - tax)+ tax * Depreciation

Annual OCF = [$12,400,000 - 37% * $12,400,000 - $350,000] * (1 -0.24) + 0.24 * $535,000

Annual OCF = $7,462,000 * 0.76 + 0.24 * $535,000

Annual OCF = $5,799,520

NPV = -$3,210,000 + $5,799,520 * PVIFA(9%, 6)

NPV = -$3,210,000 + $5,799,520 * 4.48592

NPV = $22,806,182.76

EAC = NPV / PVIFA(9%, 6)

EAC = $22,806,182.76 / 4.48592

EAC = $5,083,947.72

<h3>Machine B:</h3>

Cost of Machine = $5,455,000

Useful Life = 9 years

Annual Depreciation = Cost of Machine / Useful Life

Annual Depreciation = $5,455,000 / 9

Annual Depreciation = $606,111.11

Annual OCF = [Sales - Variable Costs - Fixed Costs] * (1 - tax)+ tax * Depreciation

Annual OCF = [$12,400,000 - 32% * $12,400,000 - $240,000] * (1 -0.24) + 0.24 * $606,111.11

Annual OCF = $8,192,000 * 0.76 + 0.24 * $606,111.11

Annual OCF = $6,371,386.67

NPV = -$5,455,000 + $6,371,386.67 * PVIFA(9%, 9)

NPV = -$5,455,000 + $6,371,386.67 * 5.99525

NPV = $32,743,055.93

EAC = NPV / PVIFA(9%, 9)

EAC = $32,743,055.93 / 5.99525

EAC = $5,461,499.68

Read more about Equivalent annual cost

<em>brainly.com/question/14777504</em>

#SPJ1

5 0

2 years ago

Proponents of using the inflation tax to finance government budget deficits argue that: Multiple Choice these deficits would be

antoniya [11.8K]

Answer:

while inflation is undesirable, the breakdown of the economy that would occur in the absence of an inflation tax would be worse.

Explanation:

This is because, they believe that, when the economy under inflation is taxed, the money generated would be used to cushion the effects of those inflation through adequate management and administering of policies and projects.

4 0

3 years ago

For each of the following transactions, indicate whether it represents an increase in the U.S. gross domestic product (GDP), and

babunello [35]

Answer:

a. No change in GDP.

There will be no change in GDP resulting from this transaction. Resales are considered double counting because the good had already been paid for before and so will inflate GDP.

b. GDP increase by $12,500. U.S. Consumption.

This is a consumption transaction as money is being spent to satisfy the need for education. It will therefore increase GDP by $12,500.

c. No change in GDP.

Intermediate goods to be used in production are not included in GDP to avoid double counting. Only the final value of goods and services are included. This is an intermediate good and so will not be included.

d. Increase in GDP $16,000. Government purchase of goods or services.

Mr. Luong works in a Public University which means that his salary is paid for by the government. This will increase GDP by $16,000 as it represents money spent by Government.

e. Decrease in GDP $500. Net Exports.

As this good was bought from outside the country, it is an import. Imports reduce a country's GDP because they reduce the Net exports. GDP will therefore reduce by $500.

f. Increase in GDP by plane value. Investment.

So long as the goods have already been produced in their final form, they will be part of GDP. They will increase GDP by their value and are a part of Investment.

3 0

3 years ago

"In the __________ strategy, you can manipulate _________ to match supply and demand. a. Chase; inventory level b. Chase; invent

makkiz [27]

Answer:

a. Chase; inventory level

Explanation:

Chase Strategy is one of the two aggregate planning methods where the production is set according to demand forecasts. Hence in this type of aggregate planning, the inventory level may be increased for a certain duration to cater for higher demands while it can also be lowered through low production for low forecasts. Hence Inventory level may be manipulated to match supply and demand.

7 0

3 years ago

Read 2 more answers

A company's beginning accounts payable is $1,000. it had a $10,000 of purchases on account and paid $7,000 of the amounts owed.

sashaice [31]

The accounts payable ending balance equals a $4,000 balance

What is accounts payable?

Accounts payable is the account that represent the company's suppliers, in effect, its balance indicates the amounts owed to them, in essence, the closing balance is determined by adding new purchases to the beginning accounts while deducting amount paid to suppliers in the period under review.

accounts payable ending balance=beginning accounts payable+purchases-amount paid

beginning accounts payable=$1,000

purchases=$10,000

amount paid=$7,000

accounts payable ending balance=$1,000+$10,000-$7,000

accounts payable ending balance=$4,000

Find out more about accounts payable on:brainly.com/question/28481219

#SPJ1

3 0

2 years ago