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3 years ago

The goods market of an open economy is in equilibrium when domestic output or production is:

Business

1 answer:

lianna [129]3 years ago

6 0

Answer: The correct answer is "A. equal to the demand for domestic goods.".

Explanation: In the market for goods and services, the equilibrium will take place when production or income is equal to aggregate demand.

We know that aggregate demand is equal to Consumption + Investment + Government spending + Net exports.

Therefore the goods market will be in balance when domestic production is equal to the <u>TOTAL</u> demand for domestic goods.

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Based on the following data for the current year, what is the inventory turnover? Sales on account during year $700,000 Cost of

Elodia [21]

Answer:

2.7

Explanation:

The inventory turnover is defined as the ratio between the cost of merchandise sold during the year and the average inventory.

Average inventory can be defined as the mean between initial and ending inventory. The inventory turnover is:

$IT=\frac{\$270,000}{\frac{\$110,000+\$90,000}{2} } \\IT=2.7$

The inventory turnover ratio is 2.7.

3 0

3 years ago

Zachary Manufacturing Company has an opportunity to purchase some technologically advanced equipment that will reduce the compan

Svet_ta [14]

Answer:

IRR = 8%

Don't accept the project

Explanation:

The internal rate of return is the discount rate that equates the after tax cash flows from an investment to the amount invested.

IRR can be calculated using a financial calculator:

Cash flow in year 0 = -9,187,846.67

Cash flow each year from year 1 to 11 = 1287000

IRR = 8%

Because the IRR is less than the hurdle rate, the project shouldn't be accepted.

To find the IRR using a financial calacutor:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the IRR button and then press the compute button.

I hope my answer helps you

6 0

3 years ago

Read 2 more answers

Mr. Leghorn lives next door to Mr. Fudd. During hunting season, Mr. Fudd likes to shoot rabbits in his backyard, which activity

Dvinal [7]

Answer:

A. Mr. Fudd to pay Mr. Leghorn between $500 and $900 to continue hunting.

Explanation:

3 0

2 years ago

In the concept of best fit privilege, a user has the bare minimum access based on what is needed to complete one’s responsibilit

Maurinko [17]

Least privilege is an information technology security system that enables greater risk management, as it restricts access to essential and secure information, allowing the user to gain access only to perform their activities. Least privileges are increased employee productivity, reduced risk and increased compliance in the organization.

4 0

3 years ago

On January 1, 2021, Hoosier Company purchased $940,000 of 10% bonds at face value. The bond market value was $985,000 on Decembe

qaws [65]

Answer:

Dr Bonds 940,000

Cr Cash 940,000

Dr Fair Value adjustment 45,000

Cr Net Unrealized holding gains & losses 45,000

Dr Fair Value adjustment 45,000

Cr Net Unrealized holding gains & Losses 45,000

Dr Investment in bonds 985,000

Cr Discount on bond investment 45,000

Cr Cash 940,000

Explanation:

Hoosier Company Journal entries

Dr Bonds 940,000

Cr Cash 940,000

Dr Fair Value adjustment 45,000

($985,000-$940,000)

Cr Net Unrealized holding gains & losses 45,000

Dr Fair Value adjustment 45,000

Cr Net Unrealized holding gains & Losses 45,000

Dr Investment in bonds 985,000

Cr Discount on bond investment 45,000

Cr Cash 940,000

8 0

3 years ago

The goods market of an open economy is in equilibrium when domestic output or production​ is:

The goods market of an open economy is in equilibrium when domestic output or production is: