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dangina [55]
3 years ago
5

Explain the importance of profit to the economy.

Business
1 answer:
Kay [80]3 years ago
4 0

Answer:

Explanation:

Profit is the surplus revenue after a firm has paid all its costs. ... In a capitalist economy, profit plays an important role in creating incentives for business and entrepreneurs. For an incumbent firm, the reward of higher profit will encourage them to try and cut costs and develop new products

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When Julia was young, she and her mother would have a girls' night out every month. They would go shopping, watch a movie, and h
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The correct answer is letter "B": episodic memory.

Explanation:

Episodic memory stores unique specific personal experiences. The perception of this event is different from each individual who experienced it. Episodic memory relates factors such as emotions, objects or places at the time the experience is remembered by the individual.

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What do u mean by book keeping why is it important?​
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Bookeeping involves the recording, on a regular basis, of a company's financial transactions. ... With proper Bookkeeping, companles are able to track all information on its books to make key operating, investing, and financing decisions. Bookkepers are individuals who manage all financial data for companies.

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One of your goals you have set for your company is to expand our product line the statement is
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Assume that a bank receives a cash deposit of $9,000 from a customer. What is the immediate impact of this transaction on the mo
mariarad [96]

Answer:

the money multiplier = 1 / reserve ratio

in this case, the reserve ratio is 10% (required) + 10% (voluntary) = 20%, so the money multiplier = 1/20% = 5

What is the immediate impact of this transaction on the money supply?

  • None, since the money supply doesn't change. When a customer deposits money in a bank, the money does not increase, only its composition changes.

The maximum amount by which this bank will increase its loans from the transaction in part (a)

  • the bank will be able to loan ⇒ total deposit x (1 - reserve ratio) = $9,000 x (1 - 20%) = $7,200

The maximum increase in the money supply that will be generated from the transaction in part

  • since the banks started to "create" money by lending the money, the money supply will increase by ⇒ total deposit x (money multiplier - 1) = $9,000 x 4 = $36,000

Assume that the government increases spending by $9,000, which is financed by a sale of bonds to the central bank. Indicate what will happen to the money supply.

  • The money supply will increase.

Explain what will happen to the money demand.

  • The money demand will also increase because aggregate demand and income will increase. Aggregate demand will increase by ⇒ $9,000 x government multiplier. The government multiplier = 1 / MPS.
6 0
3 years ago
Recall the four reasons some people favor trade restrictions. Give an example from the U.S. economy that you think best fits eac
Nookie1986 [14]

Answer: See explanation

Explanation:

Trade restrictions simply means a way of protecting the local industries. This can be through imposition of tariffs on foreign goods, use of quota etc. The importance of trade restrictions are:

1. Trade restrictions are important in the protection of the infant indutries, that is, the young industries in a country that are just growing.

2. Trade restrictions is necessary to prevent dumping of goods. This mean selling of goods at lower prices or of low quality in a country. This gives such products an unfair advantage over other goods produced in the home country.

3. Trade restrictions is vital on order to protect the strategic indutries.

4. Trade restrictions is also vital in order to protect the jobs of the people in the country. When goods are imported rather than supporting local businesses, this can lead to unemployment as workers will lose their jobs.

7 0
2 years ago
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