Automatic stabilizers have a similar impact as discretionary fiscal policy but occur automatically, without action by the government. Automatic stabilizers increase aggregate demand during recessions and reduce aggregate demand during expansions.
Answer:
1. $2,296
2. $19.58
3. Total labor cost = Fixed cost + (variable cost × employee hour)
Explanation:
The computations are shown below:
1. The fixed cost would be
= High labor cost - (High employee hours × Variable rate per hour)
= $10,324 - (410 hours × $19.58)
= $10,324 - $8,028
= $2,296
2. Variable rate per hour = (High labor cost - low labor cost) ÷ (High employee hours - low employee hours)
= ($10,324 - $6,800) ÷ (410 hours - 230 hours)
= $3,524 ÷ 180 hours
= $19.58
3. The cost formula would be
Total labor cost = Fixed cost + (variable cost × employee hour)
= $2,296 + ($19.58 × employee hour)
Answer: BP = BD(WD) + BE(WE)
1 = 0.86(1-WE) + 1.39WE
1 = 0.86-0.86WE + 1.39WE
1 = 0.86 + 0.53WE
-0.53WE = -0.14
0.53WE = 0.14
WE = 0.14/0.53
WE = 0.2641509434
WD = 1 - WE
WD = 1 - 0.2641509434
WD = 0.7358490566
The dollar amount of investment in stock D = 0.7358490566 x $215,000
= $158,207.54
Explanation: The beta of the portfolio is 1, which corresponds to the beta of the market. The beta of the portfolio equals beta of each stock multiplied by the percentage of fund invested in each stock(weight). The weight of stock D is equal to 1 - weight of stock E. Therefore, we need to make weight of stock E the subject of the formula by solving the problem mathematically and collecting the like terms. The weight of stock E is 0.2641509434. The weight of stock E will be subtracted from 1 so as to obtain the weight of stock D, which is 0.7358490566. The dollar amount of stock D equal to $215,000 multiplied by 0.7358490566, which is $158,207.54.
Answer:
(a)<u> Backward vertical integration</u> (b) <u>Forward vertical integration</u> (c) <u>Backward vertical integration</u>
Explanation:
(a) An academic medical center is an example of backward vertical integration. The specialist and faculties from the university will provide treatment to the patients. Such medical centers have tertiary service with several intermediaries.
(b) Here, there is no intermediary between patients and general surgery group. The general surgery group treat patients directly. So here there is a forward vertical integration system.
(c) A manufacturer of durable medical equipment will supply to retailers who in turn supply these to hospitals where the patients will receive service from these equipment. So, it is an example of backward vertical integration.
