In a typical balance of payments crisis part the interest parity curve shifts in. Capital exodus results from downward pressure on interest rates, whereas imports rise as income levels rise.
As a result, the exchange rate depreciates, moving the BP curve to the right. The I and Y combinations that result in balance of payments equilibrium are provided by the BP curve. A given domestic price level, a certain currency rate, and a specified net foreign debt are used to build the BP curve. When the capital account deficit equals the current account surplus, equilibrium has been reached. Interest rates between two countries must be equal for interest rate parity to persist in a fixed exchange rate regime.
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Due to scarcity. There exist unlimited wants but only scarce amount of resources to meet those wants so items must be allocated through a system of prices or through exchange.
Answer:
$41,400
Explanation:
Swansea Finishing
Variable cost of goods sold = Variable manufacturing costs × Units Sold
Variable manufacturing costs $23.00
Units sold $1,800
Hence:
$23.00 × 1,800 units
= $41,400
Therefore the cost of goods sold using variable costing is $41,400
Answer:
A) giving the key to a safe-deposit box where the gift is kept
Explanation:
- A Constructive delivery possession is that acquisition when here a symbolic transfer of property. The constructive distribution of the possession is basically a right that the property is not actually managed
- But the donor has done something to convey the possession, but the property is of such a nature that physical possession is then not possible, the creative possession of the property is sufficient to carry out the act of gift.
Answer:
$117500
Explanation:
Taxable loss = $140000 for 2018
Taxable incomes : $25000 for 2015, $35000 for 2016, $40000 for 2017
tax rate = 30%
Net loss on 2018 income statement can be offset by the taxes paid on taxable income for 2 years prior to 2018 ( i.e 2016 and 2017 )
first calculate taxes on taxable incomes for 2016 and 2017
$35000 * 30% = $10500
$40000 * 30% = $12000
hence taxable profit = 10500 + 12000 = $22500
Net loss to be reported on 2018 income statement
= $140000 - $22500 = $117500
