Answer:
MPC = 0.8
MPC = 0.2
Explanation:
Marginal propensity to consume is the proportion of an increase in income that is spent on consumption.
Marginal propensity to consume = increase in consumption / increase in disposable income
Marginal propensity to save is the proportion of an increase in income that is saved.
Marginal propensity to save = increase in savings / increase in disposable income
Disposable income is either consumed or saved. so,
Marginal propensity to consume + marginal propensity to save = 1
Marginal propensity to consume = $64 / $80 = 0.8
Marginal propensity to save = $16 / $80 = 0.2
I hope my answer helps you
Since he is 35 and lives in the United States we would need to know if he has been a resident within the United States for at least 14 years, and if he was a natural born citizen of the U.S.A.<span />
Answer:
If a firm decreases its sustainable growth rate (g), the price of their stock will probably decrease. I will use the following example:
P₀ = Div₁ / (Re - g)
P₀ = $2 / (12% - 5%) = $28.57
if the growth rate g decreases to 2%, and the rest remains unchanged, then
P₀ = $2 / (12% - 2%) = $20
Answer: The correct answer is "b. Ace has done nothing to change its CERCLA liability."
Explanation: CERCLA is the Comprehensive Environmental Response, Compensation and Responsibility Act and was designed to promote cleaning, maintenance and protection of the environment against hazardous waste.
Those responsible for releasing dangerous substances are identified to take care of their cleaning through the superfunds, therefore by creating the new corporation and transferring the assets: Ace has done nothing to change its CERCLA liability.