Answer:
<u>discontinuous innovation.</u>
Explanation:
Discontinuous innovation occurs when a new product is launched in the market that influences the design of new consumption habits, new value and new market.
They can also be called radical technological innovation, as they not only add value to an existing product, but create a product that can meet needs that were not possible with a previous product, so it is justified to say that there is a new product and market, such as analog cameras and digital cameras.
There is greater risk and cost in creating a product of discontinuous innovation than incremental product continuation, because creating something new involves many processes, time and costs, and there is still the possibility that the product will not be accepted in the marketplace. Therefore, it is essential for the company to conduct research and development, marketing research, create something that adds value and has a low cost to consumers, and then invest effectively in discontinuous innovation.
A recession within a nation will <u>reduce</u> imports directly, but the impact on the national economy is negative.
Monetary policy. monetary policy consists of the steps the central bank of a nation can take in order to regulate the nation's money supply. For example, a central bank might reduce interest rates during a recession in order to make loans more readily available to other banks and thus stimulate economic recovery.
During a recession, the economic struggles, people lose work, companies make fewer sales, and the country's overall economic output decline. The point at which the financial system officially falls right into a recession relies upon an expansion of things.
Monetary policy can offset a downturn due to the fact that decreased interest rates reduce consumers' cost of borrowing to shop for large-ticket objects such as cars or homes. For firms, the economic policy also can reduce the value of an investment.
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Answer:
workers may provide less-than-expected work effort.
Explanation:
Principal-agent problem
This is also called Agency problem. It is simply defined as a type of problem of motivating one party that is the agent just to act on behalf of another person which is the principal. This problems arise usually when incentives between the agent and the principal are not perfectly aligned or in tune.
This form of problem is also said to occur when agents example a firm's managers tends to run after their own personal goals rather than the goals of the principals who is the firm's owners.
Agency relationship
This form of relationship is said to occur if there is a set up or an arrangement in where one person's welfare is dependent or based on what another person does.
Agent
This is simply known as an Individual whose services has being employed by a principal so as to help achieve the principal's objective.
Principle
This is also known as a person who simply employs the services of one or more agents so as to obtain or achieve an objective.
Answer:
(a) Journalize the payment of the bond interest on January 1, 2022.
Dr Interest payable - bonds payable 40,400
Cr Cash 40,400
The interest expense on the bonds payable should have been accrued on the 2021 balance sheet, that is why we debit interest payable and not interest expense.
(b) Assume that on January 1, 2022, after paying interest, Blossom calls bonds having a face value of $100,000. The call price is 103. Record the redemption of the bonds.
Dr Bonds payable 100,000
Dr Call premium 3,000
Cr Cash 103,000
(c) Prepare the adjusting entry on December 31, 2022, to accrue the interest on the remaining bonds.
interest expense = $405,000 x 8% = $32,400
Dr Interest expense - bonds payable 32,400
Cr Interest payable - bonds payable 32,400
Answer:
The correct answer is D.
Explanation:
The fed buys $100 worth of bonds from a primary dealer. The fed will pay the dealer for these bonds. This will cause an increase in the total reserves by $100. The money supply will increase by more than $100. The extent of increase in the money supply depends on the required reserve ratio. This is an example of an expansionary monetary policy.