All categories

3 years ago

An example of a discretionary item in the federal budget is

Business

1 answer:

yKpoI14uk [10]3 years ago

6 0

Answer: See explanation below for answer.

Explanation: In micro-economics, a discretionary expense refers to a cost that a business or household can actually do without, if necessary. These expenses are often wants rather than needs. Case in point, a business may allow employees to charge certain meal and entertainment costs to the company.

In macro-economics, discretionary spending is the type of government spending that is implemented through an appropriations bill. What this means is that the spending is an optional part of fiscal policy, which is quite the opposite of entitlement programs for which require mandatory funding and are determined by the number of qualified recipients.

Some examples of areas funded by discretionary spending are national defense, foreign aid, education and transportation.

Discretionary spending must always be deliberated upon by Congress through the annual appropriations process each year.

You might be interested in

When the cross price elasticity between good X and other related goods is positive and very low firm X can be assumed to have?

geniusboy [140]

Answer:

c. a significant amount of market power

Explanation:

Cross price elasticity measures the responsiveness of quantity demanded of a good to the changes in price of another good.

If the cross price elascitiy is postive, the goods are subsituites.

If the cross price elasticity is negative, the goods are complementary goods.

If the cross price elasticitiy is low the firm has market power. It means that it's consumers do not change the quantity demanded when the price of the good changes

If the cross price elasticitiy is high, the market has low market power.

I hope my answer helps you.

3 0

3 years ago

Item32 time remaining 46 minutes 2 seconds 00:46:02 item 32 item 32 time remaining 46 minutes 2 seconds 00:46:02 during a recent

abruzzese [7]

The variable cost is calculated as -

Sales - Variable cost = Contribution Margin

Given, Contribution Margin = 25 %

Variable cost = 1 - Contribution Margin = 1 - 25 % = 75 %

25 % of Sales = Contribution Margin = $ 400,000

Sales = $ 400,000 ÷ 25 %

Sales = $ 1,600,000

Variable costs = 75% of Sales = 75 % × $ 1,600,000 = $ 1,200,000

3 0

3 years ago

A firm offers a 10-year, zero coupon bond with a face value of $1,000. What is the current market price if the yield to maturity

viva [34]

Answer:

Current market price is 474.30

Explanation:

The current price of the bond can be computed using the pv function in excel as stated thus:

=-pv(rate,nper,pmt,fv)

rate is semiannual yield to maturity which is 7.6%/2

nper is the 10 years of bond tenure multiplied by 2

pmt is the coupon payable which is zero

fv is the face value of the bond which is $1000

=-pv(7.6%/2,20,0,1000)=$ 474.30

7 0

3 years ago

Furniture Shine is introducing an improved version of its existing wax targeted to owners of antiques. The firm has decided to l

ra1l [238]

Answer:

modified product - multiple markets

Explanation:

This type of strategy consists of offering different products, which are modified versions of some exiting product, to new markets.

In this case, the improved version of the wood wax is a modified version of the old wood wax, and is going to be targeted to a new and specific market (antique owners), while the original version is still going to be targeted at the current market.

4 0

3 years ago

Spice sells paprika for $9.00 per bottle. Variable cost is $2.43 per bottle and Spice's annual fixed costs are $825,000. The var

yKpoI14uk [10]

The variable expense ratio for paprika is 27%.

<h3>Variable expense ratio</h3>

Using this formula

Variable expense ratio=Variable cost/Selling price

Where:

Variable cost=$2.43

Selling price=$9

Let plug in the formula

Variable expense ratio=2.43/9×100

Variable expense ratio=27%

Inconclusion the variable expense ratio for paprika is 27%.

Learn more about variable expense ratio here:brainly.com/question/15684424

5 0

2 years ago