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3 years ago

If the MPC in an economy is 0.8, government could close a recessionary expenditure gap of $100 billion by cutting taxes by

Business

1 answer:

QveST [7]3 years ago

8 0

Answer:

cutting taxes by $125 billion

Explanation:

given data

economy = 0.8

expenditure gap = $100 billion

to find out

cutting taxes

solution

we get here cutting or reduce taxes that is express as

cutting taxes = $\frac{expenditure\ gap}{MPN\ economy}$ ......................... 1

cutting taxes = $\frac{100}{0.8}$

solve we get cutting taxes

cutting taxes = $125 billion

so cutting taxes by $125 billion

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3 years ago

At the beginning of the current period, Griffey Corp. had balances in Accounts Receivable of $239,000 and in Allowance for Doubt

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3 years ago

When managers determine that an organization is not making sufficient progress toward achieving its goals and objectives and the

Alekssandra [29.7K]

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Thus the correct answer is controlling.

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1 year ago

Journalize the following transactions for Powell Company using the gross method of accounting for sales discounts. Assume a perp

Marianna [84]

Answer:

Jan 7

Dr Cost of Good Sold 7,860

Cr Inventory 7,860

(to record the cost of good sold)

Dr Account Receivable 13,100

Cr Revenue 13,100

( to record revenue and receivable owed from Stewart)

Jan 13

Dr Sales Returns 2,620

Cr Account Receivable 2,620

(to record sales return from Stewart)

Dr Inventory 2,620

Cr Cost of good sold 2,620

(to record inventory returns and decrease in cost of good sold due to sales return from Stewart)

Jan 18

Dr Cash 10,480

Cr Account Receivable 10,480

( to record full collection from Stewart after 11 days)

* further working note on Jan 18 transaction: As Stewart had return $2,620 sales; the Receivable from Stewart is just $10,480 ( 13,100 - 2,620). Also, the term of receivable is 5/10, n/30; the repayment after 10 days received from Steward is not eligible for discount.

Explanation:

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3 years ago

Rockwell Inc. reported the following results for the year ended June 30, 2016:

pychu [463]

Answer:

See attached file

Explanation:

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The first ones are profits reserved by the company to invest in future projects rather than distribute as dividends to shareholders, that’s why are calculated as follows:

Retained Earnings Final Balance = Retained Earnings Beginning balance – Dividend in cash – Stock dividend + Net Income – Net loss.

Stock Divided will register as Stockholders´ contributions.

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3 years ago