Answer:
$100 billion
Explanation:
Real GDP is currently = $13.55 trillion
Potential real GDP = $14.0 trillion
Gap = $500 billion
Government purchases multiplier = 5.0
Tax multiplier = 4.0
To increase aggregate demand by $500 billion, the required increase in government expenditure is:
= (1 ÷ government purchases multiplier) × change in aggregate demand
= (1 ÷ 5) × $500
= $100 billion
Therefore, the government expenditure need to be increased by $100 billion.
Answer:
C. Look for cars of bicycles on the traffic side of your vehicle.
Explanation:
Safety is always first, for you, and the people around you. To minimize risk of injury, you must check for oncoming cars or bikers.
Answer:
Follows are the description of the equity section change:
Explanation:
Washington announced a split stock of 2-for-1 on 14 August 2017, in which securities are exchanged for $114 per stock only at the time of announcement. It also reported a net loss of $6,500 in the first two quarters of its financial year. This amount of shares would rise to 30 000, as well as the par value would drop to 12,50 cents per month, and capital throughout the shareholders would fall to 528 500 dollars. As just a result of such knowledge, will the equity division of Washington transformation.
Answer:
Insurance reduces one asset and increases another
Purchase of supplies on account increases liabilities and increases asset
Receipt of unpaid utility bill increases liability and reduces capital
Payment of accrued utility bill reduces asset as well as liability
Explanation:
The purchase of 36-month insurance brings about increase in asset,insurance prepayment and reduction in another asset,cash.
The purchase of supplies on account brings about increase in liability,accrued liabilities or other accounts payable as well as increase in asset,inventory of supplies.
The receipt of utility bill yet to be paid,increases liability,accrued expenses and reduces capital,since an increase in expenses reduces retained earnings which is an integral part of capital
Payment of utility reduces asset,cash and at the same time reduces liability,accrued expenses
Answer:
SEP IRA
Explanation:
The biggest contribution to a retirement account can be made with a SEP IRA. This Simplified Employee Pension is an IRA account set up by small business in which the the contributions are made by the employer (which in this case is the client as well) and the contribution amounts made by the employer cannot exceed 25% of the employee's income, up to a maximum of $55,000 in 2018. Which in this case would be a total of $50,000 that the individual in this scenario can contribute per year.
