Answer:
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Answer:
B. a decrease in the demand for loanable funds.
Explanation:
An increase in the real interest rate will result in a decrease for the loanable funds.
Loans act as a fund that is an amount of money borrowed by the companies to be utilized for the running of the business. Interest is the amount payable at a certain rate on the amount borrowed in the form of loans. Loans are generally provided by either the banks or the financial institutions to the public or even companies.
The higher the rate of interest the lesser the demand for loans is there. Interest is charged on loans because it is a facility given.
Answer: Progressive tax policy
Explanation: In a progressive tax policy the rate of tax increases with the amount of taxable income, thus, making it possible to tax the people with higher income high tax and the lower section of the society a low level of tax.
The concept of progressive tax policy is based on the concept of ability to pay and not necessity to pay.
Thus, from the above we can conclude that right option is A.
Answer:
$13,200 per year
Explanation:
Amount incurred to improve the office space = $
Improvement expected to yield benefit = 10 years
Remaining life on it's lease = 8 years
Since the office space is not going to remain with Phoenix after the lease period, it means that the improvement expenses will be expensed over the remaining lease period I.e 8 years.
Therefore, the amount of expense that should be recorded the first year related to improvements can be calculated as;
= Amount incurred to improve the office space ÷ remaining life on its lease
= $105,600 ÷ 8
= $13,200 per year
Answer:
C. The monoplist sets price equal to marginal cost to maximize profit.
Explanation:
To maximise the profit, monopolist charge price where MR = MC.