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Whitepunk [10]
3 years ago
5

If interest rates are at the zero lower bound:A. the effectiveness of monetary policy increases. B. monetary policy is not very

effective. C. automatic stabilizers don't work. D. monetary policy is more effective than fiscal policy
Business
1 answer:
Nikolay [14]3 years ago
4 0

Answer:

B. monetary policy is not very effective

Explanation:

  • The zero lower bound is similar; lower bounds and is macroeconomic problems and this occurs when the short terms nominal interest rate is an at the near top the liquidity trap and is issues of the paper currency by the government and effective guarantee zero of normal interest rates acting as an interest rate floor.
  • The Zero interest rate is also referred to as the lower limit of the 0% for a short term rate beyond which monetary policy is not very effective.
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King Company issued bonds with a face amount of $1,600,000 in 2015. As of January 1, 2020, the balance in Discount on Bonds Paya
zimovet [89]

Answer:

January 1, 2020

Bonds Payable                                          1600000 Dr

Loss on Redemption of bonds                 36800 Cr

     Discount on Bonds Payable                        4800 Cr

     Cash                                                              1632000 Cr

Explanation:

The redemption of bonds before the maturity usually requires a payment for redemption which is a certain percentage of its face value. It is usually higher than the face value. The above bonds are redeemed at 102 which means at 102% of the face value of the bonds. Thus, the cash paid to redeem the bonds is,

Cash = 1600000 * 102%  =  1632000

The bonds have a carrying value, which is the face value less discount or add premium, of,

Carrying value = 1600000 - 4800  =  $1595200

If they are redeemed for an amount in excess of the carrying value, they are redeemed at a loss.

The loss on redemption is,

Loss = 1595200 - 1632000 = $36800

5 0
3 years ago
surfshack corp. buys surfboards, wetsuits, and surf wax from rip to shreds, inc. for sale to consumers. what type of company is
viva [34]

Buys surfboards, wetsuits, and surf wax from rip to shreds, inc. for sale to consumers. The type of company is surf shack corp is a retail merchandiser.

Merchandising is any practice that contributes to the sale of products to retail consumers. At the retail level, merchandising refers to the presentation of products that are sold in creative ways that induce customers to purchase more items or products.

Retail store clerks are responsible for ensuring that appropriate quantities of merchandise are available in stores and sold at appropriate prices. Clever planning, careful purchases, and smart advertising campaigns can increase your profits.

Merchandisers keep merchandise on retail shelves and present it appropriately to customers. They also track inventory levels, report problems and shortages to management, and clean up unwanted items for blatant violations of store decor.

Learn more about retail merchandiser brainly.com/question/7145120

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6 0
1 year ago
List the pros and cons of partnerships.​
sergey [27]
Pro-you’re never lonely , you have someone to talk with , you and your partner are more open , it creates a healthy mentality’s, you’re able to communicate with each-other , learn and grow with each-other, learn together ,learn about one’s difficulties . Cons- end up hurt , lose trust , see everyone differently, learn from past experiences, become a better version of your self
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3 years ago
Step 5 in the seven-step decision-making model is _____.
Butoxors [25]

Answer:

Choose among alternatives

Explanation:

8 0
3 years ago
Read 2 more answers
Use the following information of VPI Co. to prepare a statement of cash flows for the year ended December 31 using the indirect
r-ruslan [8.4K]

Answer:

                                                 VPI Co.

            Cashflow statement for the year ended December 31

                                                                               $

Operating activities                                            

Net income                                                         59,000

Add Depreciation                                                 7600

Less gain from sale of machinery                      (2900)

Increase in Inventory                                          (8,600)

Increase in accounts payable                              3,300

Decrease in accounts  receivable                      <u>  6,600</u>

Cash flow from Operating activities                  65,000

Investing activities

Cash received from sale of  machinery              11,300

Financing activities

Cash paid for dividends                                      (4,600)

Net cashflow                                                        71,700

Cash balance at prior year-end                       <u> </u><u>43,600</u>

Cash balance at current year-end                  <u> 114,300</u>

Explanation:

The indirect method of cashflow statements starts with the cashflows from the operating activities to Financing and then investing activities.

An increase in an asset other than cash is a decrease in cash and vice versa. An increase in a liability is an increase in cash and vice versa. We add or subtract none cash items like depreciation, gain on asset disposal etc.

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2 years ago
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