Which of the following represents a Keynesian point of view of macroeconomics?

Suppose Cook Plus manufactures cast iron skillets. One model is a 10-inch skillet that sells for $ 24. Cook Plus projects sales

ioda

Answer:

Production= 750 units

Explanation:

Giving the following information:

Cook Plus projects sales of 675 10-inch skillets per month.

Cook Plus has 60 10-inch skillets in inventory at the beginning of July but wants to have an ending inventory equal to 20% of the next month's sales.

TO calculate the production required, we need to use the following formula.

Production= sales + desired ending inventory - beginning inventory

Production= 675 + (0.2*675) - 60

Production= 750 units

4 0

3 years ago

Assume that the fair values of the investee's net assets approximated the recorded book values of the investee's net assets, exc

Andrew [12]

Answer:

I could not find the exact details related to this question so here is a similar question to guide you.

Goodwill = Acquisition Price - Net book value (Investee)

= 75,000 - ( Assets - Liabilities)

= 75,000 - ( 90,000 - 40,000)

= $25,000

Identifiable noncurrent assets is overstated by $10,000 however. This will have to be adjusted for tax and then removed from Goodwill to find the Net goodwill that should be reported in the investor's consolidated balance sheet prepared immediately after this business combination.

= 10,000 ( 1 - 40%)

= $6,000

Net Goodwill = 25,000 - 6,000

8 0

3 years ago

1. Explain the concept of opportunity cost with an appropriate example.<br>

inn [45]

Answer:

Concept & example of Opportunity Cost

Explanation:

Opportunity Cost is the cost of next best alternative foregone, while choosing an alternative. This arises because of 'choice' problem, due to unlimited wants & limited resources - having alternative uses.

Eg : If I can have 2 chapatis or a bowl of rice. And, I eat a bowl of rice. Then, 'opportunity cost' of a rice bowl is - the next best available '2 chapattis' foregone for the former.

4 0

2 years ago

Mark and Kate are establishing a fund for their son's college education. They would like $60,000 in the fund at the end of 10 ye

katen-ka-za [31]

Answer:

The lump sum amount to be deposited should be $27,020.67

Explanation:

Data provided in the question:

Future value = $60,000

Time, t = 10 years

Interest rate, r = 8% = 0.08

Compounded monthly i.e number of periods n = 12

Now,

Future value = Amount deposited × $\left( 1 + \frac{r}{n} \right)^{\Large{n \times t}}$

Therefore,

on substituting the respective values, we get

$60,000 = Amount deposited × $\left( 1 + \frac{0.08}{12} \right)^{\Large{12 \times 10}}$

or

$60,000 = Amount deposited × ( 1.00667 )¹²⁰

or

$60,000 = Amount deposited × 2.220522

or

Amount deposited = $60,000 ÷ 2.220522

or

Amount deposited = $27,020.67

Hence,

The lump sum amount to be deposited should be $27,020.67

7 0

2 years ago

The Vogt corporation paid a dividend of $4.20 on its stock in the year just ended. If the dividends are projected to grow at a r

Jet001 [13]

Answer:

cost of equity = 13%

Explanation:

With the info given, we will use cost of equity formula from Dividend Growth Model. THis is given by:

$k_e=\frac{D_1}{P_0}+g$

Where D_1 is the next year dividend or D_1 = D_0(1+g)

P_0 is current stock price

g is the growth rate

Since D_0 (dividend this year) is 4.20 and g = 6.4% or 0.064, we can calculate D_1:

$D_1=D_0(1+g)=4.2(1+0.064)=4.47$

Current share price is 68, so we can now calculate cost of equity:

$k_e=\frac{4.47}{68}+0.064=0.13$

Hence,

cost of equity = 13%

8 0

3 years ago