Answer: The answer is as follows:
Explanation:
Potential GDP = consumption + investment + government purchases + net export
= 300 + 50 + 100 + 20
= $470
If the full-employment level of GDP for this economy is $620 billion.
In this situation, potential GDP is less than the real output or GDP at full employment level. From the above calculation, the potential GDP is $470 and GDP at full employment is $620. So, there is a gap of $150 between Potential GDP and real output.
Therefore, government should increase the spending and cut down taxes to reduce the GDP-gap.
Answer:
The bond will sell for the amount of $869.17
Explanation:
According to the given data coupon amount = 50/2 = 25
Therefore, in order to calculate the selling price of the bond we would have to make the following calculation:
selling price of the bond = 25 * PVIFA(3%,52) + 1,000 * PVIF(3%,52)
selling price of the bond= 25 * 26.1662 + 1,000 * 0.2150
selling price of the bond= $869.17
The bond will sell for the amount of $869.17
The fixed cost is $15000
<u>Explanation:</u>
Given:
Break even point = 3000 units
Each unit = $5 → (Price - variable cost = $5)
Fixed cost, x = ?
We know,
Break even point = fixed cost / (Price - Variable cost)
On substituting the values:

Thus, the fixed cost is $15000
For simplicity, we will assume 52 weeks in a year (instead of 365 days).
The rate of interest per week actually charged is




Effective Annual Rate (
EAR) is obtained by <em>compounding</em> the weekly rate for one year (52 weeks)



=
4454629.97%note: most calculators may not display this value with sufficient accuracy.
The corresponding
APR is obtained by <em>multiplying</em> the weekly rate by 52


=1188.57%
This isn’t a question but I think what you are trying to say is how much they are so you add them up using a calculator and you get your answer