Answer:
Short range predictors:
c. Nominal interest rate differential
d. Psychological effects
e. Investor expectations
f. Bandwagon effect
Long range predictors:
a. Relative monetary growth
b. Relative inflation rates
Explanation:
Nominal rate, the real rate, and inflation. long term predictors of an economic theory in which a relationship between inflation, nominal interest rate and real interest rate is identified. It defines that real interest rate is equal to inflation minus nominal interest rate.
Bandwagon effect is a short range predictor because it is effect of uptake when people follow others. They take decisions what other do and its their belief that other people have taken the right decision so we too. This is just a short term hop based on beliefs regardless of any underlying evidence.
Answer:
Current year cost of goods sold is $181,800.
Explanation:
The current year cost of goods sold is calculated as follows:
Current year cost of goods sold = Last year cost of goods sold + Current year change
= $180,000 + ($180,000 * 1%)
= $180,000 + $1,800
= $181,800
Therefore, current year cost of goods sold is $181,800.
Answer:
option c) $ 12 billion
Explanation:
Data provided :
Required reduction in consumption = $ 36 billion
MPC = 0.75
Now,
Total income = Required reduction in consumption / MPC
or
the Increase in tax = $ 36 billion / 0.75
or
= $ 48 billion
the government can raise the tax = $ 48 billion - $ 36 billion = $ 12 billion
Hence, the answer is option C
Last year, being a non-leap year, there were 365 days
So, number of hours in last year = 365 x 24 = 8760
Total number of man-hours spent in the National park = 3100000 x 22, i.e. number of visitors x hours spent by each visitor
We can find out average number of visitors in the park at any time during that hour as = (3100000 x 22)/8760 = 7785.388 visitors
Answer:
Paid-in Capital in Excess of Par Value will be credited for $120,000.
Explanation:
The journal entry for the issue of shares is shown below:
Cash A/c Dr $140,000
To common stock (4,000 shares × $5) = $20,000
To Paid-in Capital in Excess of Par Value $120,000
(Being issue of shares recorded)
So, the cash account is debited whereas the common stock and paid-in capital should be credited
And, the remaining balance should be transferred to the Paid-in Capital in Excess of Par Value
