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Arte-miy333 [17]
4 years ago
15

According to the law of supply, what happens to the quantity that the suppliers create when the prices increase?

Business
1 answer:
nata0808 [166]4 years ago
6 0

Answer:

the quantity increases

the supply law states that when price increases the quantity increases aswell and vice versa!

You might be interested in
Jennifer is leasing a car from a local auto retailer. The terms of the lease include a 9% interest rate for 36 months with a res
spin [16.1K]

Jennifer’s monthly lease payment is $312. 06, if the lease contains a 9% interest rate for 36 months with a residual value of 57%.

<h3>What is a lease?</h3>

A lease is a contract drafting the phrases under which one party decides to rent property owned by another party.

<u />

<u>Computation of</u><u> monthly lease payment</u><u>:</u>

According to the given information,

Residual Value:

\text{Residual Value}= \text{MSRP}\times \text{Residual Value Rate}\\\\\text{Residual Value}=\$17,500\times 57\%\\\\\text{Residual Value}=\$9,975

Car Value:

\text{Car Value}=\text{MSRP}- \text{Residual Value}\\\\\text{Car Value}=\$17,500-\$9,975\\\\\text{Car Value}= \$7,525

Monthly lease Payment:

\text{Monthly lease Payment}=\dfrac{\text{Car Value}}{\text{Number of Months}}\\\\\text{Monthly lease Payment}=\dfrac{\$7,525}{36}\\\\\text{Monthly lease Payment}=\$209.03

Interest :

\text{Interest}=\text{MSRP+Residual Value}\times {0.00375} \\\\\text{Interest}=\$17,500+\$9,975\times0.00375\\\\\text{Interest}= \$103.03

Therefore,  monthly lease payment:

\$209.03+\$103.03= \$312.06

Therefore, option D is correct.

Learn more about the lease, refer to:

brainly.com/question/15827905

3 0
2 years ago
There are three firms in an economy: X, Y, and Z. Firm X buys $200 worth of goods from firm Y and $300 worth goods from firm Z;
Tomtit [17]

Answer: $2,775

Explanation:

Total Value of goods sold by X:

= X sells to Y + X sells to Z

= $150 + $75

= $225

Total Value of goods sold by Y:

= Y sells to X + Y sells to Z

= $200 + $50

= $250

Total Value of goods sold by Z:

= Z sells to X + Z sells to Y

= $300 + $250

= $550

Value of goods produced by X = units of output × cost per unit

                                                    = 250 units ×  $4

                                                    = $1,000

Value of goods produced by Y = units of output × cost per unit

                                                    = 300 units ×  $6

                                                    = $1,800

Value of goods produced by Z = units of output × cost per unit

                                                    = 500 units ×  $2

                                                    = $1,000

GDP using the value added approach:

= [Goods produced by X - VA by X] + [Goods produced by Y - VA by Y] + [Goods produced by Z - VA by Z]

= [$1,000 - $225] + [$1,800 - $250] + [$1,000 - $550]

= $775 + $1,550 + $450

= $2,775

6 0
3 years ago
The united states economy is experiencing high inflation and real gdp is greater than potential gdp. Describe the actions taken
BARSIC [14]

Sale ; higher.

The result will be a decrease in the money supply and unemployment.

Money supply:

The entire amount of money in circulation in the economy at any given time is referred to as the money supply. The amount of money in circulation and demand deposits are typically considered standard measures of money. These are statistics that are typically compiled and released by the national government or central bank. In terms of consumerism, supply and demand also depend on the availability of money.

  • When the New York Fed sells assets on the open market to reduce the amount of money in circulation, the money supply curve shifts to the left, the interest rate rises, the demand for investments declines, and the AD curve shifts to the left. In the end, the inflation rate falls at the expense of a reduced RGDP.
  • Real GDP exceeding potential GDP indicates that the economy is producing more than it can sustainably produce and that aggregate demand is greater than aggregate supply. Price hikes and inflation are expected to follow in this situation.
  • Employment in full GDP is the fictitious GDP level that an economy would reach if it reported full employment, i.e., it is the level of GDP that would result in zero unemployment.

In the given question, the requirement is to reduce real GDP and thus reduce unemployment.

Hence, the government will use contractionary policy to reduce unemployment.

Thus, the Fed will conduct an open market sale to hit the new higher federal funds rate target.

Sale ; higher

Reason: The result will be a decrease in the money supply and unemployment.

The currency base shrinks. Money is less plentiful, and interest rates are rising.

The supply of loanable funds decreases, and long-term interest rate rises.

decreases ; rises

Reason: Savings will decline due to a declining money supply, which will also cause a decline in the amount of cash available for loans, raising interest rates.

decreases ; decreases

Investment will decline as interest rates rise and thus $\mathrm{AD}$ will also reduce since investment is a component of $\mathrm{AD}$

Learn more about money supply here brainly.com/question/3625390

#SPJ4

4 0
2 years ago
Tripod Inc. began the month with accounts receivable of $25,000. During the month, it collected $12,000 from customers and sold
Yakvenalex [24]

Answer:

Accounts receivable balance at the end of the month is $18,000

Explanation:

Accounts receivable balance at the end of the month = Accounts receivable balance at the beginning of the month + Accounts receivable increased during the month - Accounts receivable decreased during the month.

During the month, Tripod Inc. collected $12,000 from customers. Accounts receivable decreased during the month of $12,000

It sold $5,000 of merchandise on credit. Accounts receivable increased during the month of $5,000

Accounts receivable balance at the end of the month = $25,000 + $5,000 - $12,000 = $18,000

6 0
4 years ago
Ethan put $4000 in a 2-year CD paying 5% interest, compounded monthly. After 2 years, he withdrew all his money. What was the am
svp [43]

Answer:

The total amount was $4419.76

Explanation:

The 5% of $4000 is $200 so after a 2 year period added to the amount the original deposit of $4000 then A is the correct and closest equal amount.

7 0
3 years ago
Read 2 more answers
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