Considering the available options, the statements that will likely lead to cost-push inflation include <u>"An increase in the price of oil has reduced supply of all goods and services that use oil as an input."</u>
The other options that will likely lead to cost-push inflation are "<u>Consumers become more comfortable with debt, increasing their spending as they take on more loans.</u><u>"</u>
<h3>What is Cost-Push inflation?</h3>
Cost-Push inflation is a type of inflation caused by the rise in the cost of wages and raw materials.
This implies that the rise in wages allows the consumers to spend more money on limited supply.
Also, when the rise in the cost of materials reduced the supply of all goods and services.
Hence, in this case, it is concluded that the correct answer is options A and E.
Learn more about Cost-Push inflation here: brainly.com/question/4540785
Answer:
Lancashire Railway Company (LRC)
Lancashire Railway Company (LRC) should reject the project. The basis for rejecting Division H's project is that its return (12%) is less than the risk-based cost of capital for the division (14%).
Explanation:
a) Data:
Division L's weighted-average cost of capital = 8%
Division H's weighted-average cost of capital = 14%
Weight of Division L = 50%
Weight of Division H = 50%
Company composite weighted average cost of capital = 11% (8% * 50%) + (14% * 50%)
Expected return from a proposed project for Division H = 12%
Answer:
The correct answer is B.
Explanation:
Gross profit equals net sales minus cost of sales(Net sales- Cost of Sales).
Net sales = $325,000
Cost of Sales = $240,500
Therefore we have;
$325,000 - $240,500
=$84,500
Gross profit ratio is (Gross profit/net sales) x 100%
($84,500 x $325,000) x 100%
26%
Answer: $35,000
Explanation:
A casualty loss is simply a loss that an individual or business incurs when a property is damaged, or destroyed due to an unexpected or sudden event like fire, volcanic eruption, flood etc.
Here, Steve's casualty loss will be gotten when we compare both his adjusted basis and the fair market value and then we choose the lesser one. Since $35000 is lesser than $50000, therefore the answer will be $35000.
