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3 years ago

Which of the following statements is correct?

Business

1 answer:

GREYUIT [131]3 years ago

8 0

Answer:

The answer is: A) All items that are included in M1 are included also in M2.

Explanation:

I guess this question is about money supply.

The money supply is the total amount of money available in an economy. It includes:

M1 includes coins and notes (bills) in circulation plus other money equivalents that are easily liquidated.
M2 includes M1 plus short term bank deposits and 24 hour money market funds.
M3 includes M2 plus long term bank deposits and money markets with more than 24 hour maturity.

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You own a small store. Your cashier thinks you should lower prices to increase your total revenue and your friend thinks you sho

Helga [31]

Answer:

A. elastic; inelastic

Explanation:

Price elasticity of demand refers to degree of responsiveness of quantity demanded of a good with respect to a change in the price. It is mathematically expressed as:

$\frac{dQ}{dP} \ *\ \frac{p}{q}$

wherein dQ= Change in quantity demanded

dP = Change in price

p = Original Price

q = Original quantity

Total revenue refers to total receipts of a firm from the sale of a good.

When price elasticity of demand is less than 1, it refers to inelastic demand which further means, the change in quantity demanded is less w.r.t change in price.

Similarly, when price elasticity of demand is greater than 1, it signifies change in quantity demanded is more w.r.t change in the price.

In the given case, the cashier thinks lowering prices will increase the total revenue. This indicates the cashier believes the demand to be elastic.

Similarly, the friend's belief of increased prices leading to increased total revenue signifies inelastic demand.

7 0

3 years ago

Á Business models are classified under the rubric of business

miv72 [106K]

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7 0

3 years ago

The Horizon Company will invest $60,000 in a temporary project that will generate the following cash inflows for the next three

Sholpan [36]

Answer:

$ -3,163.04

Explanation:

The net present value is the present value of after tax cash flows from an investment to the amount invested.

The NPV can be found using a financial calculator:

Cash flow in year 0 = -$60,000

Cash flow in year 1- $ 15,000

Cash flow in year 2- $25,000

Cash flow in year 3- $40,000 - $10,000 = $30,000

I = 10%

NPV = $-3,163.04

The project should not be embarked upon because the cost of the project is greater than the present value of the after tax cash flows. The NPV is negative.

To find the NPV using a financial calacutor:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.

3. Press compute

I hope my answer helps you

3 0

3 years ago

You are a finance intern at Chambers and Sons and they have asked you to help estimate the company's cost of common equity. You

koban [17]

D1 = $ 1.25

P0 = $ 27.50

g = 5 % = 0.05

F = 6 % = 0.06

Cost of equity, re = D1/ {P0 x (1- F)} + g

= $ 1.25 / {$ 27.50 x (1- 0.06)} + 0.05

= $ 1.25 / ($ 27.50 x 0.94) + 0.05

= $ 1.25 / 25.85 + 0.05

= 0.048356 + 0.05

= 0.098356 or 9.84 %

4 0

3 years ago

Chance to win 50 points

DiKsa [7]

Answer:

1st place

Explanation:

j cause I want u 2 win lol

3 0

2 years ago

Read 2 more answers