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liraira [26]
3 years ago
15

An increase in interest ratesA. increases investment spending on​ machinery, equipment,​ factories, consumption spending on dura

ble​ goods, and net exports.B. decreases investment spending on​ machinery, equipment, and​ factories, but increases consumption spending on durable goods and net exports.C. decreases investment spending on​ machinery, equipment,​ factories, consumption spending on durable​ goods, and net exports.D. decreases investment spending on​ machinery, equipment,​ factories, and consumption spending on durable​ goods, but increases net exports.
Business
1 answer:
RoseWind [281]3 years ago
8 0

Answer:

The correct answer is option C.

Explanation:

An increase in the interest makes it more expensive to borrow money. In other words, the cost of borrowing increases. This will cause investment expenditure on machinery, equipment, and​ factories to decline.  

Increased interest rate also increases the opportunity cost of holding money. The consumers will get more return from saving. This will reduce, the consumer spending on durable goods.  

The increased interest rate will attract foreign capital inflows. The increase in demand for currency will increase its value. This will reduce exports and increase imports. As a result, net exports will decline.

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Lyrx [107]

Answer:

Contribution margin small muffin= 3.5-2= $1.5

Contribution margin large muffin = 6-3= $3

(2/5*1.5)+(3/5*3)= $2.40

Explanation:

4 0
2 years ago
Joe Pie is considering investing in a Heaven Piza franchise that will require an initial outlay of $100,000. He conducted market
avanturin [10]

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6 0
3 years ago
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faltersainse [42]

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6 0
3 years ago
Which of the following refers to the availably of resources that make doing business with that country​ possible? A. Competitive
polet [3.4K]

Answer:

B. Economic infrastructure

Explanation:

Economic infrastructure -

It is the activities and the facilities that helps the development and operations of various sectors of the society , is referred to as economic infrastructure.

Economic infrastructure plays a major role in the proper functioning of the economy.

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7 0
2 years ago
balance sheet showed total assets of $60 million, total liabilities (including preferred stock) of $45 million, and 1,000,000 sh
Sati [7]

Answer:

The price per share should be $22.5

Explanation:

The price earnings multiple or P/E tells us how much price the investors are willing to pay for $1 earnings of the company.

We first need to calculate the earnings per share of the company.

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6 0
3 years ago
Read 2 more answers
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