Answer:
a side of a argument which a person thinks they are right
Explanation:
cus im hispanic
Answer:
The correct answer is B. Decrease and transfer payments increase.
Explanation:
Automatic stabilizers soften cyclic fluctuations through their effect on aggregate demand. Indeed, when the economy is in a contractive or recessive phase, the negative or very reduced economic growth generates a decrease in fiscal revenues while higher unemployment increases public expenditures. Consequently, private sector disposable income decreases less than GDP does, thus limiting the contractual effect on aggregate demand, growth and employment. Therefore, the budget balance worsens in this phase by stimulating the economy and facilitating economic recovery. In the opposite sense, in times of expansion, automatic stabilizers generate higher public revenues and lower spending, which allows to increase the public surplus - or reduce the deficit - avoiding excessive expansion that could have negative effects on cycle volatility and price stability.
Answer: $25
Explanation:
The Present value of its growth opportunities can be calculated as the value with growth less the value with no growth.
Value without Growth
= Expected earnings/ Market Cap rate
= 5/0.1
= $50
Value with growth
Growth rate = Retention ratio * ROE
= 0.4 * 0.15
= 6%
Value with growth = (Earnings * (1 - Retention Ratio) )/ (Capitalization Rate - Growth Rate)
= (5 ( 1 - 40%) )/ (10% - 6%)
= 3/0.04
= $75
Present value of growth opportunities = Value with growth - Value without Growth
= 75 - 50
=$25
Answer:
The correct answer is number (2): False.
Explanation:
The Investment-Savings (<em>IS</em>) Liquidity preference-money supply (<em>LM</em>) or IS-LM model describes the changes between economic goods (IS) related to investments (LM). Usually portrayed in a graphic, the approach aims to show how the IS an LM interact to balance the production of the overall economy.
Answer:
Option D is correct one.
<u>Capital improvements are added to the basis.
</u>
Explanation:
Capital expenditure increase the capacity of the asset and an asset cannot function effectively without such improvements. Thus the value of the asset is to be increased by such expenditure. Thus, to calculate adjusted basis capital improvements are added. This is the reason of adding improvements to the basis.