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Answer:
the correct answer is d. the cost of living in the country is lower than that of france
Explanation:
The GDP and the PPP adjusted GDP have only one difference, the latter concerns about the inflation and the purchasing power of the currency. Depending on that, we can assume that as the PPP adjusted GDP of this country is greater than France, that means their inflation over the years have been low and there are no much volatility in their general price levels.
Answer:
2.2
Explanation:
The formula for calculating price elasticity using the midpoint method is:
midpoint method = {(Q2 - Q1) / [(Q2 + Q1) / 2]} / {(P2 - P1) / [(P2 + P1) / 2]}
midpoint method = {(150 - 100) / [(150 + 100) / 2]} / {(1.20 - 1) / [(1.20 + 1) / 2]}
midpoint method = [50 / (250 / 2)] / [0.20 / (2.20 / 2)] = (50 / 125) / (0.20 / 1.1)
midpoint method = 0.4 / 0.19 = 2.2
The advantage of using the midpoint method to calculate price elasticity is that we can calculate the price elasticity between two points, and it doesn't matter if the price increases or decreases.
If we calculate price elasticity using the single point formula:
price elasticity = % change in quantity supplied / % change in price = 50% / 20% = 2.5
Answer:
$27000
Explanation:
Given: Beginning Cash balance $14,000
Cash flows provided by operating activities 12,000
Cash flows used by investing activities 8,000
Cash flows provided by financing activities 9,000
Now, calculating the ending cash balance:
Ending cash balance is calculated by subtracting cash outflow from cash inflow.
∴ Ending cash balance=
Ending cash balance=
∴ Ending cash balance for December 31, 2019 is $27000.