Answer:
a. low foreign saving rates.
Explanation:
As foreing countries saving rates are lower than US after conidering inflation and risk premium; people from abroad prefers to invest in the US than in their native country as feel it more safe and more prosperus also, they can yield better return in US dollars as their countries are exposed to decreases in the exchange-rates
Answer:
The Peter's Group originated four years ago, and since then, the company has grown each year. Management has focused on making sure that the organization's strategic goals cascade down through the organization so that the employees can work together in pursuit of common ends. Peter's Group is using aligned goals in their organization.
Explanation:
Aligned goals is what organizations do in order to gather all the forces towards the achievement of common objectives.
The taxes that are being paid by a business firm represents: C. a cash outflow.
Taxation can be defined as the involuntary and compulsory fees that are usually levied on individuals or business firms (entities) by the government, so as to generate revenues which are used in funding public institutions and activities.
Basically, these taxes that are being paid by individuals or business firms (entities) is considered as a cash outflow because it represents money that are flowing out of their accounts.
In conclusion, an amount of money that is flowing out of an account such as taxes is referred to as a cash outflow.
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Answer:
At the end of March, Paul’s Painting hired five temporary employees to work on a project that began on April 5 and ended on April 28. Paul’s received 100% of the total payment for the project on May 3. In this situation, both cash basis accounting and GAAP require that Paul’s recognize the employees’ total salary expense in April.
Explanation:
A collection of accounting rules and standards usually followed, for financial reporting is known as GAAP (generally accepted accounting principles) .
For businesses, GAAP needs accrual accounting.
Accrual accounting operates on the basis of matching both revenue and expenses. Revenues and the related expenses occur concurrently, though the cash transaction concerning thereto might happen in some other period.
In the situation given in the question, the revenue from the project is earned in April, subsequently, the salary expense related to that work should also be recognized in the same period due to an accrual basis.
Answer: to increase interest rates which reduced aggregate demand.
Explanation:
Since the money supply was contracted to reduce the rate of inflation, this will lead to increase interest rates which reduced aggregate demand.
In this case as a result of the increase in the interest rate, people will prefer to save their money in the banks and thus will result in less money in circulation which ultimately reduces the demand for goods and services.