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3 years ago

General Motors increases the price of a model car produced exclusively for export to Europe. Which U.S. price index is affected?

Business

1 answer:

alexira [117]3 years ago

4 0

Answer: The GDP deflator

Explanation: The GDP(gross domestic product) deflator is a price index that is used to measure the prices of all the goods and services produced within an economy. The cars which are exported by General Motors are produced domestically within the United States of America and exported outside the country.

Any goods produced externally are not considered when determining the GDP deflator.

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Read this scenario, and then answer the question that follows. richard is excited to start his trucking business. after taking o

Damm [24]

Some potential economic consequences that Richard did not consider before making his decision are:

The cost of maintenance for used trucks.
The cost of gasoline from the town to the nearest city.
The location of the places that goods will be transported to and from.

<h3>What are economic considerations?</h3>

These are the factors that will affect the profitability and viability of a business.

In Richard's case, he needed to have considered various costs such as the higher cost of maintaining used trucks and the cost of gasoline that he will incur for living so far from big cities.

He also needs to consider the distance his trucks will have to travel to pick up good and deliver them.

Find out more on economic considerations at brainly.com/question/13721949.

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8 0

2 years ago

The Sports Club plans to pay an annual dividend of $1.20 per share next year, $1.12 per share a year for the following two years

Delicious77 [7]

Answer:

$9.63

Explanation:

Data provided in the question:

Year Annual dividend paid

1 $1.20

2 $1.12

3 $1.12

4 $14.20

Now,

Year Annual dividend paid Present value factor Present value

1 $1.20 0.84246 1.011

2 $1.12 0.84246 0.7949

3 $1.12 0.59793 0.6696

4 $14.20 0.50373 7.1529

===============================================================

Worth of stock = 1.011 + 0.7949 + 0.6696 + 7.1529

= $9.6284 ≈ $9.63

Note:

Present value factor = [ 1 ÷ (1 + 0.187)ⁿ]

here,

n is the year

7 0

3 years ago

Mary buys a lottery ticket and promises to buy her friend Sharon a new pair of shoes if she checks the lottery results while Mar

Oduvanchick [21]

Answer:

C. Neither Mary nor Sharon can claim breach of contract.

Explanation:

Mary buys a lottery ticket and promises to buy her friend Sharon a new pair of shoes if she checks the lottery results while Mary is away.

Sharon agrees to do so, provided she has the time for it.

If Sharon fails to check the results and Mary wins the lottery, then it would be true of the contract between Mary and Sharon that Neither Mary nor Sharon can claim breach of contract.

The reason is Mary's promise is based on the condition that Sharon checks the result, Sharon's promise is based on the condition that 'if she has the time for it.'

The condition was not met by Sharon hence she cannot claim a breach of contract because she did not check the results, similarly, Mary cannot sue Sharon because sharon made it clear that she will only check If she has the time.

4 0

3 years ago

The demand curve facing a monopolistic competitive firm will be __________ than the demand curve facing a perfectly competitive

Bad White [126]

Answer:

Downward sloping; more elastic

Explanation:

Demand curve is a curve that shows the relationship between price and quantity demanded.

The demand curve of a monopolistic competitor is DOWNWARD-SLOPING.

A monopolistic competitive firm can either raise price and lose few customers or reduce price and gain some more customers.

A monopolistic competitive firm

has a more ELASTIC demand.

Elasticity of demand is the degree of responsiveness of demand to a change in price, income and price of other commodities.

Perfectly Competitive market have the following characteristics;

1) Prices are determined by the forces of demand and supply.

2) They are price takers because a single firm can't control the market.

3) Easy entry and exit.

4) Many buyers and many sellers.

5) Identical product are sold

Monopolistic Competitive market have the following characteristics;

1) There are many buyers and many sellers.

2) Firms have market control.

3) Free entry.

4) Close substitute goods are sold.

4 0

3 years ago

The state government maintains an investment pool for itself and local governments in the state. The investment pool received t

Katyanochek1 [597]

Answer:

$15,000,000

Explanation:

The local government comes under the control of state directly. The amount received from local government should be reported in state's investment trust fund.

8 0

3 years ago

Read 2 more answers