1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
barxatty [35]
3 years ago
11

In Macroland autonomous consumption equals 100, the marginal propensity to consume equals .75, net taxes are fixed at 40, planne

d investment is fixed at 50, government purchases are fixed at 150, and net exports are fixed at 20. Planned Aggregate Expenditure equals ___ and the short run equilibrium output equals ___
Business
1 answer:
cluponka [151]3 years ago
5 0

Answer:

Planned Aggregate Expenditure equals <u>290 + 0.75Y</u> and the short run equilibrium output equals <u>1,160</u>.

Explanation:

Autonomous spending basically covers essential needs, e.g. housing expenses, food, clothing, etc., and is not affected by the marginal propensity to consume (MPC).

so consumption must equal: C = 100 + 0.75 (Y income - 40 taxes)

PAE = C + I + G + X = 100 + 0.75(Y - 40) + 50 + 150 + 20

PAE = 100 + 0.75Y - 30 + 50 + 150 + 20 = 290 + 0.75Y

Short run equilibrium exists when Y = PAE:

Y = 290 + 0.75Y

Y - 0.75Y = 290

0.25Y = 290

Y = 290 / 0.25 = 1,160

You might be interested in
Cash flows during the first year of operations for the Harman-Kardon Consulting Company were as follows: Cash collected from cus
Fiesta28 [93]

Answer:

Accrued net income is $161,900

Explanation:

The formula to compute accrued net income is shown below:

= Revenue - expenses

where,

Revenue = Cash collected from customers +  customers owed the company

              = $295,000 + $51,000

              = $346,000

And, the expenses equals to

= Cash paid for rent + Cash paid to employees for services rendered during the year +  Cash paid for utilities + gas and electric expenses at the end of a year

= $31,000 + $111,000 + $41,000 + $1,100

= $184,100

Now put these values to the above formula

So, the answer would be equal to

= $346,000 - $184,100

= $161,900

7 0
3 years ago
A recession is a period of significant, widespread declines in:
Harrizon [31]

Answer:

Letter B. real income and employment.

Explanation:

Economic cycles describe the fluctuations that occur in income and employment in the economic system. This cycle may be one of expansion, a lasting movement of real income and employment growth, or it may be of recession, where the economic economy presents a significant and widespread decline in real income and employment. For example, the 2008 crisis has caused recession in many countries, leading to a fall in real income and employment.

6 0
3 years ago
Dan, the founder of four muddy paws, discovered that dog owners were willing to spend extra money on unique, healthy treats for
Salsk061 [2.6K]

Four Muddy Paws uses the concept of<u> "speed-to-market"</u> to maintain it competitive lead.

The term "Speed to market" alludes to the measure of time it takes for an association to dispatch an item or administrations and make it accessible to the client. It represents time taken by the association to take a shot at the item or administration from Idea, Design, Prototype, Test, Develop, Manufacture and dispatch for the end clients.

7 0
3 years ago
Quarter Inc. is an Italian company that set up its ventures in the United States. It sells watches—designed and manufactured in
spin [16.1K]

Answer: D

Explanation: Quarter Inc. cannot be legally charged because as a foreign entity, it is exempt from prosecution based on sovereign immunity. Once the defendant establishes that it is a foreign state, for the lawsuit to proceed, the plaintiff must prove that one of the Act's exceptions to immunity apply.

4 0
3 years ago
You purchased two WXO 30 call option contracts at a quoted price of $.35. What is your net gain or loss on this investment if th
tekilochka [14]

Answer: $670

Explanation:

Since the quoted price of $.35, the cost to purchase two WXO 30 call option will be: = $0.35 × 2 = $0.70

Then, the price of RADM 30 call option contract will be calculated as;

= $33.7 - $30

= $3.70

The net gain on one RADM 30 call option will then be:

= $3.70 - $0.35

= $3.35.

Therefore, the net gain on 2 RADM30 call options will be:

= $3.35 × 2

= $6.70

Since there are 100 shares in a option contract, the gain will be:

= $6.70 × 100

= $670

3 0
3 years ago
Other questions:
  • Under Armour developed dynamic advertising, sponsorships of sports leagues, a creative Web site and celebrity spokespeople to pr
    8·1 answer
  • Start business 10500 with cash
    12·1 answer
  • What is your overall evaluation of mondelēz international's corporate strategy and restructuring since 2012? what evidence and/o
    10·1 answer
  • The Hudson Corporation has 7,600 obsolete units of a product that are carried in inventory at a manufacturing cost of $152,000.
    15·1 answer
  • How can you get a mouse to function properly?
    10·1 answer
  • Due to a number of lawsuits related to toxic wastes, a major chemical manufacturer has recently experienced a market reevaluatio
    9·1 answer
  • If a market is in equilibrium loading...​, is it necessarily true that all potential buyers and sellers are satisfied with the m
    5·1 answer
  • Manero Company included the following information in its annual report: 20X3 20X2 20X1 Sales$178,400 $162,500 $155,500 Cost of g
    6·1 answer
  • In 2007, the Federal Reserve began buying greater quantities of Treasury bonds than usual. What was the intent of this decision
    5·1 answer
  • The relationship between wealth accumulation and risk tolerance is referred to as what?
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!