Answer:
d. ad does not change.
Explanation:
Aggregate demand is defined as the total demand for finished products that is produced by a country. It is also called effective demand
In this instance aggregate demand will be a sum of demand for both computers and fighter jets. If the government decides to spend on fighter jets instead of computers, the aggregate demand will not change since it is total demand of both proucts.
In accounting, the invoice 2/10, n/30 means that the customers has to pay $500 within 30 days. If he can pay earlier, say within 10 days from the date of purchase, a cash discount of 2% is given. If the customer pays on the 9th day, he would only have to pay
500(100% - 2%) = $490
Answer: A) is the increase in total cost resulting from producing one more unit.
Explanation:
Marginal cost is the increase in total cost that a company incurs from producing one more unit of the good being produced. It includes both fixed and variable cost and can be calculated by dividing the change in cost by the change in quantity.
Marginal cost is an important metric in profit maximisation because it tells the point where profit is maximised when it equals Marginal revenue.
Answer:
saving is fixed and investment is determined by the investment function and the world interest rate.
Explanation:
In a country the expansion and the development depends upon the investment and saving habits of the country. Further the investment depends upon market conditions of expansion and the world interest rate. Everything is closely linked to each other.
As for instance a country with high production, and high revenue can invest more, and if the country do not its cash to be invested in country or in foreign it might ask for high savings, alternatively, if country demands high investment then the savings might be low.
Thus, statement A is correct.
Answer:
The correct answer is (Extremely high levels of liquidity guard against liquidity crises, but at the cost of lower returns on assets).
Explanation:
Reserve requirement, especially for the banks, is designed for the sole purpose of protecting them from falling towards bankruptcy. Although, there are certain drawbacks of high reserve requirement or extremely high levels of liquidity; it can bound a firm or organisation to invest in small ventures and at lower returns on investment because such companies invest in low-risk assets.