MATCH EACH TERM WITH EACH DEFINITION

If a country's economic data shows private savings of $500 million, government

jolli1 [7]

Answer

Investment equals B) $500

Explanation:

We first lay out the national income identity in this form:

Y-C-G = I + NX

Where:

Y-C-G = National Saving

I = Investment

NX = Net exports (when NX is posivite, the economy is running a trade surplus).

National Saving = Private Saving + Public Saving (Tax revenue minus Government spending ($400 - $300))

National Saving = $500 million + $ 100 million

National Saving = $600 million

Now we plug the amounts into the identity =

$ 600 million = I + $ 100 million

We rearrange terms

$600 million - $100 million = I

$500 million = I

So, Investment is $500 million

8 0

4 years ago

g Credit card applicants have an average credit rating score of 667. Assume the distribution of credit scores is Normal with a s

Marizza181 [45]

Answer:

$P(X>700)=P(\frac{X-\mu}{\sigma}>\frac{700-\mu}{\sigma})=P(Z>\frac{700-667}{65})=P(z>0.508)$

And we can find this probability using the complement rule and excel or a calculator and we got:

$P(z>0.508)=1-P(z$

Explanation:

Previous concepts

Normal distribution, is a "probability distribution that is symmetric about the mean, showing that data near the mean are more frequent in occurrence than data far from the mean".

The Z-score is "a numerical measurement used in statistics of a value's relationship to the mean (average) of a group of values, measured in terms of standard deviations from the mean".

Solution to the problem

Let X the random variable that represent the rating score of a population, and for this case we know the distribution for X is given by:

$X \sim N(667,65)$

Where $\mu=667$ and $\sigma=65$

We are interested on this probability

$P(X>700)$

And the best way to solve this problem is using the normal standard distribution and the z score given by:

$z=\frac{x-\mu}{\sigma}$

If we apply this formula to our probability we got this:

$P(X>700)=P(\frac{X-\mu}{\sigma}>\frac{700-\mu}{\sigma})=P(Z>\frac{700-667}{65})=P(z>0.508)$

And we can find this probability using the complement rule and excel or a calculator and we got:

$P(z>0.508)=1-P(z$

7 0

3 years ago

If there is an increase in demand for a good, what will most likely happen to the price and quantity of the good exchanged?

maxonik [38]

Answer:

demand curve shift right means price intersects lower and quantity is increased

Explanation:

price decrease, quantity increase

7 0

2 years ago

Explain how the working capital accounts (receivables, inventory, payables) are forecasted. Q2 Expain how EBIT is forecasted. Ye

stich3 [128]

Answer:

Q1. Working capital accounts : inventory is forecasted using previous years data, trends, how much goods will be purchased, produced, sold, planned promotions , production cycles and ratios related to inventory.

Accounts Receivables are forecasted using how much products will be sold on credit, debtors collection patterns to determine balances at the end of the year and ratios relating to accounts receivables.

Accounts payable are forecasted using creditors payment patterns, how much goods will be purchased on credit.

Q2 EBIT is forecasted by forecasting the revenues and Expenses.

Q3 interest expense is forecasted using projected debt multiple by projected interest rate, and also taking into account projected repayments and additions of debt.

Q4 PPE is forecasted adding projected additions and subtracting disposals then get the projected balance at the end of the year.

Q5 long term debt if projected by forecasting any debt needed and any repayments of debt

Q6 Stockholder's equity is forecasted by using the forecasted retained earnings from profits and by forecasting any capital raises or repurchase of company shares. Or can be forecasted by taking the forecasted assets subtracting forecasted liabilities.

Q7 EFN comes from the need to grow and financing that growth. EFN stands for External Financing Needed and is the difference between the growth (Asset section) and the funds in retained earnings( equity and liability section)

EFN is first forecasted and the forecast means the business has space for growth or not.

Explanation:

7 0

3 years ago

Abeis typically scheduled to operate 3machines at his workstation for 10 hours per day, 4 days per week. During every 10 hours o

Vanyuwa [196]

A sis is a drug 4 days is me 10 hours

4 0

3 years ago