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TEA [102]
2 years ago
12

Where is market equilibrium located

Business
1 answer:
Lina20 [59]2 years ago
8 0

Answer:

B. at the intersection of supply and demand

Explanation:

Equilibrium is a market condition where there no excess or shortage in demand and supply. It is when the quantity demanded matches the quantity supplied. At equilibrium, buyers and sellers are happy with the prevailing prices.

In a graph showing the demand and supply curve, the equilibrium point is the intersection of the supply and demand curve.  

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Faith Cassen has recently been hired as the manager of Gibraltar Coffee Shop. Gibraltar Coffee Shop is a national chain of franc
IrinaK [193]

Answer:

a.       I Disagree with Faith's method of handling this situation because she has not followed the internal control principle of safeguarding of assets. Stealing is a serious issue. An employee who can justify taking a box of tea bags can probably justify “borrowing” cash from the cash register.

b.      I Agree with Faith's method of handling this situation because Faith has followed the internal control principle of assignment of responsibility by making one employee responsible for the cash drawer and followed the internal control principle of segregation of duties (preparing the orders) from the accounting (taking orders and payments).

c.       I disagree with Faith's method of handling this situation because Faith has not followed the internal control principle of segregation of duties. It is true that faith has made one employee responsible however after cash counting another employee or Faith himself remove the cash register tape and compare the balance with cash drawer for effective internal control. Also, Faith’s standard of no mistakes may encourage the cashiers to overcharge a few customers in order to cover any possible shortages in the cash drawer.

6 0
3 years ago
Darden Restaurants is expected to pay annual dividends of $1.90 and $2.10 over the next two years,respectively. After that, the
Ainat [17]

Answer:

$13.89

Explanation:

The computation of the value of stock is shown below:

Year Dividend Present value factor at 16% Present value  

1         $1.90                0.862                               $1.64

2        $2.10                 0.743                               $1.56

3        $2.30

Price $14.375             0.743                               $10.68

The price is computed below:

= $2.30 ÷ 16% = $14.375

Total present value $13.89

The present value factor is computed below:

= 1 ÷ (1 + rate) ^ years

For Year 1 = 1 ÷ 1.16^1 = 0.862

For Year 2 = 1 ÷ 1.16^2 = 0.743

7 0
3 years ago
If the government imposes an effective interest rate ceiling in the loanable funds market, how would quantity demanded and quant
lisov135 [29]
<span>If the government were to impose an interest rate ceiling, it would aid in increasing the quantity of demand and it would expand the accessibility of loanable funds to the general public. However, it might impact the amount of profit received from interest.</span>
5 0
3 years ago
The idea of supply and demand is based on what
Tems11 [23]

Answer: based on production

Explanation:

8 0
3 years ago
The interest rate effect: is the change in exports and imports, resulting from changes in the interest rate caused by changes in
ryzh [129]

Answer:

The interest rate effect is the change in consumer and investment spending due to changes in interest rates resulting from changes in the aggregate price level.

Explanation:

"Changes in interest rates can have different effects on consumer spending habits depending on a number of factors, including current rate levels, expected future rate changes, consumer confidence, and the overall health of the economy.

It's possible for interest rate changes, either up or down, to have the effect of increasing consumer spending or decreasing spending and increasing saving. The ultimate determinant of the overall effect of interest rate changes primarily depends on the consensus attitude of consumers as to whether they are better off spending or saving in light of the change. "

Reference: Maverick, J.B. “How Do Interest Rates Change Spending Habits in the Economy?” Investopedia, Investopedia, 31 Aug. 2019

4 0
3 years ago
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