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satela [25.4K]
3 years ago
7

In early 2018 businesses bought more inventory, increasing GDP. What would happen

Business
1 answer:
puteri [66]3 years ago
4 0

Answer:

If a company increases its final goods inventory level, that will increase the country's GDP even if the goods are not sold during the current period (they will be sold in future periods). Increases in inventory level are considered part of Investment component of the GDP.

If the inventories are not sold during the year (2018) and if they continue to be  unsold during part of 2019, that will negatively affect the GDP because fewer goods will be purchased to replenish these inventories and the market price of the goods will also decrease. The market price of goods is determined by the supply and demand. If the supply is much higher than the demand and inventories start to pile up, their price will decrease in order to increase the quantity demanded. If the volume of the goods in inventory is significant enough, this should lower the inflation rate.

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Four years ago, Ship Express purchased a mailing machine at a cost of $218,000. This equipment is currently valued at $97,400 on
deff fn [24]

Answer:

equity = 45,800

Explanation:

working capital:  current assets - current liaiblities = 41,300

net book value of long term assets: 97,400

long term debt 102,800

we will work with the accounting formula to solve for equity:

assets = liaibltiies + equity

we divide assets and liabilities in current and non-current:

current assets + long term assets = current liabilities + long-term debt + equity

we rearrenge the formula in order to sovle for equity:

(currnet asets - current liabilities) + long term assets - long-term debt  = equity

41,300 + 97,400 - 92,900 = equity

equity = 45,800

3 0
3 years ago
Read 2 more answers
If the money multiplier is 3 and the Fed wants to increase the money supply by $900,000, it could 18. A. Buy $300,000 worth of b
Allushta [10]

Answer:

The right solution is Option A "buys $300000 worth rupees bonds".

Explanation:

Given:

Money multiplier,

= 3

Change in money supply,

= $900000

As we know,

⇒ Money \ multiplier=\frac{Change \ in \ total \ money \ supply}{Change \ in \ total \ monetary \ base}

Or,

⇒ Change \ in \ total \ monetary \ base=\frac{Change \ in \ total \ money \ supply}{Money \ multiplier}

On putting the values, we get

⇒                                                    =\frac{900000}{3}

⇒                                                    =300000 ($)

8 0
3 years ago
The market supply curve indicates the rev: 05_10_2018 Multiple Choice maximum prices that buyers are willing and able to pay for
Yakvenalex [24]

Answer:

The market supply curve shows the minimum prices that all the sellers in the market will be willing to accept for the product.

Explanation:

The market supply curve of a product is the summation of individual supply curves. It represents the minimum acceptable prices of the product that all the firms in the market will be willing to accept.  

The market supply curve is an upward line representing the law of supply. The law of supply states that other things being constant the supply of a product will be directly related to its price. this means that with an increase in the price level, the output level will increase as well.

4 0
3 years ago
The capital asset pricing model is used to calculate the effect of increase in prices of capital assets due to inflation.
Mashutka [201]
False is correct answer.

Hope it helped you.

-Charlie
5 0
3 years ago
describe how tge trace on the screen of a cathode ray oscilloscope is produced .in your own words give reference to the followin
padilas [110]
^^^ the person above is is correct! Brainliest then
4 0
3 years ago
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