Answer:
<h2>Basically,an increase in the price of the main component used in drum head production will lead to a decrease in the overall supply of drum head and an increase in the equilibrium price of drum heads in the market,everything else held constant.</h2>
Explanation:
- An increase in the price of the main component used in drum head production by 9% implies an increase in the overall cost or expense of producing drum heads by the drum head producers or firms.
- Hence,a price increase of the main component used to make drum heads will lead to a decrease in the total or overall supply of drum heads in the market,illustrated by a leftward or upward shift of the market supply curve of drum heads in the graphical model of drum heads market.
- Now,as the market supply curve for drum heads shift rightward or upward,the equilibrium price of drum head in the market will increase,as the market supply of heads have decreased with no change in the market demand of drum heads and everything else being held constant.
Answer:
The correct answer is:
A) monetary policy is very expansionary.
Explanation:
In this case the Taylor Rule states that the Fed must increase rates as the target of the inflation is up the Gross Domestic Product. Therefore, according to the expansionary policy, the central bank employs certain mechanisms in order to look with favor on the economy. The main idea of this strategy is to be able to lower the interest rates and also to increase the aggregate demand.
Answer:
$18,750
Explanation:
The double declining method of depreciation (DDB) formula is:
DDB= 2 * Cost of the asset * Depreciation rate (DR)
DR= (1/useful life)*100
For this problem:
Value to depreciate: $75,000
DR= (1/4)*100= 25%
DEPRECIATION YEAR 1: DDB= 2 * $75,000*25%= $37,500
Machine´s value year 1: $75,000-$37,500= $37,500
DEPRECIATION YEAR 2: DDB= 2*37,500*25%= $18,750
Answer and Explanation:
Please find answer and explanation attached
Answer:
$99,000
Explanation:
The amount of $100,000 will be split between both Tina and the insurer in which the amount of $1,000 will be cover by Tina based on her self-insured retention policy while the insurer on the other hand will cover the remaining amount of $99,000 calculated as ($100,000-$1,000).
Therefore the amount that the insurer will pay under Tina's personal umbrella policy will be $99,000
