Answer:
the increase in nominal GDP is $29,000
Explanation:
The computation of increase in nominal GDP is as follows:
= Selling value of car + difference
= $22,000 + ($27,000 - $20,000)
= $22,000 + $7,000
= $29,000
hence, the increase in nominal GDP is $29,000
We simply added the selling value and the difference
Answer:
b. The minimum point on the average total cost curve
Explanation:
the marginal cost is the cost of making or producing one more additional unit of a product and then average total cost is the average of the total cost to produce units so if both these curves intersect then that means that will be the minimum point on the average total cost curve because at a point where if the marginal cost is less than the average cost then the average total cost will fall so the intersection point shows where the average total cost is a minimum because if its above that point the average total cost will rise.
Answer: The free- rider problem
Explanation:
The free-rider problem is one off the type of economical issue that cause the market failure problem due to the unsystematic distributing of the various types of goods resources and also the services.
This type of problem is basically occur due to the overuse or degradation of the products and the resources.
According to the given question, the free rider problem is one of the example that best illustrating the given scenario. The main cause of the free rider problem is due to the unequal use of the resources and also the public goods without paying for their particular share.
Therefore, The free-rider problem is the correct answer.
Answer:
The straight-line depreciation method and the double-declining-balance depreciation method:
Produce the same total depreciation over an asset's useful life.
Explanation:
The straight-line and the double-declining-balance depreciation methods are two of the four depreciation methods allowed by US generally accepted accounting principles (GAAP). The other two methods are sum of the years' digit and units of production. The straight-line method is calculated by subtracting the salvage value from the asset's cost and either dividing the depreciable amount by the number of years or applying a fixed rate on the depreciable amount. For the double-declining-balance method, 100% is divided by the number of years of the asset's useful life and then multiplying by 2 to obtain the depreciation rate. Depreciation expense is then calculated on the declining balance until the salvage value is left. This is why they produce the same depreciation over the asset's useful life.
If there is no unity in a shared system, then diversity can become chaos.
