Answer:
The correct answer is D. People might withdraw money from interest-bearing accounts, making the interest rate rise, if there is a shortage in the money market.
Explanation:
In case of a shortage of money in the economy, where people who need to consume and produce do not have immediate liquid money to carry out their economic activities, individuals will withdraw the money invested in their accounts to have cash to cover their immediate needs. Thus, the level of money in circulation will increase, but at the same time the liquidity of investment accounts will fall, with which banks will tend to raise interest rates to recover investors and therefore cover the losses in their accounts.
Answer:
d. 18 days.
Explanation:
The Days' sales in inventory measures the number of days taken to sell inventory in a period.
The Days' sales in inventory formula is provided below:
Days Sales of Inventory = (Ending Inventory / Cost of Goods Sold) x 365
Ending inventory=$41,750
cost of goods sold =$835,000
Days Sales of inventory=($41,750/$835,000)*365
Days Sales of inventory=18.25
(18 when rounded to whole day)
Answer:
A. coordination problem under central planning.
Explanation:
In an economy under a central planning, All of the goods and services that should be produced in the country is fully controlled by the government.
This make it really impossible to achieve.
Citizens are inherently different and tend to have different needs in order to be satisfied in their life. Under the free-market system, these needs will be met through the power of supply and demand. AS long as enough people need it, there will always a producer who want to supply the product.
Under a central planning, this will create a coordination problem. There is now way for the government too ask the citizens one by one about what goods and services they need.
<span>A) -$13. The reason being that, opportunity cost is the benefit that a person could have received, but gave up,in order to take another course of action, which in this case is skiing. And since his salary per 1 hour in the winter months is $13, skiing for one hour instead of working during that hour will cost him $13</span>
Preparing questions about the company
