Answer: correct evaluation and medium of exchange etc.
Explanation: The main problem with the barter system is that it would be hard to value the goods or services that the parties are exchanging. In the given case, it would be hard to value how many car washes would be equal to a paint of house.
Also finding someone who is willing to paint house in exchange of car washes is another difficult task.
Answer:
The correct answer is D. increase; decrease.
Explanation:
Speculation consists of the purchase (or sale) of goods with a view to their subsequent resale (repurchase), when the reason for such action is the expectation of a change in the prices affected with respect to the dominant price and not the gain derived from its use, or of some kind of transformation carried out on these or of the transfer between different markets.
A speculative operation seeks not to enjoy the good or service involved, but to obtain a benefit from the price fluctuation based on the theory of arbitration. In an extensive sense, every form of investment that a medium entails is speculative; However, the term is usually applied to that investment that does not entail any kind of commitment to the management of the assets in which it is invested, and is limited to the movement of capital (financial market), usually in the short or medium term.
The speculation is based on the forecast and the perception, so that the speculator can also be wrong if he does not correctly anticipate the evolution of future prices, so he will have to sell cheap something he bought expensive. The speculative market therefore rewards those who know how to predict.
Answer:
B) 1%
Explanation:
Taylor's rule formula is as follow:
Target rate = Neutral rate + 0.5 x (Expected GDP growth rate - Long-term GDP growth rate) + 0.5 x (Expected Inflation rate - Target inflation rate)
--> Target rate = 2% + 0.5 x (0) + 0.5 x (0 - 2%)
--> Target rate = 2% - 1% = 1%
Nominal federal funds rate should be 1%
Answer:
$2,000
Explanation:
Revenue is the income generated from normal business activities. This includes allowances, discounts and deductions for sales returned.
Since Boogie and Twenties modify the agreement to reduce the price of the remaining 300 pair of flapper shoes to $10 a pair, it means that revenue to be recognized from the date of the change will be recognized at a unit price of $10.
As such if Boogie delivers 200 pairs of shoes in September,
Revenue to be recognized in the Month of September
= 200 * $10
= $2,000
