Answer:
The correct answer is A) Lend support to the invisible hand by maintaining property rights and political stability
.
Explanation:
The absence of the government in legislative tasks related to the market is, therefore, one of the main bases of the economic theory developed by Adam Smith throughout his bibliographical work. For Smith, the leaders must deal with other areas of control more focused on defense or justice, leaving the market to its free operation.
The invisible hand presupposes that there is an inertia by which the market and its self-regulation leads individuals to make the best decisions for the majority of the population to achieve well-being. In other words, it is a kind of automatic control mechanism that compensates the actions taken as a whole, regulating social conformations.
Therefore, it is assumed that the self-regulation facilitated to the markets helps to achieve an optimal market. To do this, individuals must behave in such a way that they can act without state mediation and in pursuit of their own interest.
The metaphor of the invisible hand also supposes that individuals are encouraged or held back to produce or not to follow the level of prices that exist in the market. Prices and profits are sufficient indicative to know when to participate in the market or not. Basically, if there is profit in a market niche, this supposes a stimulus for production, while losses lead individuals to quit.
Let’s look at the facts,
Original Investment: $80,000
Income: $150,000/ year
Salary: $105,000
New space: $22,000
Income: $150000
- Salary: $105000
- New Space: $22000
======================
Profit: $23000/ year
After 3 years they would have made, $69,000
Now had they left the original $80000 invested @ a rate of 15% annually (assuming its compounded), after 3 years they would have $121,670
So economically speaking, they didn’t make the right choice
Answer:
Debit to Notes Payable of $15,366.13
Explanation:
The Notes Payable are debited and Cash is Credited. This is done to show the decrease in the Liability and a decrease in Assets as a result of the repayment.
<span>New managers are often surprised to find that things like supply chain problems, customers and meetings take up most of their time. Rather than the vision they have upon being promototwd of spending their time leading a team. This can often lead to an adjustment period where a recently hired manager will need to learn to better divide their time between focusing on the clerical process and customers while also keeping a balance where employees are managed.</span>
Answer:
The shareholders equity is 120
Explanation:
Basing on accounting equation:
Total asset = Liabilities + Shareholders equity
Therefore:
Shareholders equity = Total asset - Liabilities = Total asset - (Short term debt + Long term debt)
The company has total assets of 200, long term debt of 30 and short term debt of 50.
Shareholders equity = 200 - (50 + 30) = 200 - 80 = 120
