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stellarik [79]
3 years ago
13

Answer the following questions about the tax multiplier: Instructions: In parts a and b, round your answer to 2 decimal places.

In part c, enter your answers as a whole number. If you are entering a negative number include a minus sign. a. Suppose the marginal propensity to consume (MPC) for a nation is 0.9. What is the tax multiplier for this nation
Business
1 answer:
Stolb23 [73]3 years ago
3 0

Answer: -9

Explanation:

The Tax multiplier of a nation shows how much the aggregate demand of an economy will change if there is a change in taxes.

It is calculated by the formula:

= -MPC / ( 1 - MPC)

= -0.9 / (1 - 0.9)

= -9

<em>If taxes are reduced, aggregate demand would increase by 9 times. </em>

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6 0
3 years ago
a manufacturer reports the following costs to produce 11,000 units in its first year of operations: direct materials, $11 per un
DENIUS [597]

The total product cost per unit under absorption costing is: $75.

In absorption costing, the cost of every unit produced is worked out by adding up the direct cost of materials, direct labor, variable overhead, and the fixed overhead. Unlike in the case of marginal costing where the fixed cost is treated as period cost, in absorption costing, fixed cost is treated as a product cost.

The cost per unit

                                         $

Direct material                  28

Direct labor                       24

Variable overhead            10

Fixed cost                          13

Cost per unit                     75

Cost of Inventory

Number of units   = 1000

Cost per unit    = $75

Value = 1000 * $75 = $75,000

Learn more about absorption costing here:brainly.com/question/26276034

#SPJ4

5 0
1 year ago
PB4.
harkovskaia [24]

Answer:

The process cost summary is given below.

A-Total Material Cost                  = $22,500

B-Total Conversion costs           = $95,625 (45,625+50,000)

C-Units transferred out              = 40,000

D-Ending Inventory                    = 10,000

E-Equivalent units of material  =  45,000

F-Equivalent units of conversion costs  = 42,500

G-Equivalent cost per unit of material = $0.5 (A/E)

H-Equivalent cost per unit of conversion costs = $ 2.25 (B/F)

I-Equivalent cost per unit = $2.75 (G+H)

J-Cost of inventory transferred = $ 110,000 (I*C)

K-Cost Of Ending Inventory = $ 8,125 (H*(F-C) + (5000*0.5))

4 0
4 years ago
The financial ratio that shows the relationship between the price of a company's stock and the company's net worth (stockholders
Paha777 [63]

Answer:

A

Explanation:

5 0
1 year ago
A _____ is subsidiary to the work-in-process account and is the primary document for accumulating all costs related to a particu
OlgaM077 [116]

Answer:

correct option is b. job-order cost sheet

Explanation:

A job order cost sheet is subsidiary to work in process

because job-order cost sheet are the documents that is use for record the manufacture cost.

and all necessary and important detail of cost & job is written in job cost sheet

and it is also accounting record of the company  

so here given that primary document for accumulate all cost related to a particular task

so correct option is b. job-order cost sheet

8 0
3 years ago
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