The quantity theory of money predicts that the inflation rate will be 4% if the money supply increases by 6%, real GDP increases by 2%, and the velocity of money remains constant.
All the money and other liquid assets present in an economy on the measurement date are referred to as the money supply. The money supply roughly consists of deposits that can be utilized virtually as easily as cash in addition to actual currency.
Governments issue coin and paper money supply through a mix of national treasuries and central banks. By dictating to banks what reserves they must maintain, how to offer credit, and other financial issues, bank regulators have an impact on the amount of money that is available to the general people.
By regulating interest rates and altering the amount of money flowing through the economy, economists study the money supply and create policies based on it. Because the money supply may have an impact on price levels, inflation, and the business cycle, both the public and private sectors conduct analyses. The most significant determining factor in the money supply in the United States is Federal Reserve policy. The term "money stock" also applies to the money supply.
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Answer:
Part A:
Labur Productivity:
For US=5.14, LDC=1.35
Capital Productivity:
For US=1.72 LDC=4.31
Part B:(Multi factor productivity)
For US=1.29 LDC=1.03
Part C: (Raw material productivity)
For US=4.90 LDC=10.02
Explanation:
Part A:
Labur Productivity:
For US:
For LDC:
Capital Productivity:
For US:
For LDC:
Part B:
For US:
For LDC:
Part C:
For US:
ForLDC:
Converting Raw material FC into $ (1$=10FC)
Raw Material =19550/10=$1955
Answer:
Money management simply means liquidity management.This in business parlance means the ability of the organisation to have to funds required as and when due
Explanation:
Strictly means being able to receive cash from customers in short time and the ability to pay suppliers on time which means neither too much in cash than needed or too little
Answer:
E. I, II, III, and IV
Explanation:
Chief Financial Officer is the officer in charge of all the financial transactions who, monitor the business financially, so he uses his knowledge of finance in doing analysis and evaluation of the transactions.
Accountants do not only accounting but has also to perform the financial job many a times in calculating the amounts of each transactions.
Security Analysts are core finance related people, they basically evaluate each aspect in terms of finance of the security, how profitable it would, what are the related costs and benefits, etc:
Strategic managers use finance as to make the strategy that best suits the company to grow also further it helps the manager to take the decisions regarding the funds needed and the financial viability of the decisions to be made.
