Answer:
0.1
Explanation:
The Average Rate of Return (ARR) is the average net income an asset/investment is expected to generate over the course of its lifetime.
The Formula for ARR is Average Annual Net Income ÷ Initial Investment. If the question says to convert to percentage then the computed figure is multiplied by 100.
Step 1: Compute Average Annual Net Income
Add the streams from the 1st to the 8th year and divide by 8
$200000+$200000+$300000+$700000+$800000+$1100000+$2000000+$1100000=$6,400,000
$6,400,000÷8=$800,000
Step 2: Compute the ARR
Average Annual Net Income÷ Initial Investment
$800,000÷$8,000,000= 0.1
Note: The Figure should be multiplied by 100 to get the percentage figure if requested.
Answer:
Answer for the question:
Assume that the hypothetical economy of Molpol has 8 workers in year 1, each working 1,200 hours per year (40 weeks at 30 hours per week). The total input of labor is 9,600 hours. Productivity (average real output per hour of work) is $10 per worker
Instructions: In parts a and b, round your answers to the nearest whole number. In part c, round your answer to 2 decimal places.
a. What is real GDP in Molpol? Suppose work hours rise by 2 percent to 9,792 hours per year and labor productivity rises by 5 percent to $10.5
b. In year 2, what will be Molpol's real GDP?
c. Between year 1 and year 2, what will be Molpol's rate of economic growth? percent
Is given in the attachment.
Explanation:
Answer:
Price elasticity of demand for X=-2
Explanation:
The price elasticity of demand is a measure of the sensitivity in quantity of good demanded in relation to a change in price. It is often used to determine whether a good is elastic or inelastic. An elastic good is a good whose demand changes spontaneously with a change in price while an inelastic good is a good whose change in price doesn't affect the quantity demanded. Most inelastic goods are needs while most elastic goods are luxuries. A need is an item that most people cannot do without even if the price changes while a luxury is a good that most people can do without especially if the price of that good increases.
The price elasticity of demand can be determined using the expression below;
Price elasticity of demand=%change in quantity demanded/%change in price
where;
%change in quantity demanded={(Final quantity-initial quantity)initial quantity}×100=-10%
%change in price={(Final price-initial price)/initial price}×100=5%
replacing;
Price elasticity of demand=(-10%/5%)=-2
Price elasticity of demand=-2
clearing checks
acting as government fiscal agent
supervising members bankers
regulate money supply
supply paper currency
setting reserve requirements
Answer:
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