Answer and Explanation:
The computation is shown below:
We use the formula that is given below:
Invested amount = $1,000,000 present value
Present value = 1 ÷ (1 + rate of interest)^number of years
a.
The amount invested is
= $1,000,000 ÷ (1.1104)^45
= $8,983.07
b,
The amount invested is
= $1,000,000 ÷ (1.0552)^45
= $89,111.71
Answer:
Services the borrower did shop for, that the buyer may find on his own.
Explanation:
Services such as a pest inspection or title insurance are services that the buyer of a house usually want, but are not mandatory for them to purchase. Therefore usually buyers must search for them on their own since they are not required by a bank.
They are different than services that a lender requires like home insurance, which a buyer must purchase.
Answer:
Explanation:
a. A temporary increase in government purchases would result in a reduction in savings, which would, in turn, lead to the implementation of higher taxes by the government so as to match prices and wages.
This would: make output to remain unchanged, real interest to increase and current price level to increase as well.
b. A reduction in expected inflation would lead to an increment in the demand for real money, as people do not expect inflation to increase for a while. Thus, more demand creates a reduction in the price level. Everything else remains unchanged. This would: make output remain unchanged, real interest remain unchanged and the current price level to decrease.
C. A temporary increase in labor supply would make more people have jobs and therefore more people can save. If more people save the interest rates are liable to decrease therefore money demand will increase. This would: make output to increase, real interest to decline and current price level to decrease.
d. An increase in the interest rate paid on money will lead to a higher demand for money. With an unchanged nominal money supply and higher money demand, the price would decline but everything remains unchanged. This would make: output remain unchanged, real interest remains unchanged and the current price level decrease.
If you look at it I think it was be in bounds and you did not have
Answer:
LEWIS Co.
Flexible budget performance report
For month ended May 31
Flexible budget Actual results Variances Result
Sales $420,000 $435,000 $15,000 Fav
(1400*$300)
Variable expense $168,000 $172,000 $4,000 Unfav
(1400*$120)
Contr. margin $252,000 $263,000 $11,000 Fav
Fixed cost $125,000 $122,000 $3,000 Fav
Net Income $127,000 $141,000 $14,000 Fav
