Answer:
Under a) r=0.1;Id=50;Cd=750;P=7 b) P only changes and is now 9.33
Explanation:
a) In a closed economy national savings are equal to investments or:
S d = I d = Y - Cd - G
Id = Y - 100 - 0.8*Y + 500*r - 0.5*G
100 - 500*r = 0.2*Y -100 + 500*r -0.5*G
200 - 1000*r = 0.2*1000 - 0.5*200=100
-1000*r=-100
r= 0.1
i = 0.15
Id = 100 -50 =50
Cd= 100 + 800 - 50 - 100=750
P = Md/Y-2000 i
P= 2100/1000 -300=7
b) If money supply increases to 2800, the price level would be:
P = 2800/Y - 2000*i = 2800/Y- 2000*(i-inflation)
However, since the variables determining real interest rate remained the same, r is also the same or 0.1 and i is 0.15. Consumption and investment remain the same, only price level changes or:
P=9.33
Answer:
$21,000
Explanation:
The new bridge would take 30 man hours of labor at $50 per hour, in activity based costing, this means that ,
30*50 = 1500.
Now, it will require 14 piers to support it each time a pier is sunk into the harbor,hence the final calculation will be:
30*50*14 = 21000.
Hope this Helps.
Goodluck.
Answer:
$100,000
Explanation:
The computation of gross profit is shown below:-
Gross profit = (Sales revenue - Sales return - Sales discount) - Cost of goods sold
= ($350,000 - $50,000 - $20,000) - $180,000
= $280,000 - $180,000
= $100,000
Therefore we simply applied the above formula for determining the gross profit
Answer:
The correct answer is D.
Explanation:
Giving the following information:
Central Supply purchased a new printer for $67,500. The printer is expected to operate for nine (9) years, after which it will be sold for salvage value (estimated to be $6,750).
Annual depreciation= 2*[(original cost - residual value)/estimated life (years)]
Year 1= 2*[(67,500 - 6,750)/9]= $13,500
Answer:
Option A
Explanation:
In simple words, Regardless of the expense of making guitars, the technique reduces the total cost of manufacturing a instrument. Phoenix would be in the production business of instruments, not pickups.
The target of this technique is therefore the entire guitar, not really the pickups. The smaller the process of manufacturing their instruments, the better manoeuvrability they have on the market. When they have reduced costs, they may change rates downwards in order to capture further market penetration.