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SVEN [57.7K]
3 years ago
10

If aggregate expenditures increase by $14 billion and equilibrium GDP consequently increases by $70 billion, then the marginal p

ropensity to consume in the economy must be
Business
1 answer:
Alchen [17]3 years ago
7 0

Answer:

0.2

Explanation:

Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year

Marginal propensity to consume is the proportion of disposable income that is spent on consumption

Marginal propensity to consume = amount consumed / disposable income

Marginal propensity to save is the proportion of disposable income that is saved

Marginal propensity to save = amount saved / disposable income

MPC + MPS = 1

MPC = $14 billion /  $70 billion = 0.2

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Sue Bee Honey is one of the largest processors of its product for the retail market. Assume that one of its plants has annual fi
NNADVOKAT [17]

Answer:

$75 per case

Explanation:

Required: Selling Price per case

Sales – Variable cost – Fixed cost = Target desired profit

Sales = 800000 case x Selling Price (SP)

Variable cost = (800000 case x $40) + (800000 x SP x 25%)

Putting into equation:

Sales – Variable cost – Fixed cost = Target desired profit

(800000 x SP) – [(800000 x 40) + (800000 x SP x 25%)] - $8000000 = $ 5000000

>800000SP – (32000000 + 200000SP) – 8000000 = 5000000

>800000SP – 32000000 – 200000SP – 8000000 = 5000000

>800000SP – 200000SP = 5000000 + 8000000 + 32000000

>600000SP = 45000000

>SP = 45000000 / 600000

>SP = $ 75

3 0
3 years ago
Read 2 more answers
A _____ invests capital in startup enterprises for a living.
mario62 [17]

Answer:

A venture capitalist invests capital in startup enterprises for a living.

Explanation:

A venture capitalist is a type of private equity investor. <em><u>They invest in enterprises that show promise. </u></em>It means that there is a high possibility or shows high growth potential.

Venture capitalists fund startup or small enterprises that have a desire to expand their business but don't have the means to do so. Venture capitalists are willing to invest considering the risk because they think about the profit or the return they will get once it succeeded.

4 0
4 years ago
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Jan, a greeter, overheard an IRS tax law-certified volunteer, Jim, trying to sell insurance to a taxpayer he was helping. Jim is
Lerok [7]

Answer:

B

Explanation:

Tell the site coordinator what she heard, so he can immediately remove Jim from the site and report the incident using the external referral process by sending an email to [email protected] because he has violated the Volunteer Standard of Conduct.

4 0
3 years ago
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How can we start a business
Llana [10]

Answer:

1.conduct market research.Market research will tell you if there is an opportunity to turn your plan into successful business

2.write your business plan

3.fund your business

4.pick your business location

5.choose your business location

6.choose your business name

7.register your business

8.get federal and state tax IDs

5 0
3 years ago
Suppose an economy produces only burgers and bags of fries. In 2010, 4000 burgers are sold at $3 each and 6000 bags of fires are
sergejj [24]

Answer:

Option (C) is correct.

Explanation:

Nominal GDP:

= (No. of burgers sold × Selling price of each) + (No. of fries sold × Selling price of each)

= (4000 × 3) + (6000 × 1.5)

= 12,000 + 9,000

= $21,000

Real GDP (in 2008 prices)

= (No. of burgers sold × Selling price of each) + (No. of fries sold × Selling price of each)

= (4,000 × $2.50) + (6000 × $2)

= 10,000 + 12,000

= $22,000

GDP deflator:

= (Nominal GDP ÷ Real GDP) × 100

=  (21000 ÷ 22000) × 100

= 95.45

8 0
4 years ago
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