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kodGreya [7K]
3 years ago
10

The debt-GDP ratio: Please choose the correct answer from the following choices, and then select the submit answer button. Answe

r choices rises whenever the debt rises. is not as accurate in assessing the ability of governments to pay their debts as examining the percentage dollar/euro increase or decrease to the debt. measures government debt relative to gross domestic product minus imports and exports. measures government debt relative to the potential ability of the government to collect taxes to cover that debt
Business
1 answer:
kodGreya [7K]3 years ago
6 0

Answer:

rises whenever the debt rises

Explanation:

The Debt to GDP ratio is a financial metric that compares the debt of a country to its GDP It measures the ability of a country to repay its debt using its GDP

Debt is the total money a country owes to its lenders

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

GDP calculated using the expenditure approach = Consumption spending by households + Investment spending by businesses + Government spending + Net export

Debt to GDP ratio = total debt of country / total GDP of a country

If total debt = $50 million and total GDP = 100 million

Debt GDP ratio = $50 million / $100 million = 0.5

the higher Debt is, the higher the ratio. The lower debt is, the lower the ratio

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Florida groves has a $380,000 bond issue outstanding that is selling at 97.4 percent of face value. The firm also has 2600 share
leva [86]

Answer:

Maket value of the comapny                                $

Market value of bond ($380,000 x 97,4/100)    370,120

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Market value of common stocks (37,500 x $19) 712,500

Market value of the company                              1,241,220

Weight to assign to common stocks = $712,500/$1,241,220 x 100

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The correct answer is E

Explanation:

The market value of each stock is the number of stocks issued multiplied by current market price. Market value of the company is the aggregate of market value of bond, market value of preferred stocks and market value of common stocks. The weight to be assigned to common stocks is the percentage of market value of common stocks to market value of the company.

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3 years ago
Assume that a major customer of the company that you are auditing files for bankruptcy during the subsequent period because of a
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Total utility is the combined amount of pride or success that a client gets via the intake of a specific exact or carrier. Overall application is frequently in comparison to marginal software, that's the pride a purchaser receives from ingesting one extra unit of a great or provider.

Marginal utility, in economics, is the additional pride or advantage (application) that a consumer derives from buying an additional unit of a commodity or provider.

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