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3 years ago

How does the circular flow model help people see the error in believing there is a fixed lump of labor?

1 answer:

4 0

B. Adding new people into the model means that there are more films and production increases. So, there are more goods and services, but not more households.

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You are considering moving your money to new bank offering a one-year CD that pays an 5 %5% APR with monthly compounding. Your

Gelneren [198K]

Answer:

Explanation:

We need to understand what effective annual rate is to solve this question.

Effective Annual Rate is the actual interest earned on an investment due to effect of compounding.

The formula is:

Effective Annual Rate = $(1+\frac{i}{n})^n - 1$

Where

i is the interest rate given (nominal interest rate)

n is the number of compounding per year

For the old bank,

5% is the interest rate, so i = 5% = 5/100 = 0.05

n is the number of compounding per year, that will be n = 12 since compounding monthly

So, we have:

Effective Annual Rate $(1+\frac{0.05}{12})^{12} -1\\=0.051161$

For second bank, we have:

i = what we need to find

n = 2 (since semi annual compounding, every 6 months)

So,

Effective Annual Rate = $(1+\frac{i}{2})^2 - 1$

This should be equal to APR from 1st bank (0.05)

So, we solve for i:

$0.05=(1+\frac{i}{2})^2 - 1\\1.05=(1+\frac{i}{2})^2 \\i=0.0253$

So, the interest would have to be

0.0253 * 100 = <u>2.53%</u>

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4 years ago

Most audience members expect your presentation to include

Elan Coil [88]

Answer: Preview-view-review strategy.

Explanation: The preview-view-review strategy is used in many different learning environments. This process allows the presenter or teacher to preview the information that will be covered, go over the information being discussed and then review it as a conclusion at the end. By previewing the information, the audience is able to understand what topics will be covered, then learn about them in the view stage and have a summary of the information covered in the review.

6 0

3 years ago

What is the lowest credit rating you can get and still be investment worthy?

Mumz [18]

Answer is A.!!!

"You can make the impossible, possible" -Ali

7 0

3 years ago

Vargis Corporation has a machining capacity of 217,000 hours per year. Utilization of capacity is normally 85%; it has been as l

ivanzaharov [21]

Answer:

Check the explanation

Explanation:

Machine hours available at different capacity utilizatiion

at 30% = 217000*30% = 65100

at 90% = 217000*90% = 195300

at 85% = 217000*85% =184450

PER HOUR RATE OF COST A AT 90% CAPACITY

Irrespective of capacity utilization fixed cost will remain same

at different capacity utilization cost A is $457000, so that it is Fixed cost

Per hour rate = $457000/195300 hrs

= 2.34 per hour

COST B AT 30% CAPACITY

per hour rate of cost B is remains same in both 30% and 90%

per unit or per hour variable cost will be same at different capacity only if it is Variable cost

So that Cost B at 30% capacity can be calculated as follows

= 12.5*65,100hrs

=$813,750

COSTS THAT WILL INCUR AT 85% CAPACITY UTILIZATION

Cost A = $457,000 (as fixed cost will remain same)

Cost B = $12.5*184450 hrs

= $2,305,625 (as variable cost rate per hour will remain same)

Cost C:

As it semi-variable cost we have to find out fixed cost within that

for that first we have to calculate variable cost per hour

VC/hr = Change in Variable cost / Change in machine hours

=(1,347,000-765,000) / (195300-65100)

=582000 / 130200

=$4.47

so variable cost at 30% =4.47*65100

=$290,997

variable cost at 90% = 4.47*195300

= $872,991

So fixed cost of C = Total cost of C - Variable cost of

at 30% capacity = 765000 - 290997

= 474003

( checking correctness) at 90% = 1,347,000 - 872991

=47009 (approx)

So, COST C AT 85% capacity utilization

=variable cost + fixed cost

=(4.47*184450hrs) + 474009

=824491.5 + 474009

=$1,298,500.5

TOTAL COST AT 85% CAPACITY UTILIZATION

=cost A+ cost B+ cost C

=$457,000+$2,305,625+$1,298,500.5

=$4,061,125

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3 years ago

Assume that you invest $550 in a certificate of deposit that has an annual interest rate of 4.5 percent. According to the rule o

RoseWind [281]

Answer:

$1,100

Explanation:

Calculation for what will the investment be worth after 16 years

Rule of 72 is the rule or methods which help in estimating an investment's doubling time.

Therefore According to the rule of 72 what we are going to do is to double the amount of money invested in the Certificate of deposit which was $550

Hence,

Since $550 was invested at an annual interest rate of 4.5%. Thus the rule of 72 tells us that the money will double every 16 years,

Approximately:

Years Balance

Now $550

16 $1,100

( The amount of $550 doubles every 16 years)

Therefore what the investment be worth after 16 years will be $1,100

5 0

4 years ago