Answer: Yes, the budget deficit will have on the current rate of inflation.
Explanation:
If the budget deficits have inflated the monetary policy, therefore, the monetary policy will affect the short run of aggregate supply curve. In this scenario, large budget deficits will shift the curve upward due to the increase in expected inflation, which will surely make the current inflation rate to be higher.
Answer:
less than
Explanation:
The law of diminishing marginal utility states that utility decreases as additional units of a commodity are consumed. An example would the satisfaction you would derive from the first bottle of cola and the second and the third, the satisfaction you derive deceases after each additional consumption.
Answer:
True.
Explanation:
Giving the following information:
Direct labor $1.50 per unit
Direct materials $1.50 per unit
Overhead:
Total variable overhead $900,000
Total fixed overhead $1,200,000
Expected units to be produced 3,000 units
<u>The difference between the absorption and variable costing methods is that the first one allocates the fixed manufacturing overhead to its production cost. </u>
<u></u>
<u>The difference will be:</u>
Unitary fixed overhead= 1,200,000/3,000= $400 per unit
Answer:
Cashflow from Operating Activities $
Net income 61,000
Add: items not involving movement of cash
Depreciation <u>76,000</u>
137,000
Changes in working capital:
Increase in prepaid rent (56,000)
Increase in accounts payable <u>11,000</u>
92,000
Less: Tax <u> 16,000</u>
Cashflow from operating activities <u> 76,000</u>
Explanation:
Cashflow from operaing activities using the indirect method equals net income plus depreciation minus increase in prepaid rent plus increase in accounts payable minus tax.
Answer:
9.61 years
Explanation:
For this question , we use the NPER formula that is presented in the attached spreadsheet
Given that,
Present value = $12,000
Future value = $30,000
Rate of interest = 10%
PMT = $0
The formula is shown below:
= NPER(Rate;PMT;-PV;FV;type)
The present value come in negative
So, after solving this, the answer is 9.61 years