Answer:
The correct answer is D. People might withdraw money from interest-bearing accounts, making the interest rate rise, if there is a shortage in the money market.
Explanation:
In case of a shortage of money in the economy, where people who need to consume and produce do not have immediate liquid money to carry out their economic activities, individuals will withdraw the money invested in their accounts to have cash to cover their immediate needs. Thus, the level of money in circulation will increase, but at the same time the liquidity of investment accounts will fall, with which banks will tend to raise interest rates to recover investors and therefore cover the losses in their accounts.
Answer:
The answers are:
A) Yes
B) NO INFORMATION AVAILABLE FOR THIS PART
Explanation:
Innovation in production technologies usually cause a spillover effect. The benefits of introducing new production technologies can be found all across the nation.
The bad effect of this is that many times other companies don't even pay any type of royalties or licences for using new technologies, while benefiting from them.
For example, Henry Ford introduced the assembly line concept and the whole world benefited from this.
Answer:$163 which is favorable
Explanation:
Standard Cost per month is given as =Actual Quantity × Standard Rate
= Actual activity for number of jobs per month × Standard rate per job + Actual activity for meals× standard Rate per meal + Cost of Catering supplies
= 9 jobs×$101 per job + 126 meals × $24 per meal +$470
= $909 + $3,024 + $470 = $4,403
Also, Spending Variance = Actual cost of Catering in May- Standard cost of catering per month.
$4,240- $4,403= $163---- Favorable . This is because the actual cost for catering supplies is less than the Standard cost estimated.
NPV stands for net present value, which refers to the amount of money that is invested today and how much it could potentially be worth in the future. If Alby Ldt. decided they did not want to invest after calculating the potential NPV, it's likely that the future value of the purchase would not be worth the investment.
Answer:
Kindly check explanation
Explanation:
Given that :
Initial wealth = $1000
Cost of lottery = $5
Winning = $500
Number of players or tickets = 100
Only one winner can emerge :
P(winning) = 1/100
P(Not winning) = 1 - 1/100 = 99/100
P __ 1/100 _________ 99/100
X : [1000 + (500-5)] ___ (1000-5)
P(X): ____1/100 _______ 99/100
X : _____ 1495 _________995
Expected value E(x) :
E(X) = ΣX*p(x) = (1/100)*1495 + (99/100)*995 = 1000
C.)
Possible winning = $500 ; p(x) = 1/100
Possible loss = - 5 ;p(x) = 99/100
500 * (1/100) = 5
-5 * (99/100) = - 4.95
Σ(5 + - 4.95) = 5 - 4.95 = 0.05
Hence, gamble is favorable since 0.05 > 0
