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marshall27 [118]
3 years ago
15

According to the interest-rate effect, aggregate demand slopes downward (negatively) because a. lower prices reduce money holdin

gs, increase lending, interest rates fall, and investment spending increases. b. lower prices increase the value of money holdings and consumer spending increases. c. lower prices increase money holdings, decrease lending, interest rates rise, and investment spending falls. d. lower prices decrease the value of money holdings and consumer spending decreases.
Business
1 answer:
ahrayia [7]3 years ago
5 0

Answer:

a. lower prices reduce money holdings, increase lending, interest rates fall, and investment spending increases.

Explanation:

as per the interest rate effect, the aggregate demand would slope downward or negative when there is less price that decrease the holding of the money also it would rise the lending, the rate of interst would be decline and the investment spending would be rise up

So according to the given situation, the option a is correct

And, the same would be considered

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3 0
3 years ago
A company needs 550,000 items per year. It costs the company $330 to prepare a production run of these items and $5 to produce e
Svetlanka [38]

Answer:

Company A

The number of items that should be produced in each run to minimize total costs of production and storage is:

= 22,000 units

Explanation:

a) Data and Calculations:

Total annual demand = 550,000 units

Cost per production run = $330

Cost per unit = $5

Storage (holding) cost per item = $0.75

The number of items that should be produced in each run to minimize total costs of production and storage is given by Economic Order Quantity (EOQ) formula

= square root of (2 * 550,000 * $330)/$0.75

= square root of $363,000,000/$0.75

= square root of 484,000,000

= 22,000 units

6 0
3 years ago
The balance sheet of Subsidiary shows assets of $86,400 and liabilities of $15,000. The fair value of the assets is $90,000 and
Andrews [41]

Answer:

b. $20,000

Explanation:

Goodwill = Investment in Subsidiary - (Asset With book value - Liability with book value) - (Fair value of Asset - Book value of Asset)

Goodwill = $95,000 - ($86,400 - $15,000) - ($90,000 - $86,400)

Goodwill = $95,000 - $71,400 - $3,600

Goodwill = $20,000

So, parent should record goodwill on this purchase of $20,000

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3 years ago
Describe a vestigial organ
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something that is present but no longer used by an organism such as a tailbone or appendix in humans
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3 years ago
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The agricultural adjustment act (aaa) attempted to solve the "farm problem" by providing federal loans based on crops held in st
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The AAA payed farmers to reduce their production in order to raise prices.
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3 years ago
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