Answer:
(i) $940 billion
(ii) $380 billion
(iii) -$80 billion
(iv) $300 billion
Explanation:
Income, Y = $1,500 billion
Government spending, G = $260 billion
Taxes, T = $180 billion,
Investment spending, I = $300 billion
As Y = C + G + I
Consumption spending, C = $1,500 - $260 - $300
= $940 billion
Private savings = Y - T - C
= $1,500 - $180 - $940
= $380 billion
Public saving = T - G
= $180 - $260
= -$80 billion
National saving = private + public
= $380 - $80
= $300 billion
The best way to increase economic efficiency on both a small and large scale is to divide labor tasks. This way each person or entity becomes a specialist in their field and output is increased and improved.
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Answer:
Option (A) is correct.
Explanation:
Initial break even:
Let x be the no. of units in the initial break even.
Sales = Costs
Unit Selling price × No. of units = Unit Variable Cost × No. of units + Total fixed costs
250 × x = 100 × x + 840,000
150 × x = 840,000
x = 5600 units
10% increase in variable cost(new):
= Unit Variable Cost + 10% of Unit Variable Cost
= 100 + 100 × 0.10
= 110
4% increase in fixed cost(new):
= Total fixed costs + 4% of Total fixed costs
= 840,000 + 840,000 * 0.04
= 873,600
Break Even:
Let y be the no. of units in the break even.
Sales = Costs
Unit Selling price × No. of units = Unit Variable Cost new × No. of units + Total fixed costs new
250 × y = 110 × y + 873,600
140 × y = 873,600
y = 6,240
Change = y - x
Change = 6,240 - 5,600
Change = 640 increase
Answer:
b. The chart of accounts is a list of accounts that includes numbers and descriptions.
c. The general ledger is a list of accounts that includes numbers, descriptions, and changes in those accounts.
d. The general ledger is known as the core of any accounting system.
Explanation:
The chart of account refers to the various types of accounts i.e revenue, expenditure, asset, liabilities and so on which depicts the number of accounts, the descriptions of account, nature of the account, and the categories in which they are lying.
Whereas the general ledger is the recording of the transactions held by the business which also includes account number, their descriptions, and the changes held in those accounts. Plus, it is also known as the core of any accounting system
True, in some cases I would argue.
