<span>The marginal propensity to consume (MPC) is a measure of the proportion of extra income that will be spent on consumption. If an individual receives an extra $100 and spends $60 on consumption then the person’s MPC is 0.60. If consumer income in the United States increases by $100 million and the MPC is 0.60 consumption in the US will increase by $60 million.</span>
Available Options Are:
a. Increasing ROIC by increasing return on sales
b. Decreasing ROIC by increasing return on sales
c. Decreasing ROIC by decreasing return on sales
d. Increasing ROIC by decreasing return on sales
Answer:
Option C. Decreasing ROIC by decreasing return on sales
Explanation:
The return on sales would be reduced as the research expenses have increased substantially. The implications of increased research expenses on the ROIC can be understood by analyzing the ROIC formula which is given as under:
ROCI = Operating Income (1 - Tax Rate) / Book Value of Invested Capital
As revenue expenditure (Research and Development expenses) of the company has increased, this would decrease the operating income of the company which means that the numerator would be decreased and as a result the ROIC would decrease.
Answer:
Ans. c) Income tax rate must be 23%
Explanation:
Hi, the total income of Thailand´s workforce is:
Since Thailand´s government needs to raise $70,000,000,000, the tax rate has to be:
So Thailand´s tax rate must be: c. 23%
Best of luck.
The ability of an organism to change in its environment. It applies to development by environmental interactions and neural changes influenced by learning.
