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Vedmedyk [2.9K]
3 years ago
7

The money demand function for an economy is given by (M/P)d = (0.6Y)/(i1/2). If output is 1,000 units, the nominal interest rate

is 9%, and the money supply is $1,200, the price level is _____.
Business
1 answer:
DIA [1.3K]3 years ago
6 0

Answer:

$0.6

Explanation:

Nominal interest rate (i) = 9% = 0.09

Output (Y) = 1,000

Money supply(M) = 1,200

==> (M/P)^d = (0.6Y) / i^(1/2)

==> 1200/P = 0.6*1000 / 0.09^(1/2)

==> 1200/P = 600 / 0.3

==> 1200/P = 2000

==> 1200 = 2000 * P

==> P = 1200/2000

==> P = $0.6

Therefore, the price level is $0.6

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Jackie is often surprised when she goes to other countries to learn that people do business so differently. For instance, in mee
DochEvi [55]

Answer:

Self reference criterion ( C )

Explanation:

The cultural differences seem strange to Jackie because she is relying on her self reference criterion

self reference criterion is the influence one's  culture will have on the person when the person is exposed to a situation that is suppose to portray the culture the person is used to, but the situation portrays a different culture, hence based on her cultural values and experience she believes that  small talks makes the meeting unnecessarily long

8 0
4 years ago
Which statement is true about the retail inventory method? Group of answer choices It may not be used to estimate inventories fo
mr_godi [17]

Answer:

The answer is: There are different versions of the retail inventory method.

Explanation:

There are several types of retail inventory method:

  1. the conventional (lower of average cost or market) method,
  2. the cost method
  3. the LIFO retail method
  4. the dollar value LIFO retail method

The retail inventory method is very useful for large retailers (e.g. grocery stores, hypermarkets, etc.). Its greatest advantage is that the inventory balance can be calculated without a physical count.

5 0
3 years ago
In its recent income statement, a firm reported $25 million of net income, and in its year-end balance sheet, the firm reported
frez [133]

Answer:

The answer is B. $10,000,000

Explanation:

The formula for dividend paid to shareholders is

Beginning Retained Earnings plus net income minus ending retained earnings.

Please refer to the attached for the calculation

5 0
3 years ago
The PBO is increased by:
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Answer:

D ⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀\huge{\bigstar}{ \green{ \mathfrak{ \underline{ \underline{Question}}}}}{\bigstar}

□☆□☆□☆□☆□☆□☆□☆□☆□☆□☆□☆

Lines PQ and RS intersect each other at . If POR: ROQ = 3:7, find all the angles a, b, c and d.

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5 0
3 years ago
On April 2 a corporation purchased for cash 6,000 shares of its own $13 par common stock at $26 per share. It sold 4,000 of the
maxonik [38]

Answer:

Explanation:

The journal entries are shown below:

a. Treasury stock A/c Dr $156,000         (6,000 shares × $26)

          To Cash A/c  $156,000        

(Being the purchase of treasury stock is recorded)

b. Cash A/c Dr $116,000              (4,000 shares × $29)

            To Treasury Stock A/c $10,4000    (4,000 shares × $26)

            To Paid in capital - Treasury stock $12,000

(Being treasury stock is sold at higher price and the remaining amount would be credited to the paid in capital account)

c. Cash A/c Dr $44,000             (2,000 shares × $22)

Paid in capital - Treasury stock $8,000

                 To Treasury Stock A/c $52,000       (2,000 shares × $26)

(Being treasury stock is sold at lower price)

         

5 0
3 years ago
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