Answer:
$120 billion
Explanation:
Economy operating at $300 billion above its natural level of output.
Marginal propensity to consume, MPC = 3/5 = 0.6
For closing this expansionary gap, the government have to decrease its spending by the amount calculated as follows:
Spending multiplier:
= 1/ (1 - MPC)
= 1/ (1 - 0.6)
= 1/ 0.4
= 2.5
Hence, the government spending reduces by
= Expansionary gap ÷ Spending multiplier
= $300 ÷ 2.5
= $120 billion
Options:
A. $20
B. $200
C. $40
D. $400
Answer:C. $40
Explanation: Opportunity cost is a term used in Economics to describe the value of the next most profitable alternative of this an investor puts his or her resources into,in this case the opportunity cost for Bubba is the percentage of the interest which Bubba earned from the interest.
Opportunity cost for Bubba can be calculated as follows
(2%/100)* $2,000=$40.
Opportunity cost helps economists to ensure that resources are effectively put to use.
It is at a 30day free trail
Answer:
The principal balance is $151,573
Explanation:
For computing the principal balance, we need the following calculation which is shown below:
1. First we have to compute the 1 month interest payment which equals to
= Note amount × rate × 1 month ÷ total months in a year
= $152,000 × 14% × 1 ÷ 12
= 1773.33
2. Now deduct the first month interest from installment amount which equals to
= Installment amount - Interest amount
= $2,200 - $1773.33
= $426.67
3. Now subtract step 2 amount from notes amount which equals to
= Notes amount - principal amount
= $152,000 - $426.67
= $151,573.33
Hence, the principal balance is $151,573
Answer: TRUE
Explanation: PERT NETWORKS is a project management system/ tool that is prepared before the commencement of a project by creating durations for each task and assigning tasks. It was developed by the United States Navy.
GNATT CHARTS are charts prepared mainly as GRAPHICAL REPRESENTATION of the various tasks,its duration and mile stones achieved during the project. GNATT CHARTS are more efficient and more basic in tracking the progress of a project as it breaks the project into small phases,tracks MILESTONE ACHIEVED as the project continues.
