Answer:
(B) $20 billion
Explanation:
Given a certain level of MPC, an increase in government spending (G) by a certain amount translates to an increase in aggregate demand (AD) through the relationship below.
where Δ means <em>change.</em>
<em />
Therefore, given ΔAD of $50 billion, and MPC of 0.6,
= 
= 
= ΔG = 50 * 0.4 = 20
Therefore, increase in government purchases = $20 billion.
Answer:
c. $4,025,200
Explanation:
The computation of the total cash receipts from sales and collections in April month is shown below:
= April sales × cash sales percentage + April sales × credit sales percentage × collection month percentage + March sales credit sales percentage × Following month collection percentage
= $4,000,000 ×30% + $4,000,000 × 70% × 40% + $4,200,000 × 70% × 58%
= $1,200,000 + $1,120,000 + $1,705,200
= $4,025,200
Since cash sales are 30% , so the credit sales would be 70%
Answer:
III) Increase its gross margin
Explanation:
If the company increases its gross margin, it will have a direct impact on the company's net profit. The higher a company's net profit, the higher its value = higher stock price.
The only option that increases the value of the company is to increase its net profit, since:
- an increase in inventory will result in a lower stock price
- a decrease in the asset turnover ratio will result in a lower stock price
- the issuing of stock dividends will only increase the price of stock in the short run, later the price will adjust down since the company's book value will lower
Answer:
inter-organizational system
Explanation:
An inter-organizational system refers to the network amongst organizations, or "sharing communications system between such a number of companies." The most common method of inter-organizational systems is electronic communications exchange, which allows for the immediate desktop-to-computer transmission of information.
The inter-organizational rules allow knowledge exchange to be streamlined between companies in terms of achieving a planned supply-chain management structure that allows profitable businesses to evolve. It facilitates customer needs planning and products and services distribution.
Answer:
a) help to evaluate what happened in the past.
Explanation:
The financial statement interprets the financial performance, profitability, position of the company. It involves the income statement, balance sheet, cash flow statement, etc through which the business could be analyzed in a better way
Also it helps to analyze and evaluate what is happened in the past
Therefore the option a is correct
