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2 years ago

Indicate what components of GDP (if any) each of the following transactions would affect. Check all that apply.

Business

1 answer:

Archy [21]2 years ago

3 0

Answer:

not included

consumption

government spending

consumption

business spending

consumption and inventory (consumption increases and business inventory reduces)

Explanation:

Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year

GDP calculated using the expenditure approach = Consumption spending by households + Investment spending by businesses + Government spending + Net export

Net export = exports – imports

When exports exceed import there is a trade deficit and when import exceeds import, there is a trade surplus.

Items not included in the calculation off GDP includes:

1. services not rendered to oneself

2. Activities not reported to the government

3. illegal activities

4. sale or purchase of used products

5. sale or purchase of intermediate products

6. transfer payments

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Hammerstein Corporation offers a variety of share-based compensation plans to employees. Under its restricted stock award plan,

LekaFEV [45]

Answer and Explanation:

As per the data given in the question,

Fair value per share = $20.4

Number of Share = 2 million

Fair value of award = Fair value per share ×Number of Share

= $20.4 × 2 million

= $40.8 million

2) No Entry

Compensation expense($40.8 million÷4 years) $10.2 million

To Paid in capital - restricted stock($20.4-$10.2) $10.2 million

(Being the compensation expense is recorded)

Fair value per share = $20.4

Share granted = 2 million

(100%-10%) forfeiture rate = 90%

fair value of award = $20.4×2×90%

= $36.72 million

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3 years ago

If $13,000 is borrowed at 5.8% simple interest for 10 years, how much interest will be paid for the loan

Anni [7]

Answer:

7,540

Explanation:

Principle is $13,000

Rate is 5.8%

Time is 10 years

Therefore the simple interest can be calculated as follows

= principle × rate × time

= 13,000 × 5.8/100 × 10

= 13,000 × 0.058×10

= 7,540

Hence the simple interest is 7,540

4 0

2 years ago

Buzz Appliances manufactures two products: Food Processors and Espresso Machines. The following data are available:

murzikaleks [220]

Answer

D. 4,800 Espresso Machines and 0 Food Processors

The answer and procedures of the exercise are attached in a microsoft excel document.

Explanation

Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in a single sheet with the formulas indications.

4 0

3 years ago

Assume the MPC is 0.6. If government were to impose $10 billion of new taxes on household income, consumption spending would ini

mihalych1998 [28]

Answer:

$6 billion

Explanation:

Calculation to determine what consumption spending would initially decrease by

Using this formula

Decrease in Consumption spending=MPC * New taxes on household income

Let plug in the formula

Decrease in Consumption spending=0.6*$10 billion

Decrease in Consumption spending=$6 billion

Therefore consumption spending would initially decrease by $6 billion

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3 years ago

At their regular monthly meeting, a group of local brokers agrees that the introduction of "discount brokerages" in their area w

steposvetlana [31]

Answer:

would be considered collusion.

Explanation:

Collusion refers to an illegal agreement between two or more businesses that decide to cooperate together by setting prices or production quotas. This businesses should naturally compete against each other, not team up to charge higher fees. Collusion is illegal because it leads to unfair market advantages because they negatively affect competition.

8 0

2 years ago