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3 years ago

Which of the following questions is an example of macroeconomics?

Business

1 answer:

alex41 [277]3 years ago

8 0

Answer:

C. If federal taxes are decreased will consumer spending increase?

Explanation:

One keen question that falls under the domain of macroeconomics is the behavior of consumer spending when taxes are decreased.

Macroeconomics presents approaches the study of the economy in a holistic way.
Every aspect of the economy is considered before strategic economic decisions are taken.
Interest rates, inflation, unemployment rate, foreign trade etc. are all categorized under macroeconomics.

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You plan on purchasing the stock of Red Cigars Inc. and you expect it to pay a dividend of $3.15 in 1 year, $3.55 in 2 years,

Musya8 [376]

Answer:

Price of stock = $78.143

Explanation:

According to the dividend valuation model , the current price of a stock is the present value of the expected future dividends discounted at the required rate of return.

So we will discount the steams of dividend using the required rate of 11.0% as follows

Price of stock =3.15 × 1.11^(-1) +3.55× 1.11^(-2) +4.05 1.11^(3) +95× 1.11^(-3)

=78.143

Price of stock = $78.143

3 0

3 years ago

Consumption is $5.5 trillion, investment is $1 trillion, government expenditures are $1.5 trillion, transfer payments are $.5 tr

hammer [34]

GDP = C + I + G + NX = $5.5 trillion + $1 trillion + $1.5 trillion + $.75 trillion - $1.25 trillion = $7.5 trillion

Business is hard T^T

6 0

3 years ago

A company has two products: standard and deluxe. The company expects to produce 37,775 standard units and 63,640 deluxe units. I

jarptica [38.1K]

Answer:

Results are below.

Explanation:

First, we need to calculate the activity rates for each cost pool:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Activity 1= 103,850 / (2,500 + 5,250)= $13.4 per unit of activity

Activity 2= 106,000 / (4,500 + 5,500)= $10.6 per unit of activity

Activity 3= 95,120 / (3,000 + 2,800)= $16.4 per unit of activity

Now, we can allocate overhead to Standard:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Standard:

Activity 1= 13.4*2,500= $33,500

Activity 2= 10.6*4,500= $47,700

Activity 3= 16.4*3,000= $49,200

Total allocated costs= $130,400

Finally, the unitary cost:

Unitary cost= 130,400 / 37,775

Unitary cost= $3.45

7 0

3 years ago

Judy has realized that she does not like working for others. She wants to open a business i n which she will have maximum contro

qwelly [4]

Answer:

Sole proprietorship

Explanation:

Judy has realized that she does not like working for others . She wants to open a business in which she will have maximum control and the least fro, government regulations . Sole proprietorship is best suited for Judy's needs.

Sole proprietorship is the form of business in which a single person is responsible for all the decisions , that single person have full control over the business .

Sole proprietorship is the form of business which is easy to form with no legal formalities. There is a secrecy in Sole proprietorship . In Sole proprietorship the interference of the government is minimum .Sole proprietorship facilitate quick decision making as he /she does not need to concern with others. In the sole proprietorship , the individual need not share his profit with other person . The overhead cost in Sole proprietorship is less.

In you need not to work under anyone, you just need to open it and run according to you , you have full control over it , as no one can say anything to you .

3 0

3 years ago

explain how Adam Smith describes the market economy and role of consumers , producers , workers, savers ( investors) , and borro

astraxan [27]

Answer:

As described below.

Explanation:

As explained by Adam smith a market economy in his wealth of nations. Which is an interplay of the supply and demand, where the role of the customer's producers and the worker's investors and the borrows all follow the economic system and the market as an invisible hand, that comes from the producers and he consumers interact indirectly and directly

As the consumer and producers engage in commercial production thus the idea of a free-market took place. The government interferes with the services where unwanted shortages and the surplus tends to occur.

The free markets to regulate themselves by means of competition, among the workers and the borrowers.

8 0

3 years ago