Answer: $0
Explanation:
The cyclical deficit occurs when there is a different between the actual output and the potential output. This is why it is calculated by the formula:
= Tax rate * ( Potential output - Actual output)
As the economy here is at the potential output, it means that both the actual and the potential output are the same. In such a case, there would be no cyclical deficit.
This can be proven by the formula:
= Tax rate * ( Potential output - Actual output)
= 30% * (0)
= $0
Answer:
Ending stockholders equity 1,200,500
Explanation:
492,000 beginning RE
+92,000 retained earnings
-15,200 dividends
568,000 Ending RE
605,000 + 27,500 = 632,500 Ending Common Stock
632,500 + 568,000 = 1,200,500
Answer:
Planning
Explanation:
Planning can be defined as what is needed and required to achieve a desired goal because PLANNING is the first and foremost activity often needed to achieve a desired goal or results reason been that PLANNING involves the creation as well as the maintenance of a plan and it helps to achieve objectives which is why every organization or company always has certain objectives in which they keep on working hard to fulfill these goals and objectives which in turn helps the organization to achieve their aims.
Therefore based on the information given about Manilla water the development, maintenance, and allocation of resources to achieve its goal will require PLANNING.
Answer:
B) $5.64 million
Explanation:
SAP inc can receive $500,000/ shipyard and 4 shipyards a year yields gross cash flows of 500*4 = $2,000,000. Half of these are costs that give us a Net cash flow of $1,000,000/ year.
Since there is no maturity of the project we calculate present value of cash flow with the following formula
PV of cash flow = 1,000,000/0.14 = $7.14 million rounded off
NPV = 7.14-1.5 = 5.64 million
Hope that helps.
<em>Profit</em><em> </em>is what is left after a firm plays its variable costs and fixed costs.
