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patriot [66]
2 years ago
15

If the economy is in a recession, according to Keynesian economists, which fiscal policy is likely help this economic issue?

Business
1 answer:
VashaNatasha [74]2 years ago
5 0

Answer:

<em>e</em><em>x</em><em>p</em><em>a</em><em>n</em><em>s</em><em>i</em><em>o</em><em>n</em><em>a</em><em>r</em><em>y</em><em> </em><em>f</em><em>i</em><em>s</em><em>c</em><em>a</em><em>l</em><em> </em><em>p</em><em>o</em><em>l</em><em>i</em><em>c</em><em>y</em><em>.</em>

Explanation:

<em>e</em><em>x</em><em>p</em><em>a</em><em>n</em><em>s</em><em>i</em><em>o</em><em>n</em><em>a</em><em>r</em><em>y</em><em> </em><em>f</em><em>i</em><em>s</em><em>c</em><em>a</em><em>l</em><em> </em><em>p</em><em>o</em><em>l</em><em>i</em><em>c</em><em>y</em><em> </em><em>i</em><em>s</em><em> </em><em>m</em><em>o</em><em>s</em><em>t</em><em> </em><em>a</em><em>p</em><em>p</em><em>r</em><em>o</em><em>p</em><em>r</em><em>i</em><em>a</em><em>t</em><em>e</em><em> </em><em>w</em><em>h</em><em>e</em><em>n</em><em> </em><em>a</em><em>n</em><em> </em><em>e</em><em>c</em><em>o</em><em>n</em><em>o</em><em>m</em><em>y</em><em> </em><em>i</em><em>s</em><em> </em><em>i</em><em>n</em><em> </em><em>r</em><em>e</em><em>c</em><em>e</em><em>s</em><em>s</em><em>i</em><em>o</em><em>n</em><em> </em><em>a</em><em>n</em><em>d</em><em> </em><em>p</em><em>r</em><em>o</em><em>d</em><em>u</em><em>c</em><em>i</em><em>n</em><em>g</em><em> </em><em>b</em><em>e</em><em>l</em><em>o</em><em>w</em><em> </em><em>i</em><em>t</em><em>s</em><em> </em><em>p</em><em>o</em><em>t</em><em>e</em><em>n</em><em>t</em><em>i</em><em>a</em><em>l</em><em> </em><em>G</em><em>D</em><em>P</em><em>.</em><em> </em>

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Period costs are always expensed on the income statement in the period in which ______.
jenyasd209 [6]

Explanation:

Period costs are always expensed on the income statement in the period in which: they are incurred.

7 0
2 years ago
For fixed-rate bonds it's important to realize that the value of the bond has a(n)-Select relationship to the level of interest
pogonyaev

Answer:

Answer is explained in the explanation section below.

Explanation:

It's necessary to remember that the value of fixed-rate bonds is inversely proportional to the level of interest rates. The value of the bond decreases as interest rates rise; moreover, the value of the bond rises as interest rates fall. A Bond with a lower coupon sells for less than its face value. When the going rate of interest is higher than the coupon rate, this condition arises. The value of the asset would increase over time. A higher coupon bond is one that sells for a higher price than its face value. When the going rate of interest is lower than the coupon rate, this condition arises. Its value will gradually decrease until it reaches its maturity value. A par value bond that sells at par, with a coupon rate equal to the current interest rate. The coupon is usually set at the going market rate on the day the bond is sold, so it sells at par at first.

Calculations:

C = Coupon Payments = $60 (Par Value x Coupon Rate)

n = number of years = 10

i = market rate or required yield = 7% = 0.007

K = number of coupon payments in 1 year = 1

P = value at maturity or par value = 1000

Present value of ordinary annuity formula:

Bond Price = C/k * [\frac{1 - \frac{1}{(1 + \frac{i}{k})^{nk}  } }{\frac{i}{k} } ] + \frac{P}{(1 + \frac{i}{k})^{nk}  }

Just plug in the values and you will get:

Bond Price = 60 x 7.02 + 508.35

Bond Price = 421.41 508.35

Bond Price = $929.76

Similarly,

Data:

C = Coupon Payments = $60 (Par Value x Coupon Rate)

n = number of years = 10

i = market rate or required yield = 7% = 0.007

K = number of coupon payments in 1 year = 2

P = value at maturity or par value = 1000

Present value of ordinary annuity formula:  

Bond Price = C/k * [\frac{1 - \frac{1}{(1 + \frac{i}{k})^{nk}  } }{\frac{i}{k} } ] + \frac{P}{(1 + \frac{i}{k})^{nk}  }

Just plug in the values and you will get:  

Bond Price = 30 x 14.21 + 502.57

Bond Price = 426.37 + 502.57

Bond Price = $928.94

8 0
3 years ago
If the Federal Reserve were to change from an expansionary to a contractionary monetary
zzz [600]

Answer:

B) systematic risk

Explanation:

Federal Reserve changes in monetary policies affect the entire securities market hence considered a Systematic risk. It is also known as the Non-diversifiable risk ; it cannot be diversified away unlike stock specific or industry specific risk(unsystematic ) which can be eliminated through diversification.

Systematic risk is unavoidable and may be difficult to predict. Other examples include increase in long term interest rates, recessions or wars. Additionally, Investors are only compensated for systematic risk and not for diversifiable risk.

6 0
3 years ago
Here is the ledger for Blossom Company.
Alex777 [14]

Answer:

1/Oct : Cash (Dr.) $8,660

Accounts Receivable (Cr.) $8,660

10/Oct : Equipment & Supplies (Dr.) $9,660

Notes Payable (Cr.) $9,660

20/Oct : Accounts Receivable (Dr.) $2,640

Service Revenue (Cr.) $2,640

Explanation:

Debits $16,960

Cash 6,600

Accounts Receivable 1,840

Supplies 1,840

Equipment 4,660

Dividend 2,020

Credits : $16960

Accounts Payable 4,660

Notes Payable 9,660

Service Revenue 2,640

3 0
3 years ago
Calculate the IRR of a machine that is purchased for $5,500, sold at the end of year 4 for $2,500, and produces the following ca
prohojiy [21]

Answer:

2.21%

Explanation:

The internal rate of return is the rate of return on the project where the present value of future cash flows equals the initial investment outlay. It is known as the break-even discount rate since, at IRR, the net present value is zero.

The IRR can be determined using the excel IRR function as shown thus:

=IRR(values)

values are the cash flows from years 0-4

Find attached excel file for IRR computation

Download xlsx
5 0
2 years ago
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