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Slav-nsk [51]
2 years ago
8

In open economies, A. countries can save only by acquiring foreign wealth. B. investment always refers to the domestic stock mar

ket. C. unlike the case of a closed economy, saving and investment are not necessarily equal. D. saving and investment are necessarily equal contrary to the case of a closed economy. E. as in a closed economy, saving and investment are not necessarily equal.
Business
1 answer:
ohaa [14]2 years ago
8 0

Answer:

C. unlike the case of a closed economy, saving and investment are not necessarily equal

Explanation:

An open economy occurs when international businesses in addition to domestic ones engage in trading activities.

Exchanges that occur may be for management expertise, goods and services, or technology.

In contrast a closed economy is one where there is no buying or selling with international businesses.

In an open economy people can put their savings in investment outside of the country. So domestic investment is usually not equal to savings.

However in a closed economy. All the savings are invested locally, so investment is usually equal to savings

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A contingent liability is:Multiple ChoiceAlways of a specific amount.An obligation arising from the purchase of goods or service
Ainat [17]

Answer:

A potential obligation that depends on a future event arising from a past transaction or event

Explanation:

A contingent liability is a potential obligation that depends on a future event arising from a past transaction or event.

Contingent liability are usually recorded in the financial statements if :

A. The contingency is likely to occur

B. The amount can be estimated.

I hope my answer helps you

5 0
3 years ago
You would like to purchase one Class A share of Berkshire Hathaway through your Scottrade brokerage account. Scottrade charges a
Bumek [7]

Answer:

The current​ bid/ask spread for Berkshire Hathaway Class A​ shares is $935

Explanation:

The computation of the current bid/ask price is shown below:

The Current bid/ask price = Ask price - Bid price

                                   = $263,810 - $262,875

                                   = $935

The commission amount should be ignored in the computation part. Hence, it will not be considered as it is not relevant.

5 0
3 years ago
On January 1, 2020, Shay Company issues $700,000 of 10%, 15-year bonds. The bonds sell for $684,250. Six years later, on January
Leno4ka [110]

Answer:

Discount on bonds issuance = $15750

Explanation:

A bond is issued at a discount when the issue price of the bond is less than the face value of the bond. This usually happens when the coupon rate paid by the bond is less than the market interest rate. To calculate the amount of discount on bonds issuance, we simply deduct the issue price from the face value of the bond. Thus,

Discount on Bonds = Face value - Issue price

As we know the face value of the bonds is $700000 and the issue price is $684250, we can calculate the discount on issuance to be,

Discount on bonds issuance = 700000 - 684250

Discount on bonds issuance = $15750

7 0
3 years ago
assume that autonomous consumption is $1610 billion and disposable income is $11,200 billion. Using the consumption function, ca
Viefleur [7K]

Answer:  $9,226

Explanation;

The consumption function is;

Consumption = Autonomous consumption + (Marginal Propensity to consume * Disposable income)

Marginal Propensity to Consume;

=Increase in consumption expenditure/  Increase in Disposable income

= 680/1,000

= 0.68

Consumption = Autonomous consumption + (Marginal Propensity to consume * Disposable income)

= 1,610 + ( 0.68 * 11,200)

= $9,226

6 0
3 years ago
Whats the process of how a business incorporates?
torisob [31]
This is the process! have a good day!

7 0
3 years ago
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