Answer: magnifies spending-income changes into greater changes in aggregate demand, causing demand-pull inflation
Explanation:
The spending multiplier is the ratio of the change in GDP to the change in the autonomous expenditure.
The spending income multiplier magnifies spending-income changes into greater changes in aggregate demand, causing demand-pull inflation. In a situation whereby there's a reduction in the investment spending, there'll be a recession.
Answer: The answer is provided below
Explanation:
a. The unadjusted trial balance has been attached.
b. The net income is calculated as sales minus the expenses. Regarding the question, after the trial balance has been prepared, the net income is the value of the company's operating expenses which is then subtracted from the fees that the company earned. Therefore, the net income will be:= 12300-6940 = 5360
The level of strategic management that look at the whole organization can be regarded as Corporate level strategy.
- Corporate-level strategy can be regarded as strategy that is been used in to gaining a competitive advantage in several industries as well as product markets.
- These competitive advantage can be carried out through the selection as well as management of combination of businesses competing that are in that particular industries.
- Corporate strategies usually firm so that they can earn above- average profits ,this strategy also help in creating value for the shareholders.
Therefore, Corporate level strategy brings about making a firm to have increase in profit margin.
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Answer:
Higher by $36000
Explanation:
Given: Cash income= $150000
Accural basis method of recording transaction in real time as income is recorded when it is earned and expenses are recorded, when it is incurred.
Cash‐basis pre‐tax income $150,000
Decrease in accounts receivable = $20,000
In the given case, The Account Receivable (AR) decrease by $20,000 implies that cash received on account was $20,000 greater than accrual sales.
Increase in accounts payable = $16,000
.
The accounts payable increase by $16,000 implies that more inventory was purchased and included in accrual cost of goods sold than was paid.
Accrual‐basis income $186,000 This cash pretax income is $36,000 
higher than the accrual‐basis income.
A traditional life insurance policy pays the beneficiaries of the policyholder at the time of the policyholder's death, whereas an endowment policy pays the insured if he or she is alive on the future (maturity) date named in the policy.
There are two different types of life insurance policies that policyholders may opt for depending on the policyholder's needs and requirements at the time:
- A traditional life insurance policy pays the beneficiaries of the policyholder at the time of the policyholder's death.
- An endowment policy pays the insured if he or she is alive on the future (maturity) date named in the policy.
- The maturity date specifies the time period in an endowment life insurance policy.
- An endowment policy is different from a life insurance policy in that it allows the policyholder to save regularly over a period of time as the period of endowment in the life insurance matures.
- The essential difference between a traditional life insurance policy and an endowment policy is that the former pays the beneficiaries at the death of the policyholder, while the latter pays the insured if the policyholder is alive on the maturity future date named in the policy.
Therefore, a traditional life insurance policy pays the beneficiaries of the policyholder at the time of the policyholder's death, whereas an endowment policy pays the insured if he or she is alive on the future (maturity) date named in the policy.
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