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3 years ago

Monetary neutrality means that a change in the money supply ____.

Business

1 answer:

Anettt [7]3 years ago

4 0

Answer:

b. does not change real variables. Most economists think this is a good description of the economy in the long run but not in the short run

Explanation:

According to money neutrality, change in the money supply does not change real variables since most economists think this is a good description of the economy in the long run but not the short run.

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You were appointed the manager of Drive Systems Division (DSD) at Tunes2Go, a manufacturer of portable music devices using the l

Volgvan

Answer:

Answer is explained below.

Explanation:

Assume the new testing equipment is rented and installed on December 31 and impact on this year's divisional operating profit

Loss from equipment write-off

Sales revenue 9,820,000

Operating costs:

Variable -1,190,000

Fixed (cash expenditures) -4,390,000

Equipment depreciation -960,000

Other depreciation -710,000

Loss from equipment write-off -5,040,000

Operating profit (loss) before taxes

Operating profit (loss) before taxes=-$2,470,000(Loss)

Loss from equipment write-off= Value of equipment -Equipment Depreciation =$6,000,000-$960,000=$5,040,000

Assume the new testing equipment is rented and installed on December 31. and the impact on next year's divisional operating profit

Sales revenue 9,820,000+690,900=10,510,900 Add 7% of 9,820,000=690,900

Operating costs:

Equipment rental -1,370,000

Variable -1,190,000

Fixed cash expenditures -4,390,000+263,400=-4,126,600 6%of 4,390,000=263400

Equipment depreciation -960,000

Other depreciation -710,000

Operating profit (loss) before taxes 2,154,300(Profit)

Would you rent the new equipment - Yes Because it is benificial for Company as it is earning profit of $2,154,300

3 0

3 years ago

This information relates to Monty Real Estate Agency for the month of October, 2022.

Darina [25.2K]

Answer:

Oct 1 Cash $37000 Dr

Common Stock $37000 Cr

Oct 3 Equipment Account $4400 Dr

Accounts Payable $4400 Cr

Oct 6 Accounts Receivable $10500 Dr

Commission Revenue $10500 Cr

Oct 10 Cash $190 Dr

Commission Revenue $190 Cr

Oct 27 Accounts Payable $880 Dr

Cash $880 Cr

Oct 30 Salary Expense $3000 Dr

Cash $3000 Cr

Explanation:

The event on October 2 of hiring an administravtive assistant is not a financial event so it will not be recoreded and journalized. All the other transactions are recorded and journalized.

7 0

3 years ago

Lakeland Chemical manufactures a product called Zing. Direct materials are added at the beginning of the process, and conversion

Agata [3.3K]

Answer:

$2.38

Explanation:

Note : I have uploaded the full question below as an image

Step 1

Calculate the Equivalent units of production with respect to conversion costs

Units Completed and Transferred (81,000 x 100%) = 81,000

Plus Units in Ending Work In Process (9,000 x 20%) = 1,800

Total Equivalent Units = 82,800

Step 2

Calculate the Total Conversion Costs during the period

Total Conversion Costs = $197,380 (given)

Step 3

Calculate Cost per Equivalent Unit

Cost per Equivalent Unit = Total Cost ÷ Equivalent Units

= $197,380 ÷ 82,800

= $2.38

6 0

3 years ago

A company using the FIFO method had beginning work in process inventory of 10,000 units and completed 75,000 units. They also ha

Anna [14]

Answer:

the number of units started and completed is 65,000 units

Explanation:

The computation of the number of units started and completed is given below:

= Units completed - beginning work in process inventory units

= 75,000 units - 10,000 units

= 65,000 units

Hence, the number of units started and completed is 65,000 units

8 0

3 years ago

Waterway Industries has gathered the following information concerning one model of shoe: Variable manufacturing costs $35000 Var

lyudmila [28]

Answer:

0.004%

Explanation:

The desired ROI per paid of shoes can be calculated using the following formula:

ROI per pair of shoes = ROI / Number of units sold

By putting values we have:

ROI per pair of shoes = 20% / 5000 pairs = 0.004%

This is the return that every shoe pair must achieve to achieve 20% ROI on aggregating.

4 0

3 years ago

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