Answer:
B. keep his shop going because he's earning a healthy $35,000 a year
Explanation:
Imagine Tom's annual salary as an assistant store manager is $30,000, he owns a building that rents for $10,000 yearly, and his financial assets generate $1,000 per year in interest. One day, after deciding to be his own boss, he quits his job, evicts his tenants, and uses his financial assets to establish a bicycle repair shop. To run the business, he outlays $15,000 in cash to cover all the costs involved with running the business, and earns revenues of $50,000.
Tom's accounting profits = $50,000 - $15,000 = $35,000
Answer:
rise, thereby reducing
Explanation:
The crowding out effect states that increased government borrowing can lead to a fall in private investment. Increased government borrowing leads to a rise in real interest rate and this discourages private investment.
I hope my answer helps you
Answer:
2. Non Checkable savings deposits
3. Currency (coins and paper money) in circulation
4. Small-denominated (under $100,000) time deposits
6. Checkable deposits
7. Money market deposit accounts
8. Money market mutual fund balances held by individuals
Explanation:
M1 includes currency, checkable deposits, demand deposits, travelers' checks and negotiable order of withdrawal (NOW) accounts.
M2 includes M1 plus savings accounts, money market accounts, money market mutual funds, and time deposits under $100,000.
Answer:
Overhead volume balance= $29,400 unfavorable
Explanation:
Giving the following information:
From the following data, calculate the fixed overhead volume variance.
-Actual fixed overhead $40,000
-Budgeted fixed overhead $21,000
-Standard overhead allocation rate $6
-Standard direct labor hours per unit 4 DLHr
-Actual output 2,100.
Overhead volume variance= budgeted fixed overhead - fixed overhead applied= 21,000 - 50,400= 29,400 unfavorable
