1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
kvasek [131]
3 years ago
12

The interest rate effect of a decrease in the aggregate price level will increase which of the following?

Business
1 answer:
Mama L [17]3 years ago
6 0

Answer:

Investment spending.

Explanation:

Rate of return can be defined as the percentage of interest or dividends earned on money that is invested.

In Financial accounting, a return refers to the amount of profit generated by an investor on an investment over a specific period of time.

Basically, the rate of return which is typically expressed as a percentage of the initial costs of an investment can either be a gain or a loss on an investment. Therefore, a positive rate of return on an investment over a specific period of time, simply means that an investor is making a profit (gains) while a negative rate of return on an investment over a specific period of time, indicates that the investor is running at a loss.

The interest rate effect of a decrease in the aggregate price level will increase investment spending.

You might be interested in
The marion's clothing has a gross profit of $700,000 and $240,000 in depreciation expense. the preston's pants also has $700,000
bogdanovich [222]
So, doing the calculations, Marion's had $700,000-240,000=$460,000-160,000 in expenses = $300,000 x 0.4 income tax=120,000 and so 300,000-120,000=$180,000 net value. Preston's had $700,000-40,000 depreciation=$660,000-160,000 expenses =$500,000 x 0.4 taxes= 200,000 taxes so 500,000-200,000=$300,000 net value. The result is Preston's had less depreciation which provided it with more spendable income.
6 0
3 years ago
Jim has part ownership in a house. He has decided to sell his interest. He signs an agreement with a local real estate designate
Scilla [17]

Answer:

joint tenant

Explanation:

Based on the information provided within the question it seems that Jim is most likely holding his part ownership as joint tenant. This is a unique type of ownership in which more than one individual share ownership of a property. These individuals share the exact same amount of rights to do with the property as they wish. Which is why Jim was able to sign away his part of the ownership without informing the other owners.

3 0
3 years ago
Richardson motors uses 10 units of part no. t305 each month in the production of large diesel engines. the cost to manufacture o
Vera_Pavlovna [14]

Answer:

Richardson's opportunity cost is $8,000

Explanation:

If Richardson motors manufacture t305 themselves the total manufacturing cost per unit is $42,400.

Overhead of $24,000 is 1/3 variable and 2/3 of fixed, that means $16,000 of that would continue.

Therefore the avoidable variable manufacturing cost per unit is $24,000+$2000+$400= $26,400.

But, if Richardson Motors decides to buy the t305 from Simpson Castings then the per unit variable cost will be $36,000 ($30,000 purchase price + $6,000 material handling cost applied {i.e 20% X $30,000 per unit}).

Therefore, if they buy from Simpson Castings the per unit cost of the t305 component will no longer be the same. There will be an increase

I.e $36,000-$26,400=$9,600

If they buy 10 units per month, the total cost per month would increase by $9,600 X 10 =$96000.

If Richardson Motors happens to use the idle capacity to manufacture another product that would contribute $104,000 per month, then the opportunity cost would be:

$104,000 - $96,000 = $8,000

7 0
3 years ago
Travis International has a debt payment of $2.34 million that it must make 6 years from today. The company does not want to come
Nataliya [291]

Answer:

$27,692.31

Explanation:

Principle amount = $2.34 million = $2,340,000

Time, n = 6 years = 72 months

Rate of interest = 5.33%

Monthly rate of interest, r = 5.33% ÷ 12 = 0.44% = 0.0044

Compounded monthly

FV of Annuity = ( Monthly deposits ) × { [ ( 1 + r )ⁿ - 1 ] ÷ r }

or

$ 2,340,000 = ( Monthly deposits ) × { [ ( 1 + 0.0044 )⁷² - 1 ] ÷ 0.0044 }

or

$2,340,000 = ( Monthly deposits ) × { [  1.3718 - 1  ] ÷ 0.0044 }

or

$2,340,000 = ( Monthly deposits ) × [ 0.3718 ÷ 0.0044 ]

or

$2,340,000 = ( Monthly deposits ) × 84.5

or

Monthly deposits = $27,692.31

7 0
3 years ago
Read 2 more answers
The United Nations Human Development Report gives the following data for real GDP per person in​ 2014: China,​ $12,547; Russia,​
Leviafan [203]

Answer:

B. between China and Russia or between Canada and the United​ States, because household​ production, the underground​ economy, leisure​ hours, and the environment are similar in each pair

Explanation:

The standard of living can be easily compared​ ______.     A. between China and Canada because they have a similar land size   B. between China and Russia or between Canada and the United​ States, because household​ production, the underground​ economy, leisure​ hours, and the environment are similar in each pair   C. among none of the four countries because they are too different   D. between Russia and the United States because they are both super powers   E. among all four countries because real GDP per person includes a reliable measure of​ income, household​ production, the underground​ economy, leisure​ hours, and the environment

Real Per capita GDP measures the standard of living of the people in a country. The higher the Real Per capita GDP, the higher the standard of living

Real Per capita GDP = Real GDP / population  

Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year

Real GDP is GDP calculated using base year prices. Real GDP has been adjusted for inflation.

some items are not perfectly measured by GDP. They include

1. services not rendered to oneself

2. Activities not reported to the government  

3. illegal activities

4. sale or purchase of used products

5. sale or purchase of intermediate products

Because GDP does not measure underground economy (illegal activities) , leisure , it would be difficult to compare either pair of countries

 

3 0
3 years ago
Other questions:
  • 1. Assume that Walmart can borrow at yield of 5% in USD (5-year, zero coupon debt, issued in the US), before issuance costs. Alt
    7·1 answer
  • Henrique​ Correa's bakery prepares all its cakes between 4 A.M.and 6 A.M.so they will be fresh when customers arrive.​ Day-old c
    10·1 answer
  • Property taxes are based on
    6·2 answers
  • If I told you that income elasticity in the market for hybrid cars is positive, you would know that:
    14·1 answer
  • For Warren Corporation, year-end plan assets were $2,000,000. At the beginning of the year, plan assets were $1,780,000. During
    13·1 answer
  • If Starbucks raises its price by 5 percent and McDonald’s experiences a 0.5 percent increase in demand for its coffee, what is t
    13·1 answer
  • Assume that the building the company wants to build is a manufacturing plant and that it was going to be built in a semi-residen
    11·1 answer
  • You've been asked to prepare a T-bone steak. Which primal beef cut are you most likely to select? A. Top round B. Short loin C.
    7·1 answer
  • "The next dividend payment by Savitz, Inc., will be $1.60 per share. The dividends are anticipated to maintain a growth rate of
    6·1 answer
  • The owner of a mansion with extensive landscaped grounds installed a life-size marble statue of his late mother affixed to a gra
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!