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3 years ago

The phase of a business cycle after a recession in which consumer confidence is shaken and consumers reduce spending is called

Business

1 answer:

Strike441 [17]3 years ago

5 0

Answer:

Depression

Explanation:

A business cycle is defined as the period that occurs between a boom and a contraction in an economy. A boom is rapid economic growth while a contraction is a period of slow economic growth.

There are 6 stages of business cycle: expansion, peak, recession, depression, trough, and recovery.

A recession is the early stage of a contraction in which demand for products start to decline and prices fall.

After a recession is depression. In this stage economic growth declines further, unemployment increases, consumer confidence is shaken and consumers reduce spending

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Labor Input Physical output 10 500 11 600 12 690 13 760 14 800 Refer to the above table, answer the following questions: A. If t

Mama L [17]

Answer:

Explanation:

Labor Input Physical output

10 500

11 600

12 690

13 760

14 800

marginal output of 11 th labor = 600 - 500 = 100

price of each product = 7

marginal revenue product of 11 th labor 7 x 100 = 700

B )

price of each of the goods sold = 10

marginal factor cost of labour = 700

minimum no of goods to be sold to cover the labour cost

= 700 / 10 = 70

no of goods added due to addition of 11 the labour = 100

no of goods added due to addition of 12 the labour = 90

no of goods added due to addition of 13 the labour = 70

so no of units of labor upto which the firm will continue to hire

= 13 .

7 0

3 years ago

One of the three basic questions: concerned with the distribution of goods and services

Harman [31]

How to transport the goods ie by truck, plane or train for example for goods like vegetables and fruits from California to Canada and for services like consulting services it could be if they are available and at what cost.

4 0

4 years ago

Miller Mining acquired rights to a tract of land with the intent of extracting from the land a valuable mineral. The cost of the

ziro4ka [17]

Answer:

depletion expense recognize over the first year: 400,000 dollars

Explanation:

it cost 2,500,000 the right to extract 10,000 tons

To obtain therate we divide the cost over the expected tons of materials

rate per ton: 2,500,000 / 10,000 = 250 dollars

Now we calculate the depletion based on the amount extracted on the first year:

first year extractions: 1,600 tons

depletion expense: 1,600 tons x 250 dollars = 400,000

4 0

4 years ago

When a bond is sold at a discount, the maturity value is less than the present value of the principal and interest payments, b

sweet [91]

Answer:

given statement is False

Explanation:

solution

As given bond sold at the discount

maturity value less than present value

but maturity value can not be less than present value of principal and interest

because bond sold at the discount

if bond sold at the discount than maturity value will be greater than the resent value of future cash flow

so we can say that given statement is False

5 0

4 years ago

Indigo Ink Supply paid a dividend of $5 last year on its common stock. It is expected that this dividend will grow at a rate of

pychu [463]

Answer:

1st $5.43

2nd $5.89

3rd $6.39

4th $6.93

5th $7.52

6th $7.81

$75.85

Explanation:

Dividend is the payment to the stockholders out of earning of the company. Companies have a dividend policy which determine the future dividend payments.

Dividend of each year can be calculated by using the growth rate as a discount in the compounding formula.

Dividend Payment

First year = $5 x ( 1 + 8.5% )^1 = $5.43

Second year = $5 x ( 1 + 8.5% )^2 = $5.89

Third year = $5 x ( 1 + 8.5% )^3 = $6.39

Fourth year = $5 x ( 1 + 8.5% )^4 = $6.93

Fifth year =$5 x ( 1 + 8.5% )^5 = $7.52

Sixth year = $7.52 x ( 1 + 3.8% )^1 = $7.81

Intrinsic value of the stock is the present value of all the associated dividends

We need to calculate the present value of all the dividend payment.

First year = $5.43 x ( 1 + 11.5% )^-1 = $4.87

Second year = $5.89 x ( 1 + 11.5% )^-2 = $4.74

Third year = $6.39 x ( 1 + 11.5% )^-3 = $4.61

Fourth year = $6.93 x ( 1 + 11.5% )^-4 = $4.48

Fifth year = $7.52 x ( 1 + 11.5% )^-5 = $4.36

After fifth year the dividend will be discounted as follow

PV of dividend after fifth year = [ $7.81 / (11.5% - 3.8%) ] x [ (1+11.5%)^-6 ] = $52.79

Intrinsic Value of Stock = Sum of PV of all dividends = $4.87 + $4.74 + $4.61 + $4.48 + $4.36 + $52.79 = $75.85

6 0

4 years ago