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3 years ago

13

If Treasury bills are currently paying 5.2 percent and the inflation rate is 2.7 percent, what is the approximate real rate of i

nterest?

1 answer:

Alexxandr [17]3 years ago

3 0

Answer:

2.43 %

Explanation :

Real Interest rate = (1 + nominal rate) / (1 + inflation rate) - 1

therefore,

Real Interest rate = 1.052 / 1.027 - 1

= 2.43 %

the approximate real rate of interest is 2.43 %

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Accounts receivable $ 28,500 Long-term notes payable $ 23,000 Accounts payable 16,200 Office supplies 4,000 Buildings 51,000 Pre

Rus_ich [418]

Answer:

Chavez Company's current ratio = 2.202

Explanation:

CLASSIFYING THE BALANCE SHEET ACCOUNTS OF CHAVEZ COMPANY'S

CURRENT ASSETS – 44,040

• Cash 7,500

• Accounts receivable 28,500

• Prepaid insurance 4,040

• Office supplies 4,000

LONG-TERM ASSETS – 51,000

• Buildings 51,000

CURRENT LIABILITIES – 20,000

• Accounts payable 16,200

• Unearned services revenue 3,800

LONG-TERM LIABILITIES – 23,000

• Long-term notes payable 23,000

Current Ratio = Current Asset (CA) / Current Liabilities (CL)

Current Ratio = 44,040 / 20,000

Current Ratio = 2.202

7 0

4 years ago

How does regional institutional complexity affect mne internationalization?

Vaselesa [24]

International business research is only beginning to develop theory and evidence highlighting the importance of supranational regional institutions to explain firm internationalization. In this context, we offer new theory and evidence regarding the effect of a region's "institutional complexity" on foreign direct investment decisions by multinational enterprises (MNEs). We define a region's institutional complexity using two components, regional institutional diversity and number of countries. We explore the unique relationships of both components with MNEs' decisions to internationalize into countries within the region. Drawing on semiglobalization and regionalization research and institutional theory, we posit an inverted U-shaped relationship between a region's institutional diversity and MNE internationalization: extremely low or high regional institutional diversity has negative effects on internationalization, but moderate diversity has a positive effect on internationalization. Larger numbers of countries within the region reduces MNE internationalization in a linear fashion. We find support for these predicted relationships in multilevel analyses of 698 Japanese MNEs operating in 49 countries within 9 regions. Regional institutional complexity is both a challenge and an opportunity for MNEs seeking advantages through the aggregation and arbitrage of individual country factors.

3 0

3 years ago

For product costs associated with a particular product to be reported on the income statement:

RUDIKE [14]

Answer:

a. The product must be sold

Explanation:

Total revenue and total expenses are recorded in the income statement.

If the total income exceeds than the total expenditure then the company earns net income And if the total income is less than the total expenditure then the company has a net loss.

The product includes direct material cost, direct labor cost ,and the manufacturing overhead cost. If the product cost is not sold then it is shown in the asset side of the balance sheet as an inventory

And, if the product is sold, the same is subtracted from the cost of goods sold and shown in the income statement

6 0

3 years ago

Last week, michelle spent $30 on caviar. today, michelle still spends $30 on caviar even though its price has doubled. what is m

Liula [17]

Price elasticity of demand describes how the quantity demanded changes with a change in price. It describes how responsive demand is to price.

The formula for elasticity is:
e = %change in Quantity ÷ % change in price
Keep in mind that this number will almost certainly be negative, since an increase in price should decrease demand.

The problem tells us that price has doubled. This represents a 100% increase in price: Michelle still spent $30 dollars, although this $30 bought her half as much caviar since the price is twice what it was. This means her quantity demanded, or purchased, fell by 50%.

e= -50% ÷ 100%
e = -0.5

This tells us, more generally, that a x% increase in the price reduces demand by x/2%.

4 0

3 years ago

Blue Spruce Company had $152,800 of net income in 2016 when the selling price per unit was $152, the variable costs per unit wer

Mars2501 [29]

Answer:

The number of units sold in 2016 is 12,058 units

Explanation:

The number of units sold in the year 2016 is simply the total revenue in 2016 divided by selling price per unit.

Total revenue =net income+total variable cost+total fixed cost

net income for 2016 is $152,800

assuming X units were sold

total variable cost =$92*X

fIxed cost =$570,700

total revenue=$152*X

152X=152800+92X+570700

152X-92X=152800+570700

60X =723500

X =723500 /60

X=12058.33

Alternatively, the number of units sold is total contribution divided by contribution per unit

5 0

3 years ago