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
slamgirl [31]
3 years ago
13

Gerald just received a 2% raise from his employer. However, the rate of inflation last year

Business
2 answers:
liberstina [14]3 years ago
6 0

Th increase in Gerald's income is a problem because the percentage increase in his income is lower than the increase in inflation. This means that the purchasing power in Gerald's income is lower.

Inflation is when the general price levels in an economy rises. Inflation reduces the purchasing power of money. The inflation rate in the US in 2020 was 1.2%.

Let us assume that Gerald's income is $1000.

After the raise, his income becomes: (1.02 x 1000) = $1020

As a result of the inflation, the increase in income needed to keep purchasing power constant is: (1.03 x $1000) = $1030.

The increase in Gerald's income is less than the inflation rate. This means that the purchasing power of Gerald would be lower.

To learn more about inflation, please check: brainly.com/question/19170370?referrer=searchResults

Simora [160]3 years ago
3 0

Answer:

In conclusion, he will make less money.

Explanation:

It is a problem because the rate of inflation is higher than his raise.

You might be interested in
What's the main reason a person becomes a supervisor
andrezito [222]
They wanna be nosy and monitor everything you do
7 0
3 years ago
Read 2 more answers
What will happen if the current asset price is greater than the present value of income? Question 2 options: Buyers will bid the
Inessa05 [86]

Answer:

The answer is:  Buyers will bid the asset's price down until it equals the present value of income.

Explanation:

As the current asset price is greater than the present value of income, it is overpriced.

So, seller is much willing to sell at this price, however, buyers does not want to buy asset at this price as they only want to purchase it at the price equals to the present value of its income.

So, Buyers will bid the asset's price down until it equals the present value of income which is the level they are willing to buy and also at which the seller is willing to sell also.

5 0
4 years ago
You sign a contract to purchase a machine that will allow you to travel back in time and meet abraham lincoln. assuming that tim
ddd [48]

The correct option is C). Void contract. It is void type of contract if you sign a contract to purchase a machine that will allow you to travel back in time and meet Abraham Lincoln.

<h3>What is void contract?</h3>

Void contract is a formal contract between two parties, which is not authorized by the law and enforceable from the moment it was created.

A void contract is little differ from the valid contract. Void contract is not an actual contract, despite it is unenforceable.

Both void and voidable contract are null, but a void contract cannot be officially valid.

Learn more about the void contract here:-

brainly.com/question/15274330

#SPJ1

6 0
2 years ago
Contingency costs in the project costs estimate, also referred to as ____, are to cover unexpected situations that may come up d
slega [8]

Answer:

Reserves

Explanation:

Risk is any uncertain event with positive or negative consequences on a project. Contingency costs are related to risks, and therefore cannot be disregarded in risk management within a project. It is essential that management plan and prevent for the project to occur in a predictable and effective manner.

7 0
3 years ago
Annual demand for an item is 11,000 units with the cost per unit at $250. The holding rate is 10% and the order cost is $14.00 p
frutty [35]

Answer:

93 units

Explanation:

Annual demand for an item = 11,000 units

cost per unit = $250

holding rate = 10%

Order cost = $14.00 per order

No. of days in a year = 260

Lead-time = 2 days

Average\ daily\ demand=\frac{Annual\ demand\ for\ an\ item}{No.\ of\ days\ in\ a\ year}

Average\ daily\ demand=\frac{11,000}{260}

                                              = 42.3 units

For a service level of 97%, the value of z is 1.881

Therefore,

Reorder point:

= Average daily demand × Lead time + Standard deviation of the daily demand × no. of standard deviation corresponding to service level probability × \sqrt{Lead\ time}

= (42.3 × 2) + (3 × 1.88 × \sqrt{2})

= 92.57

= 93 units

5 0
4 years ago
Other questions:
  • During 2017, the gateway city government recorded a $15,000 transfer from the general fund to an internal service fund; a $25,00
    5·1 answer
  • Historically, the geographic division structure is associated with companies pursuing ________ strategies.
    15·1 answer
  • . Economic stability is a situation in which the economy experiences constant and low . True or False
    10·2 answers
  • Is 1 1\2 1 2\4 and 1 3\6​
    12·1 answer
  • The point on the business cycle where real GDP reaches its highest level is known as the________.
    12·1 answer
  • correct,P5-23 (similar to) Value of a retirement annuity Personal Finance Problem An insurance agent is trying to sell you an​ a
    11·1 answer
  • Derick wants to purchase an existing business in the service industry. However, he does not want to use the traditional sources
    11·2 answers
  • The rapid growth of the Chinese economy should benefit U.S. consumers as they have access to less-expensive consumer goods. make
    15·1 answer
  • Accounts payable, end of year $ 5,643 $ 9,588 Accounts receivable, net, end of year 21,325 16,438 Inventory, end of year 7,944 7
    14·1 answer
  • According to the consumer behavior model, what are the major categories of influence on the purchase decision process
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!