Answer:
positive relationship between consumption and disposable income
Explanation:
The consumption function shows the relationship between consumer spending and disposable income.
the formula used to calculate consumption function is:
C = A + MY
- C = consumer spending
- A = autonomous spending
- M = MPC or marginal propensity to consume
- Y = disposable income
The consumption function has a upward slope since the relationship between consumer spending and disposable income is always positive, i.e. the more disposable income you have, the more you will consume.
Answer:
see the explanation
Explanation:
The temporary accounts get closed at the end of an accounting year. Temporary accounts include all of the income statement accounts (revenues, expenses, gains, losses), the sole proprietor's drawing account, the income summary account, and any other account that is used for keeping a tally of the current year amounts.
Answer:
(A) $200,000
(B) $50,200,000
(C) $0.10 per share
(D) $25.10 per share
Explanation:
(A) The book value of the firm is $200,000
(B) The market value of the firm can be calculated as follows
= $200,000 + 50,000,000
= $50,200,000
(C) The book value per share can be calculated as follows
= 200,000/2,000,000
= $0.10 per share
(D) The price per share can be calculated as follows
= 50,200,000/2,000,000
= $25.10 per share
True. Rocks are not created or destroyed they are recycled.
The correct answer is Diminishing Marginal Utility.
When the first unit of goods and service consumption has more utility than the second and continues to reduce great amounts then the marginal utility increase its consumption.
The endowment is where marginal change starts. Across the ranges which are relevant to making decision are the ones which are referred to as diminishing marginal utility. An individual gains when consumption increases for a certain good and then allows an increase in utility.
The value of goods and time preference are good examples of economic phenomena which is numerous. If rate of acquisition increases, there is a decrease in marginal utility. When consumption rise continues then the marginal utility it reaches at point when it lowers up ti zero and this it has reached total maximum utility.
