Answer:
Leasing as a capital financing is an alternative for small business for three important reasons: better technology, better capital management and tax incentives.
Explanation:
1. Better technology for the business.
Instead of buying the equipment, a lease is a better option because allows the organization to use cutting edge technology for the operation of a business.
2. Better capital management.
Buying machinery is a capital-intensive activity. Leasing let use the same machinery by less amounts of money and invest capital in other useful activities for the organization.
3. Tax benefits
Leasing is tax deductible. Reducing the fiscal pressure over the small business.
Answer:
They'll consider implementing a low risk/low control strategy such as exporting.
Yes of course. When people are given a higher salary there is a much better chance of them to work more. Look at it this way: If someone pays you $8 an hour and someone else pays you $10 for the same exact job, which one are you most likely going to choose? The second one, right? And with that higher pay per hour will most likely result in better work ethic and more production.
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Answer:
Contractionary fiscal policy to prevent real gdp from rising above potential real gdp would cause the inflation rate to be <u>LOWER</u> and real gdp to be <u>LOWER</u>.
Explanation:
A government engages in contractionary fiscal policy when it decreases spending or increases taxes. This is done to lower the economy's inflation rate, but it also decreases aggregate income which will decrease aggregate supply, resulting in a lower real gross domestic product.
