The answer is Yes, the widget maker should produce 97 boxes of widgets instead because the marginal cost of the 96th box is below marginal revenue, so the production is too low and profits are not maximized.
What is the explanation for the decision?In a typical perfectly competitive market, the firm usually takes a price as given and at equilibrium maximize profit by producing the output P>=MC. That is, the price received for the equilibrium must be greater or equals to Marginal cost.
As the marginal revenue received by a perfectly competitive firm is equal to the price P, then, we can write the profit-maximizing rule for a perfectly competitive firm as a recommendation to produce at the quantity of output where P = MC.
Missing options "None of these answers, 0 O Yes, the marginal cost of the 96th box is below marginal revenue, so production is too low, and profits are not maximized. No, while the marginal cost of the 96th box is below marginal revenue, the marginal cost of 97th box is above it, so profit is already maximized. O No, the marginal cost of the 96th box is above marginal revenue, so production is already too high"
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if a high head hydroelectric facility is considered to be carbon free, what is the annual reduction in co2 emissions for a 1000 mwe hydroelectric station compared to a 1000 mwe coal-fired station operating at 38% efficiency? assume both stations have a 70% capacity factor. assume the energy content of coal is 31 mj/kg
The annual reduction in CO₂ emissions for a 1000 MWe hydroelectric station compared to a 1000 MWe coal-fired station operating at 38% efficiency would be approximately 3.5 million metric tons.
What is hydroelectric?
Electricity produced from hydropower is known as hydroelectricity or hydroelectric power (water power). By 2020, almost 4500 TWh, or one-sixth of this same world's electricity, will be generated by hydropower, surpassing both nuclear and all other renewable energy sources.
A crucial component of developing safe and reliable electricity supply systems, hydropower can deliver significant quantities of reduced electricity on demand. Since the amount of energy generated can be increased or reduced in response to changing electricity demand, a hydro electric station with a dam and reservoir qualifies as a flexible source. Once built, a hydroelectric complex doesn't generate any direct waste and almost always produces a lot less green house gases than energy plants that use fossil fuels.
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all the following are reasons to invest, EXCEPT
Answer:
B
Explanation:
explain the difference between a courier and a post office (4marks)
Help pls!!
Answer:
Here are some major differences between courier services and postal services.
Explanation:
The first major difference between them is the time taken by them to complete the delivery. Postal services take a lesser amount of time (1-2 days), whereas on the other hand courier services make it a rapid delivery, generally the same day or the next day.
Courier services are offered by private organizations such as FedEx or DHL, whereas postal services are generally govt offices. Couriers are sent within the home country, but postal services are sometimes international too, which develops connectivity between nations.
If we take a look at the pricing, postal services are generally cheaper than courier services considering the reliability, speed ,and quality.
when hasbro comes up with an idea for a new toy, it needs to ensure that the children who play with the toy will not choke on any of its parts and that the toy in general will not be a hazard to the children who will be using it. in what stage of the new-product development process will these safety checks occur?
Product development stage is the stage of the new product development process these safety checks occurs.
What are the 5 stages of product development?Five stages guide the new product development process:
idea generation, screening, concept development, product development and, finally, commercialization.Why is product development important?Product development strategies are crucial to ensure value for your customers, as well as ensuring that there is suitable demand and that your final products are of the highest possible quality before you introduce the products to market.
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Which financial statement shows how much cash was paid for newly acquired property, plant and equipment when cash is used for part or all of the purchase?.
When cash is used for all or a portion of the transaction, the statement of cash flows shows how much was paid in cash for newly acquired property, plant, and equipment.The cash inflows and outflows for the time period covered by the statement are displayed in the cash flow statement (i.e., cash paid for newly acquired fixed assets).
What exactly is a cash flow statement?By monitoring an organization's cash flow, a cash flow statement is a crucial tool for managing finances.This report is one of the three crucial ones that determine a company's performance, together with the income statement and the balance sheet. Cash on delivery refers to a buyer making payment after receiving the goods or services.On the other hand, cash in advance refers to payment paid before the delivery of the products or services, as in an online credit transaction. The net amount of cash and cash equivalents coming into and going out of a business is referred to as cash flow.Money spent and money received reflect inflows and outflows, respectively. In contrast to the income statement, the cash flow statement records cash purchases more directly.In actuality, precise cash outflow events are completely absent from the revenue statement. A company's strength, profitability, and long-term outlook can all be determined using a cash flow statement.The CFS can assist in figuring out whether a business has enough liquidity or cash to cover its costs.A CFS can be used by a business to forecast future cash flow, which is beneficial for budgeting purposes. Cash receipts or increases can be thought of as sources of cash, and cash expenditures or declines can be thought of as uses of cash.To learn more about cash flow statement refer
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erna company is expected to pay a dividend of $2.69 one year from today and $2.84 two years from today. the company's sales in two years are expected to be $16,150,000. the company has a ps ratio of 1.87 times, and 528,500 shares outstanding. if the required return on the company's stock is 11.8 percent, what is the current stock price?
50.40 is the current stock price for the erna company which is mentioned
given data
pay a dividend 1 year D1 = $2.69
pay a dividend 2 year D2 = $2.84
sales in 2 years expected = $16,150,000
price/ sale PS ratio = 1.87
shares outstanding = 528500
company stock r = 11.8 percent
solution
first we get here sales per share will be
sales per share = 16,150,000/528500
sales per share = 30.56
so here P2 is = sales per share × PS ratio
P2 = 30.56 × 1.87
P2 = 57.15
so here current stock price will be D1/(1+r)+D2/(1+r)^2+P2/(1+r)^2....1
current stock price = 2.69/(1+0.118)+2.84/(1+0.118)^2+57.15/(1+0.118)^2
put here value we get
current stock price = 50.40
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if the mpc in an economy is 0.80 and aggregate expenditures increase by $10 billion, then equilibrium gdp will increase by multiple choice $20 billion. $80 billion. $8 billion. $50 billion.
In light of this, the equilibrium GDP will grow by $50 billion. Option D
What is GDP?Generally, The gross domestic product (GDP) of a nation is the standard measure of the value added that is generated through the production of goods and services within a certain time period.
As such, it also quantifies the money gained from that output, which may be thought of as the entire amount spent on final products and services (fewer imports).
if the total spending changed (the total expenditure increased) by $10 billion,
Change in aggregate spending x multiplier equals the change in GDP
= (1/1 - MPC) x variation in total spending
= $10 billion x (1/(1 - 0.8))
=50billion
GDP change equals $50 billion
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a client tells their lawyer that they don't intend to disclose their substantial cash income to the court and asks the lawyer not to divulge this information. the lawyer attempts to convince the client otherwise but finally agrees. this is an example of what type of lawyer-client relationship?
The type of lawyer client relationship based on the statement above is special relationship. It is because the client asks the lawyer not to divulge this information and the lawyer should keep it.
Lawyer can be defined as a person who practices law, as an advocate, attorney at law, barrister. Lawyer has a power to discipline based on their authority on the state and federal bar associations. The relationship between lawyer and their client is working relationship that lasts as long as a case is still being resolved. The relationship must be in accordance with applicable law and not harm the other party.
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what is the price elasticity of demand for shoes if for every 20% price increase clothing demand decreases by 5%? . the price elasticity of demand would be . responses
The relationship between the percentage change in a product's quantity sought after and the percentage change in price is known as price elasticity of demand. It helps economists comprehend how demand and supply shift in response to price changes for a particular commodity.
Explain about the Price elasticity of demand?
In business and economics, price elasticity describes how much consumers, companies, or people change their demand or the amount they supply in response to changes in price or revenue. It is primarily used to assess how changes in price for an item or service have affected consumer demand.
A product is deemed elastic if a price adjustment results in a sizable change in either its supply or demand. In general, it indicates that there are suitable alternatives to the product.
The percentage change in quantity divided by the percentage change in price is used to compute the price elasticity of demand.
5% divided by 20% = 0.25
Hence ,0.25 is the price elasticity of demand
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14-3 discuss the following statement: all else equal, firms with relatively stable sales are able to carry relatively high debt ratios. is the statement true or false? why?
A corporation with a high debt ratio is likely heavily indebted and may have taken on more debt than it can comfortably repay. Debt ratios are used by accountants and investors to gauge the likelihood that a firm would fail to fulfill its obligations.
Are high debt ratios beneficial?Purely from a risk standpoint, debt ratios of 0.4 or less are preferred, whereas a debt ratio of 0.6 or more makes borrowing money more challenging. While a low debt ratio signals a corporation is more creditworthy, holding too little debt carries danger as well.Analysts, investors, and creditors frequently use the debt to asset ratio to assess a company's overall risk. Higher ratios indicate more indebted businesses that are riskier to invest in or lend money to. A potential future default could be indicated if the ratio keeps rising.A debt to equity ratio of 1.5, for instance, indicates that a corporation utilizes $1.50 in debt for every $1 in equity, or 150% of equity. When the ratio is 1, creditors and investors each contribute equally to the company's assets.To Learn more about high debt ratio refer to :
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If the cost of an item of inventory is $60 and the current replacement cost is $75, the amount included in inventory according to the lower of cost or market is.
The lower of cost or market (LCM) rule states that a corporation must record the cost of inventory at the lower of the original cost and the current market price.
How do you calculate lower of cost or market value?Inventory Valuation at the Lower of Cost or Market (LCM)Find out the inventory's previous purchase cost first.Next, figure out the replacement cost of the inventory.Comparing net realizable value to replacement cost and net realizable value less a typical profit marginInventory costs should be compared to replacement costs. A business must record the cost of inventory at whatever cost is lower—the original cost or its current market price—according to the lower of cost or market rule.This problem often occurs when inventory deteriorates, becomes outdated, or when market prices fall. According to the lower of cost or market (LCM) technique, a company's inventory is valued and recorded on the balance sheet at the lower of its historical cost or its market value.The price at which the inventory was purchased is referred to as the historical cost.This problem often occurs when inventory deteriorates, becomes outdated, or when market prices fall. A good's worth might change over time. The amount included in the inventory will be $60.00 as the cost of a single item of inventory is $60.00 and the current market price, which is the replacement cost, is $75.00.To learn more about lower of cost or market refer
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What is a benefit of investing in a certificate of deposit?
A benefit of investing in a certificate of deposit is that "You earn more interest than you would use a savings account." Option C
This is further explained below.
What is a savings account.?Generally, Visiting a branch of a bank with a form of identification authorized by the government, as well as any cash or cheques that you desire to deposit, will allow you to start a savings account.
You will also be required to provide a social security number or taxpayer identification number in addition to your address and other contact details. You can be required to establish a savings account in addition to a checking account, and the savings account might have a lower minimum deposit requirement than the checking account. Additionally, you may start a savings account with an internet bank if you so want.
Higher Interest Rates, When compared to savings accounts and money market accounts, certificates of deposit (CDs) have the potential to give greater interest rates on deposits.
This is due to the fact that you make a commitment to keep your money invested in the CD for a certain amount of time.
The annual percentage yield (APY) and the interest rate offered by the bank, as well as the length of time the certificate of deposit is held, as well as the general interest rate climate all, have a role in determining how much money you
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creating a new product to increase margin is an example of using product implementations to achieve competitive advantage. group of answer choices true false
One instance of using product implementations to gain a competitive advantage is developing a new product to boost margins. Hence, the statement is true.
Elaborate on competitive advantage.A corporation is said to have a competitive edge if it can create goods or services more quickly, cost-effectively, or both than its rivals. In terms of sales or margins, these elements give the producing unit an advantage over competitors. The factors that are believed to contribute to competitive advantages include cost structure, the quality of the product offerings, branding, the distribution system, intellectual property, and customer service, to name just a few.
Due to particular advantages or circumstances, a company and its stockholders can benefit more from competitive advantages. The more resilient the competitive advantage, the more challenging it is for rivals to counter it. Two main sub categories of competitive advantage are comparative advantage and differentiated advantage.
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because of the tariffs placed on imported steel, aluminum, and other products by the trump administration, the video points to which specific product the canadians and europeans targeted for retaliation?
Washing machines are targeted for retaliation by the Canadians and Europeans because of the tariffs placed on imported steel, aluminum, and other products by the Trump administration.
Tariffs protect domestic economy by raising the cost of imported goods. Domestic industry can be protected from foreign competition through state procurement activities and safety and health laws. President Donald Trump levied 10% tariffs on certain Canadian aluminum products to safeguard American industry from a "surge" in imports, infuriating Ottawa and some business groups in the United States. Canada promised retaliation as tensions between the close allies rose just days straight after a latest continental trade agreement between the US, Mexico, and Canada went into effect.
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jessica is trying to increase the freedom and discretion that employees have in scheduling and planning their work. based on the job characteristics model, jessica is trying to increase:
Jessica is trying to increase autonomy.
Autonomy means self-regulation, self-governing or governing. Regional autonomy and autonomous regions are two different things. In a narrow sense, autonomy has the meaning of being independent.
In a broad sense, it has the meaning of being empowered. Therefore, regional autonomy is the independence of a region. This independence is related to making and making decisions about important matters in their own area. In addition, it can also be said that regional autonomy is a regional autonomy authority. The authority is to regulate and manage the interests of the local community. This is based on its own implementation and based on the aspirations of the community.
Regional autonomy operates in accordance with statutory regulations. While the meaning of the autonomous region is a legal community unit. The unit has certain regional boundaries.
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________ occurs when the supplier, rather than the retailer, manages the entire inventory process for a particular product or group of products, resulting in more effective inventory replenishment.
Vendor-managed inventory (VMI) occurs when the supplier, rather than the retailer, manages the entire inventory process for a particular product or group of products, resulting in more effective inventory replenishment.
Vendor Managed Inventory (VMI) is an inventory management practice in which a vendor of goods, usually a manufacturer, is responsible for optimizing the inventory that a distributor has. In traditional inventory management, retailers (sometimes we refer to as buyers or buyers) make their own decisions regarding the amount of goods they will order.
Whereas in VMI, retailers share their inventory data with vendors in such a way that it is the vendor who becomes the decision maker who determines the number of orders for goods for both. That way, the vendor is responsible for the retailer's ordering costs, while the retailer has to pay for the storage costs themselves.
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how do affirmative action programs allow admissions committees to use racial diversity in their decision to admit a student to a university? committees can admit students solely based on their race. they mandate that 10 percent of all admissions must be of non-white students. they allow committees to discriminate against white applicants. racial diversity can be one factor in their decision process.
Affirmative action programs allow admissions committees to use racial diversity in their decision to admit a student to a university as racial diversity can be one factor in their decision process.
So, the correct option is D.
Increased representation of women and people of color is the goal of affirmative action policies. This might refer to workplace rules that encourage the hiring of underrepresented groups. It may entail giving disadvantaged individuals more weight while considering college admissions. To put it another way, affirmative action is still relevant today. It genuinely aids pupils of color, whose socioeconomic situation is still inferior to that of white students.
Intergenerational mobility has positively increased. And it positively broadens the range of viewpoints on campus. According to the definition of affirmative action, it is a collection of policies created to end unlawful candidate discrimination, address the effects of that discrimination in the past, and prevent it from happening again. Applicants could be trying to get into a school or looking for a job in their field.
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cowland, inc., manufactures a low-cost generic cheese alternative. it adds a filler to the meat that it does not list on its label. cowland's actions violate federal requirements relating to the labeling of food products. these requirements are enforced by:
Cowland's actions are violating labeling requirements which are enforced by the U.S. Food and Drug Administration and the U.S. Department of Agriculture.
Labeling is the process of applying a label on a commodity. A label provides details about a product that are found on the product itself, its packing, or its container. It also contains warnings. For instance, some commodities state that they shouldn't be consumed by individuals who are allergic to nuts because they may contain traces of nuts. The applicable manufacturing and shipping laws govern the kind and amount of information that needs to be provided by a label.
The brand of the commodity and the company is also represented in the labeling. Labeling distinguishes the product as an element of a specific brand and differentiates it out in the marketplace. In an era of intense competition, this is critical.
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on december 1, 2001 pimlico made sales to a customer in india and recorded accounts receivable of 10,000,000 rupees. the customer has until march 1, 2002 to pay. on december 1, 2001, pimlico paid $500 for a put option to sell rupees at a strike price of $2.30 per 100 rupees on march 1, 2002, which was the spot rate on december 1, 2001. on december 31, 2001, the spot rate was $2.80 per 100 rupees and the option premium was $0.004 per 100 rupees. if the spot rate on march 1, 2002 was $2.45 per 100 rupees, what is the foreign currency exchange gain or loss that should be recorded that day?
The foreign exchange gain that should be reported that day is $50,000.
How are foreign exchange gains determined?
A foreign exchange gain or loss occurs when a firm buys, sells, or exchanges products and services in a foreign currency and that currency fluctuates in respect to their home currency. It could lead to differences in the values of the financial commitments and assets, which must be periodically recognized until they are fully resolved.
Subtract the account receivable's original seller currency value from the value that was converted to seller currency at the time of collection to determine any forex gain or loss. A gain in foreign exchange is represented by a positive outcome, whereas a loss in foreign exchange is represented by a negative consequence.
In the above question,
Accounts receivables= $10,000,000
Strike price= $2.30
Spot rate= $2.80
forex gain or loss= (10,000,000/100)*(2.80-2.30)
forex gain or loss= $50,000
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Martina has decided to structure her new business venture to provide liability protection while gaining tax benefits over alternative structures. Her attorney has prepared the operating agreement and advised her of the complexities and expense of setting up this structure. Which of the basic types of ownership has martina chosen?.
If Martina has to deliver a speech for the guest speaker at a banquet, she should keep in mind that introducing the topic and the speaker properly is paramount in this kind of event. The said introduction should be brief and accurate.
Subject-verb agreement is the process by which the verb conforms to the subject. The verb is plural if the subject is plural. The verb must also be singular if the subject is. Look at the following instances:
Every morning Leslie goes jogging. goes is a singular verb, and Leslie is a singular subject.
Every Saturday, they go swimming. They are a plural subject, and they depart.
The subject-verb agreement in the statement under consideration is incorrect. The verb "faze" is multiple even though the subject "nothing" is singular. Since verbs referring to the third person singular in the present tense require -s, -es, or -ies, we must add -s to "faze" to remedy this error.
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The balance on a credit card, that charges a 20%
APR interest rate, over a 1 month period is given in
the following table:
Days 1-5: $200 (initial balance)
Days 6-20: $350 ($150 purchase)
Days 21-30: $150 ($200 payment)
What is the finance charge, on the average daily
balance, for this card over this 1 month period?
finance charge = $ [?]
Round to the nearest hundredth.
Enter
The balance on a credit card, that charges a 20% APR interest rate, the Finance charge is given as
$4.3055
This is further explained below.
What is the APR interest rate?Generally, The interest rate that is applied to a loan, mortgage loan, credit card, etc. is referred to as an annual percentage rate of charge, which sometimes corresponds to a nominal APR and sometimes corresponds to an effective APR.
The annual percentage rate of charge is the interest rate for the entire year, as opposed to just a monthly fee or rate. It is a fee for financing that is presented in the form of an annual rate.
Interest rate APR = 12%
Average balance = ((200*5)+(350*15)+(150*10))/30
Average balance = $258.33
Average balance*APR/12
Finance charge =[tex]\frac{258.33*20 \%}{12 }[/tex]
Finance charge = $4.3055
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Jo is at the gym one afternoon, jogging on the treadmill at 3. 0 miles per hour. A stranger gets on the treadmill next to her and begins running at 6. 5 miles per hour. Jo notices this, and slowly increases her own running speed. This enhancement of jo’s performance on a simple task by the presence of others is called?.
According to the notion of spreading activation, bidirectional associative linkages to other relevant nodes may allow the activation of a semantic memory node to spread.
What does spreading activation look like in practice?Spreading activation is the term used to describe this broad elevation and availability. For instance, when I say "fire engine," you begin to visualize not only a fire engine but other related ideas like trucks, fire, and even the color red, which makes it simpler for you to locate or recognize those objects.Associative pathways allow activation to extend from one section of the memory network to others that are connected to it. This spread of activation increases the availability of these associated memory network regions for additional cognitive processing (Balota & Lorch, 1986).The method of computing activation values over a number of chunks is known as spreading activation. Weighting values on the associations among pieces determines how activation spreads from one cognitive organization to another.To Learn more About spreading activation refer to:
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gdp per capita is often used to measure the . a.) overall gdp growth rate for an economy b.) gross national product c.) standard of living d.) gdp adjusted for inflation
The GDP per capita is frequently used to gauge an economy's total GDP growth rate. Hence, Option A is correct.
What is the growth rate?The annual growth rate—also known as the "simple growth rate" or the "average annual growth rate"—is a metric for gauging how much an investment or source of income has increased in value over the course of a year.
Growth rates are the proportional changes in a particular variable over a given period of time. Depending on whether the variable's size is rising or decreasing over time, growth rates can either be positive or negative.
It expresses the difference in GDP values from one period to the next as a percentage of the GDP from the preceding era, often multiplied by 100.
Therefore, Option A is correct.
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in the management of market channels, a strategic relationship is also known as a(n) blank . multiple choice question. administered vertical marketing system partnering relationship contractual relationship mutual trust
In the management of market channels, a strategic relationship is also known as: partnering relationship.
What is marketing?Marketing is a strategic process that involves developing promotional techniques and sales strategies by a business firm to enhance the availability of products and services, in order to meet the demands, and unending needs of the end users, especially through advertising and market research.
In Business management and marketing, there are two (2) main types of marketing channels and these include the following:
Indirect channel.Direct channel.What is a partnering relationship?A partnering relationship can be defined as a strategic relationship that exist between two or more business firm (company), in order to achieve a specific purpose and efficiently manage market channels.
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when companies use the logic of moral universalism and impose their views on the rest of the world, occurs. group of answer choices cultural imperialism ethical convenience none of the above ethical divergence
When companies use the logic of moral universalism and impose their views on the rest of the world, occurs, it is called cultural imperialism.
What is cultural imperialism?In the context of ethics or sociology, when a community that is economically or politically dominant imposes its culture on other communities that are non-dominant is called cultural imperialism. It is important to mention that one dominant culture can impose another political, economic, social, or cultural system on another culture.
In this scenario, if a company is almost operating in a market or an industry as a dominant player, it can impose its values and cultures on the other non-dominant systems. Hence, imposing a moral universalism will be considered an act of cultural imperialism.
It can be concluded that, when companies use the logic of moral universalism and impose their views on the rest of the world, occurs, it is called cultural imperialism.
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turkey trades textiles, food products, and building materials to germany in exchange for german machinery, technology, and cars. this trade is possible because
This trade is possible because each country has comparative advantage in different goods.
What is International trade ?International trade is the exchange of capital, goods, and services across international borders or territories because goods or services are required or desired. In most countries, such trade accounts for a significant portion of GDP.
When compared to domestic trade, international trade is a more complex process. Currency, government policies, the economy, the judicial system, laws, and markets all have an impact on trade between two or more states.
Some international economic organisations, such as the World Trade Organization, were formed in the modern era to facilitate and justify the process of trade between countries of varying economic standing. These organisations work to facilitate and expand international trade.
Intergovernmental and supranational statistical services, as well as governmental statistical agencies, publish official statistics on international trade.
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an interest rate of 15% is used to evaluate a new system that has a first cost of $212,400, annual operating and maintenance costs of $41,200, annual savings of $94,600, a life of 6 years, and a salvage value of $32,500. the percentage error in the system's present worth from this is closest to what value?
The closest value to the percentage mistake in the system's current worth is 300%. Here, is the attached solution.
What is Cash flow?
The term "cash flow" describes the flow of funds into and out of your company on a monthly basis. It's one of the most reliable measures of the financial stability of your company. The income produced by customers, clients, and subscribers who buy your goods and services is included in your cash flow, as is the income produced by the collections made by your accounts receivable department. Cash flow also includes the money that your company spends on bills and other expenses. This could include, among other things, the cost of employee salaries, taxes, fees, and rent or mortgage payments for your business. Businesses should conceptualise its cash flow in a manner similar to how an individual might think of a bank account for personal use.To know more about Cash flow visit:
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Of the following tasks, which can you complete via online
and/or mobile banking? Select all that apply.
Answer:
Explanation:
View account and balance information, including pending transactions
Transfer funds between accounts
Complete one-time bill payments
Deposit checks*
Change your TD Debit Card AdvanceSM settings
Access online statements
Go paperless by updating your statement settingssettings
The actions you can carry out through online and/or mobile banking include money transfers, bill payments, and check deposits.
What is mobile banking?Using a mobile device, such as a smartphone or tablet, mobile banking is a service offered by a bank or other financial institution that enables its customers to make financial transactions remotely. In contrast to related internet banking, it utilizes software, sometimes referred to as an app, offered by the financial institution. Mobile banking is typically accessible around-the-clock. Some financial organizations place restrictions on which accounts may be accessed through mobile banking and set a transaction threshold. Internet or data connectivity for the mobile device is necessary for mobile banking.
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the helps to explain the situation of massive unemployment, as well as to better understand how an economy will react to such economic shocks as changes in tax rates as well as government and household spending. multiple choice question. investment schedule consumption schedule investment demand curve aggregate expenditure model
The core tenet of Keynesian economics is that the level of aggregate demand (or total spending) in the economy is what largely determines economic activity, that is, production and employment aggregate.
When GDP fell so far below potential during the Great Depression, this presumption made a lot of sense. The establishment and enforcement of solid property rights, the maintenance of political stability, aggregate the reduction of official corruption, and the promotion of free commerce are all ways that a relatively impoverished country's government might encourage economic prosperity and growth. An economy is in a recession if its real GDP at the moment is lower than the output at full employment demand. An economy is in a boom if its real GDP at the moment is higher than its output at full employment. If current output matches that required for full employment, then The economy is said to be in long-term equilibrium. When the equilibrium GDP is higher than the GDP at full employment, there is an inflationary spending gap. Due to demand-pull inflation, this imbalance exists. Only the price level rises at full employment because the output has already reached its maximum level demand . Keynesians contend that because prices are somewhat rigid, changes in any aspect of spending, whether government, investment, or consumer spending, affect output. For instance, output will rise if government expenditure rises while all other spending factors stay the same aggregate.
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you deposit $7,000 in a bank account that earns 2% compound interest annually. what is the value of your $7,000 in four years? $7,577 $7,560 $6,423 $6,440
Compound interest accelerates the growth of your wealth. It grows a sum of money faster than simple interest because you earn returns on the money you invest as well as returns at the end of each compounding period.
After 4 years The Value of your $7000 is $7577.
What are the disadvantages of compound interest?Utilizing compound interest options has some disadvantages, one of which is that it may occasionally cost more than you anticipate. Making interest payments can actually cost you money because compound interest's cost is not always immediately apparent and if your investments are not carefully managed.Compound interest accelerates the growth of your wealth. It grows a sum of money faster than simple interest because you earn returns on the money you invest as well as returns at the end of each compounding period. This means you won't need to save as much money to reach your goals!If you're a new investor looking to take advantage of compound interest with as little risk as possible, savings vehicles like CDs and savings accounts are the way to go. CDs are bank-issued instruments that require a minimum deposit and pay interest at regular intervals.A = $7,577.03
A = P + I
where
P (principal) = $7,000.00
I (interest) = $577.03
Calculation:
First, convert R as a percent to r as a decimal
r = R/100
r = 2/100
r = 0.02 rate per year,
Then solve the equation for A
A = P(1 + r/n)nt
A = 7,000.00(1 + 0.02/1)(1)(4)
A = 7,000.00(1 + 0.02)(4)
A = $7,577.03
To learn more about : Compound interest
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