In a closed economy with $31 trillion in GDP, $7 trillion in consumption, $3 trillion in taxes, and a $4 trillion surplus for the government.
what are private saving and national saving?The total of household and company savings including private savings. Additionally, the sum of private sector and public sector deposits equals national savings. They stand in for a nation's domestic pool of available capital for loans. High savings therefore translate into additional funds for economic investment.
Unlike the personal savings rate, which only measures household savings, the higher savings rate takes into account savings by individuals, corporations, and the government. People occasionally refer to the country's overall savings rate in terms of personal savings rates. The personal savings rate is represented as a percentage and is defined as the proportion of personal savings to personal disposable income, or income less taxes.
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a buyer purchased a new residence from a builder for $350,000. the buyer made a down payment of $30,000 and obtained a $320,000 mortgage loan. the builder of the house paid the lender 3% of the loan balance for the first year and 2% for the second year. this represented a total savings for the buyer of $16,000. what type of mortgage arrangement is this?
This kind of mortgage arrangement is called as buydown, in which the buyer attempts mainly to lower down the interest rate of the loan for the entire loan period.
In the buydown mortgage arrangement, the buyer wishes to save as much as possible by lowering down the interest rates of the loan. Generally, the lender agrees for a low interest rate in the initial years of the loan, which is also visible in the given situation as the interest rate dips from 3% to 2% in the second year. Though this arrangement is beneficial for the buyer, it causes huge loss of interest for the lender. Also, in some cases, it is the lender who agrees to pay on behalf of the borrower. This further decreases the burden of loan.
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Vadis Co. sells appliances that include a standard 3-year assurance-type warranty. Service calls under the warranty are performed by an independent mechanic under a contract with Vadis. Based on experience, warranty costs are estimated at $30 for each machine sold. When should Vadis recognize these warranty costs
The warranty expenses are possible and estivable at the time of sale for the machines, and they must be taken into account.
What is a warranty expense?The amount that a business expects to pay for the replacement or repair of goods that customers buy is referred to as a warranty expense. Only within the predetermined warranty period do businesses account for warranty costs. Companies no longer have to pay warranty expenses once the warranty period has passed. As long as the company expects to incur the expense and has a reasonable estimate of the expense amount, it normally records warranty expenses in the same period as product sales.
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a production possibilities curve is drawn based on which of the following assumptions? group of answer choices resources can vary, most resources experience times of unemployment, and technology advances, particularly during wartime.resources such as labor and capital will grow, are fully employed, and technology is unchanged. resources such as nonrenewable resources will decline, but labor remains fully employed, and technology is unchanged. none of the answers are correct. resources are fixed and fully employed, and technology advances at the rate of growth of the economy overall.
The right choice is e.
A PPC or Production Possibility Curve is a curve that indicates extraordinary mixtures of two services/products that an economic system can produce through using all the on hand sources that are constant and utterly employed and given technology level optimally.
What is the manufacturing possibility curve primarily based on?A manufacturing chances curve suggests the combos of two items an economy is capable of producing. The downward slope of the production probabilities curve is an implication of scarcity. The bowed-out structure of the production possibilities curve effects from allocating sources based totally on comparative advantage.
What are the 4 factors that shift the manufacturing possibilities curve?Shifts in the production chances curve are prompted by way of things that exchange the output of an economy, including advances in technology, changes in resources, more schooling or training (that's what we call human capital) and modifications in the labour force.
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https://brainly.com/question/2601596#SPJ4manny has a client who wants to purchase a commercial building. manny doesn't have any experience negotiating commercial purchases. which action should manny take to demonstrate his good faith and most ethical behavior toward his client?
While acknowledging the client's lack of expertise, stating that he would like to maintain the relationship and will consult with a seasoned commercial broker throughout the transaction is sufficient.
What tactics does Mcq use in negotiations?
Planning and preparation.The definition of the ground rulesJustification as well as clarificationNegotiation and problem-solvingAgreement and closure.Why are these the three most important skills for negotiating?
Preparation and planning.Intelligence Emotional.Creative solutions to problems.How much can a licensee be fined by the Alabama Real Estate Commission?
When a licensee is found to have committed any of the offenses outlined in this section, the commission is obligated to either reprimand the licensee or impose a fine of at least $100 or 2,500 dollars, or both, depending on the severity of the offense.
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the defendant has an account at a local bank, as part of the trial bank statements showing the defendant made several large cash deposits are admitted. which type of evidence is this?
The defendant has an account at a local bank, as part of the trial bank statements showing the defendant made several large cash deposits are admitted. This is real type of evidence.
What is real evidence?
Any actual object or audio recording of a conversation provided as evidence is referred to as real evidence. Acceptability real evidence is admissible if it can be proven to be what it claims to be, pertinent to a matter being discussed in the proceeding, and unaltered. A document can be accepted as original if it is presented in an effort to establish its authenticity or the veracity of any statements it contains. proof that is both relevant to those issues and not hearsay.
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What are the positive environmental trends seen today?
Many industries are taking measures to reduce the use( _gold,carbon dioxide,ozone_) of -depleting substances and are turning to(_scarce,renewable,non-recyclable_) energy sources though they may seem expensive.
choose one of those 3 option to fill the blank(___)
Although they may seem pricey, many sectors are moving toward renewable energy sources in an effort to limit their use of ozone-depleting compounds as seen in environmental trends.
Renewable energy is energy that is derived from resources that can be renewed naturally through time, on a human timescale. It comes from a variety of sources, including sunlight, wind, water currents, and geothermal heat. Some renewable energy sources are not sustainable, despite the fact that most of them are.
For instance, certain biomass sources are regarded as non-sustainable at the present rate of extraction. Air and water heating and cooling, as well as stand-alone power systems, are frequently powered by renewable energy. Although initiatives involving renewable energy are often large-scale, they are also suitable for rural, distant, and underdeveloped nations, where energy is frequently essential for human growth. It has various advantages when renewable energy is used in conjunction with increased electrification.
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how long should an auditor retain audit working papers after the completion of a financial satement audit of a nonissuer
Unless a longer retention period is mandated by law, the auditor must keep audit records for seven years.
How many days after the release date of the report should a Nonissuer's auditor have finished assembling the final audit file?
The auditor must finish assembling the final audit file in accordance with AICPA standards that apply to audits of non-issuers (AU-C 230) within 60 days of the report release date (documentation completion date).
Therefore, following the date, they are granted permission to be used in connection with the release of the company's financial statements (report release date).
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The selection of an appropriate discount rate for a particular project is primarily dependent upon the project's
time to closure.
initial cost.
level of risk.
starting date.
expected dollar return.
The level of risk will be the appropriate discount rate for a particular project is primarily dependent upon the project's
What is the discount rate?
The interest rate charged to commercial banks and other financial institutions for short-term loans they obtain from the Federal Reserve Bank is referred to as the "discount rate." The Fed's lending facility, known as the discount window, uses the discount rate. The interest rate used in discounted cash flow analysis (DCF) to calculate the present value of future cash flows can also be referred to as a discount rate. In this situation, firms and investors can utilise the discount rate to plan prospective investments.
The interest rate that the Federal Reserve charges banks for short-term loans is known as the "discount rate" in the banking industry.
One of the most important tools for monetary policy is discount lending.
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if the cap rate on a building is 7% and the interest rate on the mortgage is 5%, what will the owner experience...?
Cap rate 0.714%, they exclude debt-related costs such as mortgage payments, interest rates, down payments, and any other costs.
How may cap rate be used to determine a property's value?Equal to Net Operating Income divided by Cap Rate is value.They exclude debt-related costs such as mortgage payments, interest rates, down payments, and any other costs. The property itself, not the form of financing utilized to acquire the property, is the subject of the cap rate computation.By dividing the property's net operating income (NOI) by its current market value, the capitalization rate of a real estate investment is determined using the most widely used formula. In math, capitalization rate is equal to the difference between current market value and net operating income.Explanation:
5% / 7% = 0.714%.
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pharoah purchased a patent from vania co. for $1,260,000 on january 1, 2018. the patent is being amortized over its remaining legal life of 10 years, expiring on january 1, 2028. during 2020, pharoah determined that the economic benefits of the patent would not last longer than 6 years from the date of acquisition. what amount should be reported in the balance sheet for the patent, net of accumulated amortization, at december 31, 2020?
The amount should be reported in the balance sheet for the patent, net of accumulated amortization, at December 31, 2020 is $786000
What is Amortization?In accounting, amortization is the systematic depreciation of intangible assets over the course of their projected "useful economic life" to represent their consumption, expiration, obsolescence, or other value drop due to usage or the passage of time.The amount of time it takes a borrower to repay a loan is known as amortization. The term of a loan refers to how long it will take to pay it back using scheduled payments. Therefore, term refers to a fraction of the loan amortization time.Depreciation and depletion are both processes that are similar to amortization. Amortization is a method for demonstrating how the value of intangible assets is used over time. It is frequently used to represent assets having a known and finite life, such as patents or copywrites.[tex]& \frac{\text { Asset Value }}{\text { Useful Life }}=\text { Amortization Expense } \\[/tex]
[tex]& \frac{\$ 1,310,000}{10}=\$ 131,000[/tex]
We multiply this by the years amortized:
[tex]$$\$ 131,000 * 2=\$ 262,000$$[/tex]
We subtract this from the purchase price to find the patent's book value:
[tex]$$\$ 1,310,000-\$ 262,000=\$ 1,048,000$$[/tex]
We amortize this amount over the remaining new life of the patent:
[tex]$\frac{\$ 1,048,000}{4}=\$ 262,000$[/tex]
We subtract the amortization at the new rate from the patent's book value to find its balance sheet presentation net accumulated amortization:
[tex]$$\$ 1,048,000-\$ 262,000=\$ 786,000$$[/tex]
The complete question is,
Wildhorse purchased a patent from Vania Co. for $1,310,000 on January 1, 2018. The patent is being amortized over its remaining legal life of 10 years, expiring on January 1, 2028. In 2020, Wildhorse determined that the economic benefits of the patent would not last longer than 6 years from the date of acquisition.
What amount should be reported in the balance sheet for the patent, net of accumulated amortization, at December 31, 2020?
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globally, a(n) _____ in trade costs would _____ manufacturing trade significantly.
Globally, a(n) decrease in trade costs would increase manufacturing trade significantly.
Trade costs have a significant impact on the global manufacturing trade. When trade costs are reduced, it opens up new opportunities for businesses across the world to buy and sell goods and services with ease.
This increased accessibility to the global market can lead to more efficient production, cost savings and increased profitability. Lower trade costs can also lead to an increase in the variety of goods available and more competition, which can ultimately benefit the consumer.
By reducing trade costs, countries can open up their markets to the world, leading to increased growth and prosperity.
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what is the yield to call (ytc) of a bond with a market price of $1,150, making semiannual coupon payments, with coupon rate of 5% and a par value of $1,000, and matures in 15 years, but can be called in 8 years, at the call price of $1,075?
Yield to call (ytc) stands at 3.631.
Yield to call: What does that mean?In the financial world, the phrase "yield to call" (YTC) refers to the return a bondholder will receive if they hold onto the bond until the call date, which occurs before it matures.
This figure is the compound interest rate at which the present value of the future coupon payments and call price of a bond matches the bond's current market price.
Yield to call applies to callable bonds, a class of financial instrument that allows bond holders to redeem their bonds at a call price on a call date or for the bond issuer to repurchase the bonds.
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what concept is based on two well-known principles of behavioral economics: people don't always do what they claim they want to do, and incentives get people to do things.
Behavioral economics is the study of psychology in connection to how individuals and organizations make decisions about the economy. There is a lot of crossover between normative and behavioral economics.
What area of psychology is the primary study?
Psychology is the scientific study of the mind and behavior, according to the American Psychological Association. Numerous themes are covered by the study of psychology, such as human development, sports, health, clinical, social behavior, and cognitive processes.
Being a relatively new discipline, psychology has seen most of its developments in the previous 150 years or so. But it dates back to 400–500 BC in Classical Greece.
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to help herself remember the items she needed to get from the supermarket, clara repeated the five-item list over and over under her breath. this is an example of which information-processing strategy? group of answer choices mnemonics systematic searching rehearsal organization
Rehearsal is the right option. This is an example of rehearsal information-processing strategy.
Rehearsal refers to the manipulation of records currently stored in Working Memory. Students are targeted on this information, and need to engage with it in some way or it is forgotten.
Rehearsal is the technique of doing so. There are two foremost kinds of rehearsal: maintenance and elaborative.
What is the rehearsal strategy?A rehearsal strategy uses repeated exercise of information to research it. When a pupil is introduced with specific facts to be learned, such as a list, often he will strive to memorize the statistics with the aid of repeating it over and over.
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https://brainly.com/question/457833#SPJ4prohibiting employees from drinking open beverages near exposed food helps to prevent which type of contamination?
The answer is Bacterial contamination.
What is Bacterial contamination?
When bacteria build up on food and make it spoil, this is called bacterial contamination. You may become ill after consuming that food, either because of the germs or because of the poisons those bacteria release.
Food that has been contaminated by microorganisms such as bacteria, viruses, mould, fungi, and poisons is said to have undergone microbial contamination. This can happen in a number of ways, like:A particular type of bacterium called campylobacter can grow on undercooked chicken.Salmonella can spread to food products during the rearing and killing of animals because it dwells in animal intestines.Cross-contamination can occur when high-risk raw foods are prepared and stored next to ready-to-eat items.Fish and shellfish may consume organisms that produce toxins that are harmful to humans if consumed.The most frequent cause of food poisoning outbreaks is microbial contamination. Adhering to stringent, high-standard food hygiene procedures is the best method to avoid this kind of contamination. This implies:
maintaining excellent personal hygiene and calling in sick to work.Keeping raw and prepared food separate throughout the whole food handling process, from delivery through serving.Always wash produce that is still raw.preventing pests from entering the property and controlling them.To know more about Bacterial contamination refer to:
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why does he offer nick an opportunity to make money? why is it confidential and why does nick decline?
Gatsby offers Nick the opportunity to make money through illegal activities because he wants to use Nick's connections and reputation to further his own criminal enterprise.
Nick declines the offer because he is uncomfortable with the illegal and unethical nature of the proposal, and does not want to compromise his own integrity.
Gatsby is a wealthy and powerful criminal figure, and he sees Nick as a valuable asset in his illegal activities. He recognizes that Nick has connections and a reputation that could be useful in furthering his own criminal enterprise, and thus offers him the opportunity to make money through illegal means.
However, Nick is uncomfortable with the illegal and unethical nature of the proposal and does not want to compromise his own integrity by participating in such activities.
He is also aware that Gatsby's criminal activities are dangerous and could lead to serious consequences, and he does not want to be caught up in them. Therefore, he declines the offer, preferring to maintain his own honesty and reputation.
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the long-run aggregate supply curve question 17 options: a) is vertical. b) is a graphical representation of the classical dichotomy. c) indicates monetary neutrality in the long run. d) all of the above are correct.
The aggregate supply curve is vertical in the long run.
The classic dichotomy is graphically depicted in b.
A long-term monetary neutrality is indicated by option.
Which is horizontal and vertical?Anything parallel to the horizon is called horizontal. As vertical is the opposite of horizontal, anything that makes a 90-degree angle (right angle) with the horizontal or the horizon is called vertical. So, the horizontal line is one that runs across from left to right. The terms vertical and horizontal often describe directions: a vertical line goes up and down, and a horizontal line goes across.
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financial leverage is a) using equity to borrow money. b) when borrowed funds are used to acquire property. c) the equity the owner has in a property. d) borrowing against a free and clearly owned property.
B) When borrowed money is used to buy property, this is called financial leverage.
Financial leverage: What Is It?
When an organization invests to increase its asset base and generate returns on risk capital, financial leverage occurs when borrowed capital is used as a funding source. Leverage is an investment strategy that increases an investment's potential return by borrowing money, specifically through the use of various financial instruments or capital.
The amount of debt a company takes out in order to finance its assets is another example of leverage.
Leverage is the process of making use of debt—capital borrowed—to carry out an investment or project. The outcome is an increase in the project's potential profits. In addition, leverage will increase the downside risk in the event that the investment fails. A company, property, or investment is said to be "highly leveraged" when it has more debt than equity.
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Wise users of credit have a no-annual-fee card for convenience purchases and a low-APR card for purchases where they carry a balance.
Yes, having a no-annual-fee card for everyday purchases and a low-APR card for larger purchases or balances can be a wise strategy for managing credit.
This allows individuals to take advantage of convenience and rewards offered by the no-annual-fee card while minimizing interest charges on balances carried on the low-APR card. It is important to keep in mind that paying off balances in full and on time every month is always the best way to avoid interest charges and maintain a good credit score A low-APR card should be used for larger purchases where the balance may be carried over multiple months, as this will result in less interest accruing over time. Additionally, having different credit cards with different benefits can also be beneficial for maximizing rewards and benefits.
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turkey corp. provides services to customers on account for $3,000. recording this transaction will include a
Turkey Corp. offers consumers services on credit for $3,000 A credit to revenues will be included when this transaction is recorded.
Is credit a component of revenue?Revenue is recorded in the books as equity because it raises owner equity or stockholder equity. Remember that the accounting equation, Assets = Liabilities + Owner's Equity, must always be in balance.
What happens when a revenue account has been credited?Since the typical owner's equity balance is a credit balance, revenues must be reported as a credit. At the end of the accounting year, the revenue accounts will be closed and their credit balances will be transferred to the owner's capital account, increasing owner's equity.
A credit to revenue is what?Accounting for sales suggests that the business was able to boost its profits for the time frame. When revenue increases in accordance with the rules of debit and credit, it should be recorded as a credit. On the negative side, cash or accounts receivable would most likely be the case, depending on the terms of the sale.
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In most cases, demand for products or services can be broken into several components. Which of the following is considered a component of demand?
Choose matching definition
Forecast error
Autocorrelation
Previous demand
Consistent demand
Repeat demand
In most cases, demand for products or services can be broken into several components. Autocorrelation is considered a component of demand. So option b. is correct.
Autocorrelation depicts the degree of similarity between a given time series and a lagged version of itself over successive time intervals. Autocorrelation measures the relationship between a variable's current value and its past values. An autocorrelation of +1 represents a perfect positive correlation, while an autocorrelation of negative 1 illustrates a perfect negative correlation. Technical analysts can use autocorrelation to estimate how much influence past expenses for security have on its future price.
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Complete question:
In most cases, demand for products or services can be broken into several components. Which of the following is considered a component of demand?
a. Forecast error
b. Autocorrelation
c. Previous demand
d. Consistent demand
e. Repeat demand
what strategies will be most effective for motivating the team, managing conflict, ensuring success, and fostering collaboration? cite specific motivational theories, conflict-resolution strategies, and leadership strategies in your answer.
Any company's human resources play a crucial role, and for a team to succeed, they need a strategy for motivating employees . The following are some methods for inspiring the team.
Communicating the company's vision:
Support Innovation: A team's ability to consistently focus on the glory of achieving the ultimate vision and having a shared vision is essential for success. Each member of the team does not have to complete the work assigned to him; they can also suggest novel concepts that can be incorporated into the expanding business stream.
Creating Competitive Advantage: This cannot be duplicated unless there is a system in place that offers rewards for exceptional performance.
Reduce gender bias:
It would be preferable to hold each member of the team accountable for their actions and come up with a solution that would assist in preventing the problem from occurring again rather than easing the situation and pointing fingers at specific individuals.
The following are the specific leadership theories, conflict resolution strategies, and motivational theories:According to the 1950s-developed Two-Factor Theory of Motivation by psychologist Frederick Herzberg. He discovered two factors that have the greatest impact on team members' motivation and satisfaction.
Factor that Motivates: It encourages employees to work harder, which results in job satisfaction, recognition, and advancement in their careers.
Factor of Hygiene: Policies, benefits, and relationships with managers and coworkers can all contribute to dissatisfaction and lack of motivation if this entity is absent.
Adapted from Hicks, C. (2011). Conflict resolution strategies are one of the most difficult aspects of work. There are times when things go wrong at work, but it is important to learn how to manage conflicts among team members and effectively organize and communicate.
According to Jessica et al. (2016), leadership strategies can only be identified by distributing them among team members, being honest and open enough to share information about the work that has been assigned, developing opportunities for experience-based learning and recruiting new talent can ultimately lead to ongoing leadership development.
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Joe, a technician, has his daily plans forwarded to him by his supervisor. Upon arrival to the second support call of the day, Joe realizes the issue will require much more time than initially scheduled, and several support calls will not be completed. Which of the following would be the appropriate action for Joe
Joe should get in touch with his supervisor so that the supervisor can adjust the schedule.
What does a supervisor do?The daily performance of employees is monitored by a supervisor. A supervisor could be in charge of an entire department, a team, or a shift, depending on the business. Supervisors that are successful are good communicators and organizers. These abilities aid them in communicating information from top management to staff members and expressing the performance or needs of their teams to senior managers. Most of the time, supervisors are specialists in their industry and can therefore effectively oversee daily operations.
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jeremy has $15,000 to spend on a new car. he found a car that cost $14,500, but he did not think the car was worth more than $12,000. the dealer told jeremy that he has not been able to sell this model because other customers have expressed the same opinion as jeremy. does demand for this car exist?
No, the demand for this car does not exist. The fact that the dealer has not been able to sell this model due to customers expressing the same opinion as Jeremy shows that there is not enough demand for this car.
What is customers?A company's customers are its lifeblood. They are the people who buy products and services, providing the revenue that allows a business to grow and succeed. Customers are the reason a business exists and it is important to build relationships with them and make them feel valued. Creating a positive customer experience should be a priority and customers should be treated with respect and appreciation. By showing customers that they are valued, they will be more likely to return and become loyal to the business.
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A non-performance consideration for considering rewards Include all except Multiple Choice O Job seniority O Job title O weekend shift.O 95 percent customer service satisfaction survey results. O membership to local country club.
A non-performance consideration for considering rewards Include all except Job seniority.
Hence, Option A is correct
The term "non performing asset" (NPA) refers to a loan or advance for which the principal or interest payment was past due for 90 days. Banks are required to further categorize NPAs into Substandard, Doubtful, and Loss assets.At any time during the loan's term or after it matures, a loan may be labeled as a nonperforming asset. Assume, for illustration, that a business with a $10 million loan making $50,000 monthly interest-only payments misses three in a row.When one party to a contract does not uphold their end of the bargain—does not fulfill the terms of the agreement—this is known as non-performance. Although it might result in a breach of contract, such an error is not alwaysTo know more about assets here-
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opportunity costs include a. implicit costs only. b. explicit costs only. c. depreciation costs and explicit costs only. d. implicit costs and explicit costs. e. implicit costs and accounting profit only.
Opportunity costs include: explicit cost only
Hence, option (b) is the correct choice.
The worth of what you forgo while deciding between two or more possibilities is known as opportunity cost. Every decision involves trade-offs, and opportunity cost refers to the gains you could have gained by going in one route rather than the other.
The opportunity cost is the amount of time spent learning and the money that could be used elsewhere. When a farmer decides to grow wheat, there is an opportunity cost associated with not doing so or using the resources in another way (land and farm equipment). Instead of driving, a commuter takes the train to work.
The unexpected, incongruities, process needs, industry and market structure — all the aforementioned symptoms; demography, changes in perception; and new information — all external — are listed as the seven causes.
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Stakeholders are any persons or groups who will be affected by an action. (True/False).
It is true that Stakeholders are any persons or groups who will be affected by an action.
Who are Stakeholders?According to the definition of the term "stakeholder" in a 1963 internal Stanford Research Institute paper, a stakeholder in a corporation is a member of "groups without whose support the organisation would cease to exist." Later, in the 1980s, R. Edward Freeman furthered the hypothesis and promoted it. A project, effort, programme, or organisation may have an impact on individuals or groups in either a positive or bad way. They may be external or inside to your organisation (people outside of your organisation). In general, there are three levels of stakeholder priority. Without the first three, which are the most crucial, the company cannot function: customers, staff, and investors.To learn more about Stakeholders refer to:
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an asset was purchased for 5000 on january 1 using the straight line method for 10 years and sold for 4000 2.5 years later what is the gain or loss
An asset was purchased for 5000 on January 1, The gain is mathematically given as 250.
What is the gain or loss?Generally, To put it another way, a growth in the value of an asset is considered a gain, while a decrease in value is considered a loss. Gains and losses, alike, may be broken down into realized and unrealized categories. When an investor sells an item, they may experience a gain or a loss depending on whether the realized price is more or lower than what they paid for the asset.
The gain or loss on the sale of the asset would be a loss of 1000. This is calculated by taking the difference between the sale price (4000) and the remaining book value of the asset
(5000 - (2.5/10)*5000 =3750).
4000 - 3750= 250.
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on the other hand, a(n) a) fiscal policy could be used to slow the economy down by shifting the ad curve to the b) . this would require that the government receive more in c) than it injected into the economy through government d) . the government would want to slow the economy down in order to fight e) . the result of this policy would be a budgetary f) .
The correct response is a) fiscal policy could be used to slow the economy down by shifting the ad curve to the a(n).
Fiscal policy is the use of government revenue collection (taxes or tax cuts) and expenditure to affect a nation's economy in economics and political science. Following the Great Depression of the 1930s, when the previous laissez-faire method of managing the economy proved inadequate, the use of government revenue spending to influence macroeconomic variables arose as a remedy. Fiscal policy is based on the ideas of British economist John Maynard Keynes, whose Keynesian economics proposed that variations in the volume of government spending and taxation have an impact on the level of aggregate demand and economic activity. Fiscal and monetary policy are the main tools a government and central bank employ to further their nation's economic goals. These policies work together to give these authorities the ability to target inflation (which is regarded as "healthy" at a level in the range of 2%-3%) and boost employment. It is also intended to attempt to maintain GDP growth at 2% to 3% and unemployment rates close to the natural range of 4% to 5%. This suggests that during the course of the business cycle, fiscal policy is utilized to stabilize the economy.
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case cereal co. frequently distributes coupons to promote new products. on october 1,case mailed 1,000,000 coupons for $.45 off each box of cereal purchased. case expects 120,000 of these coupons to be redeemed before the december 31 expiration date. it takes 30 days from the redemption date for case to receive the coupons from the retailers. case reimburses the retailers an additional $.05 for each coupon redeemed. as of december 31, case had paid retailers $25,000 related to these coupons and had 50,000 coupons on hand that had not been processed for payment. what amount should case report as a liability for coupons in its december 31 balance sheet?
Case estimates that 120,000 coupons will be redeemed for a total of $.50 ($.45 + $.05) each coupon. Therefore, a total of $60,000 (120,000 $.50) in redemptions are anticipated. By 12/31/Y2, $25,000 had been spent on coupon redemptions; hence, a liability of $35,000 ($60,000??$25,000) had to be established.
What is a redemption payment?
Any proceeds from the sale or other transfer of the Purchased Eligible Loan, if any, including any proceeds received after the redemption date, are referred to as the Redemption Payment. The Purchase Price paid by the Department in exchange for the Class A Participation Interest in the Purchased Eligible Loan, along with any Participant's Yield on the Purchased Eligible Loan, is referred to as the Redemption Payment.
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