Cause and Effect. Appointed people for their abilities,not for their class. What is the effect?

(Advanced analysis) The following equations give information for a private open economy.

loris [4]

Answer: Trade Deficit ($10 Billion).

Explanation:

C=40+0.8Y

Ig=$40 billion

X=$20 billion

M=$30 billion

where,

Y - GDP

C - Consumption

Ig - Gross investment

X - Exports

M - Imports

Balance of trade or Trade balance = Exports - Imports

Since, Imports are greater than the exports, so the nation is experiencing a trade deficit.

Trade deficit = Imports - Exports

= $30 - $20

= $10 billion

6 0

2 years ago

A banking system with a reserve ratio of 20% and a change in reserves of $1 million can increase its total demand deposits by:A.

blondinia [14]

Answer: option B is correct

Explanation: In simple words demand deposit is similar to those funds held in a checking account. Demand deposits serves as the base of the money supply of the country.

Demand deposit can be computed using following formula :-

$=\:\frac{demand\:deposit}{required\:reserve\:ratio}$

$=\:\frac{1,000,000}{20\%}=\:\$5,000,000$

3 0

2 years ago

Lamar Company is considering a project that would have an eight-year life and require a $2,400,000 investment in equipment. At t

Arada [10]

$Paybackperiod=Intial investment / Net annual cash inflow$

project's payback period is 4.5 years.

<h3>What is net operating income?</h3>

Before deducting any expenditures for financing or taxes, net operational income assesses the profitability of an income-producing asset.
Subtract all property-related running costs from all income earned at the property to arrive at NOI.
A property owner can manipulate the operational expenditures included in the NOI statistic by delaying or accelerating particular revenue or expense elements.
Capital expenses are excluded from the NOI statistic.
A property owner can use NOI to determine whether the cost of owning and maintaining a property outweighs the benefits of renting it out.

To learn more about net operating income, refer to the following link:

brainly.com/question/15834358

#SPJ4

5 0

1 year ago

Transportation stocks currently provide an expected rate of return of 15%. TTT, a large transportation company, will pay a year-

steposvetlana [31]

Answer:

The answer is: 10% constant growth rate

Explanation:

Since transportation stocks provide a 15% rate of return, TTT stock should also provide the same rate of return. We can expect to earn $9 (= $60 x 5%) every year from our investment in TTT stocks. We are receiving $3 as dividends, so the constant growth rate should equal the difference between the expected return minus the dividend payments:

$9 - $3 = $6; $6 represents 10% of the current stock price

We can also calculate this with the following formula:

expected return rate = (dividends / price) + growth rate

15% = (3 / 60) + g

15% = 5% + g

10% = g

6 0

2 years ago

Hazel decided to offer her employees a bonus of $100 for ideas on how to improve the business, and they provided several good id

Aleks04 [339]

Answer:

Firstly by sending him a check for $100, Hazel informs him that she adopting the idea and because it his idea he can use the loopholes of the competitor's advantage.

Hazel might be sued for using the idea for her business as the idea is now an idea of a competitor.

Explanation:

3 0

2 years ago