In response to the pandemic and business shutdowns, if consumption spending falls by $300 billion and the MPC is 0.75: the aggregate demand curve will shift to the left by $1200 billion. The correct option is C.
Given that consumption spending falls by $300 billion and the MPC (marginal propensity to consume) is 0.75, the impact on the aggregate demand curve can be calculated using the multiplier effect.
The multiplier effect is calculated as 1/(1-MPC). In this case, the multiplier is 1/(1-0.75) = 4. Now, we can multiply the initial change in consumption spending by the multiplier to determine the total shift in the aggregate demand curve: $300 billion x 4 = $1200 billion.
Therefore, in response to the pandemic and business shutdowns, if consumption spending falls by $300 billion and the MPC is 0.75, the aggregate demand curve will shift to the left by $1200 billion. This leftward shift indicates a decrease in the overall demand for goods and services in the economy due to the decrease in consumption spending. The correct option is C.
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Complete question:
Suppose that in response to the pandemic and business shut downs, consumption spending falls by $300 billion. If the MPC = .75, then
a. the aggregate demand curve will shift to the left by $225 billion
b. the aggregate demand curve will shift to the right by $225 billion
c. the aggregate demand curve will shift to the left by $1200 billion
d. the aggregate demand curve will shift to the right by $1200 billion
At present, discretionary fiscal spending accounts for approximately _____ percent of the federal budget.
Answer: 20%
Explanation:
Explain the public attitude the dealers had toward kino and his ""pearl of the world""? why was it different than their private attitude (what they thought behind kino’s back)?
The public attitude the dealers had toward Kino and his "pearl of the world" was that, in public, the dealers said the color was off and because it was so large no one would buy it.
The pearl dealer inspects the pearl and tells Kino that his pearl is like fool's gold, as it is too large and valuable only as a curiosity. So, none of the dealers make an offer to buy the pearl.
The dealers believed that Kino would not know any better and would believe the lies they were telling him about his "monstrosity of a pearl". Their private attitude was different as they wanted to pay less for it.
Hence, the public attitude was different than the private attitude.
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Which statement is TRUE regarding gross living area (GLA) in an exterior-only inspection appraisal for Fannie Mae
The appraiser must identify the data source for the GLA.
Is TRUE regarding gross living area (GLA) in an exterior-only inspection appraisal for Fannie Mae
Property valuation, property valuation, or land valuation is the process of creating a property valuation (usually market value). Real estate transactions are traded daily and, in contrast to corporate stocks that are identical, are infrequent and each property is unique (especially its condition, an important factor in valuation) and may require the valuation.
The location also plays a decisive role in the evaluation. However, real estate cannot be relocated, so it is often the upgrade or improvement of a home that can change its value. Evaluation reports are the basis for mortgages, real estate planning, divorce, taxation, and more. Valuation reports are sometimes used to set the sale price of a property.
In addition to various compulsory education levels from finance to civil engineering, most, if not all, countries require appraisers to be licensed to practice.
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What is the after-tax cost of debt for a firm with pre-tax cost of debt equal to 10% and a tax rate of 40%?.
The after-tax cost of debt for a firm with a pre-tax cost of debt is equal to 10% and a tax rate of 40% is 6%.
How Much Does Debt Cost?The effective interest rate that a business pays on its debts, such as bonds and loans, is known as the cost of debt. The cost of debt may be expressed as either the before-tax cost of debt, which is the amount owed by the business before taxes, or the after-tax cost of debt. The fact that interest expenses are tax deductible accounts for the majority of the difference between the cost of debt before and after taxes.
How is the after-tax cost of debt determined?
The initial cost of debt is the first cost of debt with the impact of the additional income tax rate taken into account. It is calculated by deducting the company's incremental tax rate from 100% and multiplying the result by the debt's interest rate. The equation is:
Debt service costs before taxes (100 percent - incremental tax rate)
= Debt's after-tax cost
Calculation:
10% * (100% - 40%)
= 6%
Therefore, the after-tax cost of debt for a firm with a pre-tax cost of debt is equal to 10% and a tax rate of 40% is 6%.
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When interest rates on treasury bills and other financial assets are low, the opportunity cost of holding money is _________, so the quantity of money demanded will be _________.
When interest rates on treasury bills and other financial assets are low, the opportunity cost of holding money is low so the quantity of money demanded will be high.
If interest rates go up, the demand for money will go down. Once it equals the new money supply, there will be no more difference between how much money people are holding and how much they want to keep, and the story is over. This is why (and how) a decline in the money supply raises interest rates.
As interest rates rise, the amount of money demanded decreases because the opportunity cost of holding money decreases. As interest rates rise, aggregate demand shifts to the left. The interest rate effect arises from the idea that higher price levels reduce the real value of household holdings.
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What is true regarding long-term and short-term bonds (assume they have the same par value and coupon rate)?
Option C stating long term bonds have higher reinvestment risk is true
This is because the long-term bonds have higher interest rates which lead to higher coupon amounts which further leads to an increase in reinvestment value resulting in higher reinvestment risk
The answer to the second question is. TRUE
The answer to the third question is FALSE
The prices of high coupon rate bonds tend to be less sensitive to a given change in interest rate.
Your question is incomplete. please read below to find the full content.
What is TRUE regarding long-term and short-term bonds (assume they have the same par value and coupon rate)?
Long-term bonds have lower interest rate risk.
Short-term bonds have a higher reinvestment risk.
Long-term bonds have a higher reinvestment risk.
Short-term bonds have higher interest rate risk.
There is an inverse relationship between bonds' quality ratings and their required rates of return. Thus, the required return is lowest for AAA-rated bonds, and required returns decrease as the bond ratings get higher.
True
False
The prices of high-coupon bonds tend to be more sensitive to a given change in interest rates than low-coupon bonds, other things held constant.
True
False
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The par value of common stock must always be equal to its market value on the date the stock is issued.
TRUE, the par value of the common stock must always be equal to its market value on the date the stock is issued
The par value of the common stock must always equal the market price on the date the stock was issued. The issuance of common stock affects both paid-in capital and retained earnings. If the preferred stock has a par value of $50 and the dividend is estimated at 8%, the dividend per share will be $4.
Par value is the value of one share of common stock as set forth in the company's articles of incorporation. It usually has nothing to do with the actual value of the stock. In reality it is often lower. Share certificates issued against the shares purchased show the par value. When approving shares, the company can choose whether to assign a par value.
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Which campus initiative hosts events focused on forming an off-campus student community and learning more about the city?.
The inference is that the campus initiative that hosts events focused on forming an off-campus student community and learning more about the city is aUs Tinite events.
What is an inference?It should be noted that an inference simply means the conclusion that can be deduced based on the information given.
In this case, the campus initiative that hosts events focused on forming an off-campus student community and learning more about the city is aUs Tinite events.
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The cost object(s) of the activity-based costing method is(are)?
Answer: The production activities in the first stage and the unit of product in the second stage.
Explanation:
In a situation where the seller negotiates a contract contingent upon being able to find a new home to purchase, who needs to be protected
The buyer needs to be protected. In a situation where the seller negotiates a contract contingent upon being able to find a new home to purchase.
A "contingent agreement" is a settlement to do or now not to do something, if some event, collateral to such settlement, does or does now not show up. example. A contract to pay B Taka 10,000 if B's residence is burnt. this is a contingent agreement. Enforcement of contracts contingent on an occasion taking place.
A contingent settlement is an agreement that states which actions under sure conditions will result in specific outcomes. Contingent contracts usually arise while negotiating events fail to attain a settlement.
In simple words, contingent contracts, are those in which the promisor carries out his obligation simplest whilst sure situations are met. The contracts of insurance, indemnity and assurance are some examples of contingent contracts.
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The opportunity, but not the obligation, to sell a security within a specified period of time at a guaranteed price is ____________.
The opportunity, but not the obligation, to sell a security within a specified period of time at a guaranteed price is put option.
What is put option?Put option involves selling a particular goods off before it becomes obsolete.
About to expire goods also fall into this category as they are put on option by the seller without.
The buyer call also sell products withing this category.
Therefore, the opportunity, but not the obligation, to sell a security within a specified period of time at a guaranteed price is put option.
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The medical assistant should let Ms. Rainwater know only three visits have been approved by the insurance company to see Dr. Bronchi.
The main reasons for Ms. Rainwater's visit to the office is to see the chief on complaint as New patient.
Which scenario depicts a new patient visit?This refers to a patient who has not been in the office for more than three years.
Most time, when scheduling a new patient, the MA may ask the patient to arrive 15 minutes prior to their scheduled appointment.
Also, it is a norm that medical assistant should let Ms. Rainwater know only three visits have been approved by the insurance company to see Dr. Bronchi.
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Which one of these is a disadvantage of the corporate form of business? multiple choice access to capital unlimited personal liability for owners limited firm life legal requirements
Double taxation to shareholders of distributed earnings and dividends, is a disadvantage of the corporate form of business.
Due to the movement of funds from the corporation to the shareholders when a company chooses to pay out dividends, the government taxes the earnings twice.
The business is first taxed at year's end when it is required to pay taxes on its profits. When the shareholders get dividend payments from the business's post-tax profits, a second tax is levied.
The shareholders pay taxes twice: once as owners of a business that generates profits and once as individuals who are required to pay income taxes on their individual dividend income.
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The product alternatives a customer knows about are referred to as the?
The product alternatives a customer knows about are referred to as the evoked set.
An evoked set is defined as the brands that come to a consumer's mind when the consumer feels need for any product or service . These brands are generally considered as acceptable brands which are based on the consumer’s perception about their products, and their brand equity with the consumers.
The evoked set can also include both the brands that the consumer has purchased before, also the brands which they’ve never purchased from the company.
It is very important to be a part of a customer’s evoked set because -brands which are a part of the consumer's evoked set generally have an opportunity to earn them as a customer or a repeated customer. It is mostly critical situation that when brands earn this status for their target audience, as it is a necessity to sell their product or service.
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Which of the following statements about the size and growth of the federal bureaucracy are accurate?
a) The federal workforce has nearly doubled because of programs like health care and education reform.
b) Several recent presidents have made a point of campaigning against the size of the federal workforce.
c) Although the federal workforce has stayed relatively the same in numbers, it has grown as a percentage of the population.
d) The federal civilian workforce has decreased over the last 60 years.
D The federal civilian workforce has decreased over the last 60 years.
B Several recent presidents have made a point of campaigning against the size of the federal workforce.
The term bureaucracy refers to both unelected high-ranking government officials and groups of executive politicians. Historically, bureaucrats were government administrations governed by departments in which non-elected officials were assigned.
The definition of bureaucracy is a civil servant or a group that makes formal decisions according to established procedures. An example of bureaucracy is the staff who run the city hall. noun.
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the following statements about the size and growth of the federal bureaucracy are accurate are -
b) Several recent presidents have made a point of campaigning against the size of the federal workforce.
d) The federal civilian workforce has decreased over the last 60 years.
The Federal bureaucracy is the unelected, administrative body in the govt department. it is the lower back bone of america government. it's miles organized into departments, agencies and commissions.
all the approximately 2,000 federal government organizations, divisions, departments, and commissions are examples of bureaucracies. The maximum visible of those bureaucracies consist of the Social protection administration, the inner revenue carrier, and the Veterans advantages administration.
The federal bureaucracy plays 3 number one responsibilities in authorities: implementation, management, and regulation. when Congress passes a law, it units down hints to carry out the brand new guidelines.
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Assuming that prices rise over time, which inventory cost flow assumption will result in the lowest pretax income?
Assuming that prices rise over time, the inventory cost flow assumption that will result in the lowest pretax income is "first in, first out" (FIFO).
FIFO stands for "first in, first out" and assumes the first items entered into your inventory are the first ones you sell. FIFO inventory costing method is used for cost flow assumption purposes.
The FIFO method assumes that the oldest products in a company's inventory have been sold first. Theus, the costs paid for those oldest products are the ones used in the calculation.
Pretax earnings is a company's income after all the operating expenses have been deducted from total sales or revenues.
Hence, the inventory cost flow assumption that results in the lowest pretax income is "first in, first out" (FIFO).
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The ongoing increasement of an individual's want and need for varying goods and services is called?
The ongoing increasement of an individual's want and need for varying goods and services is called Conspicuous Consumption.
What is conspicuous consumption?Conspicuous Consumption serves as the term that describes and explains the consumer practice of buying as well as using goods of a higher quality and price.
It should be noted that the Conspicuous consumption serves as an act of displaying ostentatious wealth so as to be able to gain status and reputation in society.
Hence, The ongoing increasement of an individual's want and need for varying goods and services is called Conspicuous Consumption.
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Bram knows that the pipes in his building leak, but he tells cassie, a potential buyer, that there are no leaks. on this assurance, cassie buys the building. on learning the truth, she may sue bram for group of answer choices
She may sue Bram for fraudulent misrepresentation.
What is fraudulent misrepresentation?
A false statement made by the defendant intentionally or negligently to persuade the other party to engage in a contract is known as a fraudulent misrepresentation. The harmed party may try to have the contract nullified and sue the defendant for compensation.
What are the elements of fraudulent misrepresentation?
The following are the basic components of a claim for fraudulent misrepresentation:
misrepresentationknowledge of deceptiona desire to encourage dependencyjustified trustresultant harmIs fraudulent misrepresentation a crime?
Prosecutors and the person that was deceived by the fraud can both bring civil claims against the other party for a single fraudulent act. Fraud typically involves a number of legal components, whether it be criminal or civil, such as the following: Falsely representing a material fact
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Employees at LivingSocial Escapes who are motivated by the belief that taking people on trips is a worthwhile endeavor are motivated by rewards, whereas motivation that occurs as a result of receiving compensation for a successful trip illustrates the effects of rewards.
Employees at LivingSocial Escapes who are motivated by the belief that taking people on trips is a worthwhile endeavor are motivated by intrinsic rewards, whereas motivation that occurs as a result of receiving compensation for a successful trip illustrates the effects of extrinsic rewards.
What are intrinsic and extrinsic rewards?
Intrinsic rewards can be regarded as the reward that originate from within the person, while extrinsic rewards comes from something beyond the person.
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A division reports the following figures: Sales = $14,000; Net income = $2,800; Average assets = $28,000. The division's profit margin is
The division's profit margin is 0.20.
What is the profit margin?Profit margin is an example of a profitability ratio. Profitability ratios measures the efficiency with which a company generates profit from its asset
Profit margin = gross profit / sales
2800 / 14,000 = 0.20
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A tax that imposes a small excess burden relative to the tax revenue that it raises is.
A tax that imposes a small excess burden relative to the tax revenue that it raises is an efficient tax.
What Exactly Is Tax Efficiency?The least amount of taxes that are legally required to be paid by a person or a corporation is known as tax efficiency. When a financial choice results in a lower tax bill than a competing financial structure that serves the same purpose, the choice is said to be more tax-efficient.
Tax-Advantaged Mutual Fund
Another approach to lower tax obligations is to invest in a tax-efficient mutual fund, particularly for taxpayers without access to a tax-deferred or tax-free account. In comparison to other mutual funds, a tax-efficient mutual fund is taxed at a reduced rate. Compared to the standard mutual fund, these funds often produce lower rates of returns through dividends or capital gains.
Mutual funds that provide little to no interest income or dividends include small-cap stock funds and passively managed ones, including exchange-traded funds (ETFs) and index funds.
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Suppose that an MBA degree creates no externality because the benefits of an MBA are captured by the student in the form of higher wages. If the government offers subsidies for MBAs, then which of the following statements is correct
The statement is TRUE.
Suppose that an MBA degree creates no externality because the benefits of an MBA are captured by the student in the form of higher wages. If the government offers subsidies for MBAs. The equilibrium quantity of MBAs will be greater than the socially optimal quantity of MBAs.
MBA socially optimal quantity?The equilibrium quantity of MBAs will equal the socially optimal quantity of MBAs.
The condition that exists when the market is in equilibrium, or when Social Marginal Cost equals Social Marginal Benefit, is known as a social optimality condition in economics. Normally, the social optimality criterion is satisfied in the absence of externalities. When externalities are absent, equilibrium is reached and there is no market failure.
In this case, it is made very apparent that there are no externalities because the advantages of having an MBA solely increase the income of their owners. If there are no externalities, then the market for MBAs is in equilibrium If the government finances MBA programs, possibly through lower taxes, then only MBA holders will profit and others without an MBA will not. This suggests that the MBA market's equilibrium amount is higher than the socially optimal quantity since one sector of the economy (the MBA market) benefits more than the rest of the economy (equilibrium for the rest of the economy).
The statement is therefore, TRUE.
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An employee survey at a company indicates that many employees are unhappy with the retirement plan
An employee survey is designed to get valuable feedback from employees to help implement changes that create a greater employee experience.
The goal of an employee survey is to gather insightful comments from staff members to aid in the implementation of improvements that improve the employee experience. These surveys eventually assist HR in developing strategies and planning efforts that boost retention and engagement among staff members, which may result in a more successful firm.
Employee Survey's attitudes towards management are intended to reveal these feelings. The management can learn what employees are thinking and feeling about brand-new changes to the organization by using sentiment analysis.
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An arrangement of a continuing commercial relationship for the right to operate a business pursuant to the franchisor's trade name or to sell the seller's branded goods is a(n):
Those who receive a franchise are referred to as franchisees.
Sale of a franchiseA franchise can be sold if a person agrees to buy, license, or otherwise acquire a franchise from a franchise seller. Unless the new agreement has terms and conditions that fundamentally change from the original agreement, it excludes extending or renewing an existing franchise agreement where there has been no interruption in the franchisee's operation of the business. Additionally, it excludes situations in which a current franchisee transfers a franchise to a new franchisee without the franchisor having any meaningful participation. The mere acceptance or rejection of a transfer by a franchisor is not regarded as significant engagement.
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When sales agent jane first contacted john, after her three-month vacation to barbados, was seller john her client?
If sales agent jane first contacted john, after her three-month vacation to barbados. No, seller john was not her client?
Who is a sales agent?A sales agent can be defined as someone whose sole responsibility is to sell product to potential customers and to as well market product to buyer.
Hence, seller John is not her client based on the fact that both John and Jane did not agreed on any agency relationship terms and agreement.
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Answer:Yes. Jane was negligent in the process she used to arrive at a list price.
Explanation:
The answer is yes. Jane was negligent in the process she used to arrive at a list price. She did use her list of already sold properties as comparables to arrive at a price for the listing for John's home. However, she completely failed to do the following: 1) research the statistics on properties that were previously listed but did not sell (expired listings); 2) research the statistics on properties currently on the market; and 3) use comparables of properties sold during the three-month period she was on vacation.
An example of a financing activity is:
Which shock can the fed deal with most effectively?
A major oil shock can the fed deal with most effectively.
It is accompanied by an oil crisis, a sudden rise in oil prices, and often a decline in supply. Since oil is a major source of energy for industrialized countries, the oil crisis can threaten the economic and political stability of the global economy as a whole.
In the aftermath of World War II, there were two major oil crises. Oil exports to the United States, Japan, and Western Europe, which consume more than half of the world's energy, are also banned.
The OPEC decision was in retaliation for Western support for Israel against Egypt and Syria during the Yom Kippur War (1973), and the US dollar (the currency used to sell oil) that caused the dollar to undermine OPEC's export revenues. It was done in response to the sustained decline in the.
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If you were a security professional in a company, what are four roles (two sets of two related roles) you would separate and why?
A high-risk transaction refers to transactions that have a high chance that they can lead to losses when a threat occurs and the impact of such loss would be huge.
A good example is when payroll raises approval without enough consideration of the company's revenue structure. This could lead to the company suffering losses.
Separation of duties is important. Below is an example of roles that should be separated:
System configuration and approvals
An IT engineer typically does the configurations and changes to IT devices such as firewalls and intrusion detection systems. However, the chief information security officer is in charge of approving the changes or disapproving them if they do not meet the company recommendations
System Access Permissions
An administrator has to add and edit permissions while a security analyst can only report and do a monitoring role on security incidents that escalate for action to be taken.
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Diversity of the planning group: A. Requires the group leader to control of decision making and action planning. B. Makes it difficult to identify shared goals. C. Often results in more comprehensive and creative planning. D. Creates an obstacle to gaining community acceptance of the plan.
Option C. Diversity of the planning group: Often results in more comprehensive and creative planning.
What is diversity?
This is the term that is used to refer to a group that is made up of people that are from different cultures, areas and fields.
In such a group there is the tendency for creativity if they are able to work together and share ideas.
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In a bilateral monopoly, how are wages and level of employment determined compared to the competitive labor market case?
Bilateral monopolies determine wages and level of employment when compared to the competitive labor market, in an indeterminate manner.
What is an indeterminate wage level policy?This refers to the fact that the wages in a bilateral monopoly have no set way of being determined because the factors affecting employment can change based on the goods being produced.
Some goods will lead to wages and level of employment being quite competitive like the competitive labor market, while others will lead to low levels of competition which would lead to higher wages.
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