suppose your income is $2,000.00 this year and $1,060.00 next year. all you care about is consumption this year and next year. you can borrow or lend at an interest rate of 6.00%. the consumption good costs $1.00 per unit this year, and there is no inflation.

Answers

Answer 1

If the interest rate was 9.00% instead, you would undoubtedly not be in a better or worse financial situation, assuming your income is $2,000 this year and $1,060.00 next year. You only consider consumption for this year and the following year. 6.00% interest is charged on any loans or borrowing. This year, there is no inflation and the consumer good costs $1 per unit.

The amount a lender costs a borrower in terms of interest rate is expressed as a percentage of the principal, or the lent amount. The annual percentage rate, which is how loans' interest rates are commonly expressed consumption, is calculated annually.

A savings account or certificate of deposit earnings at a bank or credit union may also be subject to an interest rate. Interest on these deposit accounts is measured as an annual percentage yield.

The borrower is essentially charged interest for the usage of the asset. Cash, consumer goods, vehicles, and real estate are all examples of consumption lent assets. A higher interest rate makes borrowing the same amount of money more expensive. For this reason, an interest rate can be viewed as the "cost of money."

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Related Questions

Pretend your homeowners policy has a premium of $150, a deductible of $5,000, and a limit of $300,000. Your home suffers $170,000 in damages. How much will you pay for the damages?

Answers

you will pay $5,000 for the damages, and the insurance will cover the remaining $165,000.

Why it is?

In this scenario, because the damage of $170,000 is less than the policy limit of $300,000, the insurance will cover the damages.

However, the deductible of $5,000 will be subtracted from the amount of the damages covered.

Therefore, the amount that you will pay for the damages will be the deductible of $5,000.

The insurance will cover the remaining amount of the damages, which is $170,000 minus the deductible of $5,000, or $165,000. So, you will pay $5,000 for the damages, and the insurance will cover the remaining $165,000.

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Longhorn Enterprises rents a truck for a flat fee plus an additional charge per mile. What type of cost is the rent

Answers

The rent for the truck in Longhorn Enterprises' case would be classified as a fixed cost. Fixed costs are expenses that do not vary with the level of production or usage.

In this scenario, the flat fee charged for renting the truck remains the same regardless of the number of miles driven. It is a predetermined cost that is incurred irrespective of the actual usage of the truck. On the other hand, the additional charge per mile would be classified as a variable cost. Variable costs are expenses that change in proportion to the level of production or usage. In this case, the charge per mile is directly tied to the distance traveled with the rented truck. The more miles driven, the higher the variable cost associated with the rental.

By categorizing the rent as a fixed cost, it implies that the cost remains constant over the short term and is not influenced by the specific level of activity or usage.

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drawing increase the investment of the owner true or false​

Answers

true

pretty sure this is correct lol
Depends on the case.

Which term best completes the outline?
?
economy
Economic freedom
Competition between businesses
Decisions motivated by profit
O A. Traditional
B. Mixed
C. Market
D. Command

Answers

Answer:

C. Market.

Explanation:

An economy is a function of how money, means of production and resources (raw materials) are carefully used to facilitate the demands and supply of goods and services to meet the unending needs or requirements of the consumers.

Hence, a region's or country's economy is largely dependent on how resources are being allocated and utilized, how many goods and services are to be produced, what should be produced, for whom they are to be produced for and how much money are to be spent by the consumers to acquire these goods and services.

Basically, there are four (4) main types of economy and these are;

I. Mixed economy.

II. Command economy.

III. Traditional economy.

IV. Free market economy.

A free-enterprise system also referred to as capitalism or free market can be defined as a type of economy in which prices, products and services are being determined by the market rather than the government. Thus, a free-enterprise system is devoid (free) of government regulations, interference or control because the market (enterprises) are the ones who are saddled with the responsibility of determining the market forces.

Simply stated, a free-enterprise system is a type of economy that is completely driven by demand and supply of goods and services.

The four (4) main elements or characteristics of a free enterprise system includes the following;

a. Profit: businesses are all out to generate revenue and profit through the sales of finished goods.

b. Economic freedom: means of production of goods and services are controlled by the people rather than the government. Thus, the producers are free to make their economic choices or decisions such as deciding on how much is to be charged on a product.

c. Private ownership of properties: the various factors of production are owned and allocated by the people. Thus, citizens have rights to the ownership and use of private property.

d. Competition: there are many buyers and sellers of homogeneous products, as well as free entry and exit in the market. Thus, consumers are free to make their economic choices or decisions such as deciding on which product to buy, which goods interest them, where to shop for goods, etc.

In conclusion, a market is characterized by the following economy;

I. Economic freedom

II. Competition between businesses

III. Decisions motivated by profit

is command

Explanation:

trust me

a company has net working capital of $1,780. if all its current assets were liquidated, the company would receive $5,715. what are the company's current liabilities? group of answer choices

Answers

The company's current liabilities are $3,935.

To find the company's current liabilities, we can use the formula for net working capital (NWC), which is:

NWC = Current Assets - Current Liabilities

In this case, the company has a net working capital of $1,780 and current assets of $5,715 after liquidation. We can plug these values into the formula and solve for the company's current liabilities.


1. Substitute the given values into the formula:
$1,780 = $5,715 - Current Liabilities

2. To isolate the Current Liabilities term, subtract $5,715 from both sides of the equation:
$1,780 - $5,715 = -Current Liabilities

3. Simplify the equation:
-$3,935 = -Current Liabilities

4. Divide both sides of the equation by -1 to solve for Current Liabilities:
Current Liabilities = $3,935

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Salespeople should avoid using electronic whiteboards in their sales presentation because they eliminate two-way communication between a salesperson and a customer. A. Trueb. False

Answers

The given statement "Salespeople should avoid using electronic whiteboards in their sales presentation because they eliminate two-way communication between a salesperson and a customer." is false as it is a effective way of advertisement and enhance promotion. The correct option is b.

Electronic whiteboards can provide visual aids and interactive tools to enhance the presentation, so salespeople shouldn't shy away from using them in their presentations.

The two-way communication between the salesperson and the customer must still occur so it is crucial to use them properly. Even when using electronic whiteboards, salespeople should still practice active listening and encourage customer participation.

If used properly, electronic whiteboards can be helpful during a sales presentation. By enabling the salesperson to visually demonstrate and highlight key points as well as offer interactive opportunities for the customer, they can improve communication. The correct option is b.

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Georgina decides to take a dozen cupcakes to school to sell so she can raise money for her school trip to New Orleans. She prices the cupcakes at $5 each. At the end of the day she is disappointed that she only sold three cupcakes.


This market model is in a [______]? (this is an economics question but I can't choose that as a subject..)

Answers

The situation described refers to an economic imbalance.

Economic imbalance is an economic term that refers to:

The scenarios in which an economy does not show an equilibrium between two magnitudes that belong to it. For example:

The economic imbalance commonly occurs when the supply of a product or service and its demand are not balanced, on the contrary, they suffer variations that alter the market equilibrium.

According to the above, Georgina experienced this phenomenon (economic imbalance) with her idea of selling cupcakes at her school because the supply (12 cupcakes) greatly exceeded the demand for cupcakes from her schoolmates (3 cupcakes).

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As a producer, you are willing to supply the most goods at the highest price. This is because the highest
price earns you the

most demand
highest costs
most profits

Answers

Answer: most profits

Explanation:

The answer is C. The most profit

A forensic accountant is similar to a(n) ______
because they both work to combat accounting fraud
A. international accountant
B. auditor
C. certified public accountant
D. general ledger accountant
SUBMIT

Answers

Answer:

B. auditor

Explanation:

The work of an auditor and that of the forensic accountants are very similar. They both examine financial records and statements of an organization to confirm their accuracy. The auditor and forensic accountant are specialized officers. They have been trained to detect fraudulent reporting in financial statements. After evaluating the books of account, they form an opinion based on their findings.

What is the expected value of each option?

What is the expected value of each option?

Answers

Without insurance should be 2075 dollars
With insurance is 1,780

The cost of capital used in capital budgeting should reflect the average cost of the various sources of investor-supplied funds a firm uses to acquire assets.

a. Trueb. False

Answers

The average cost of the various investor-supplied sources of money that a company utilizes to acquire assets should be reflected in the cost of capital utilized in capital budgeting. This is true.

How does capital budgeting use the cost of capital?

A company's cost of capital is a hypothetical basic discount rate that might be employed in capital budgeting to apply to anticipated future cash flows from a proposed investment project that is being evaluated for approval or rejection.

What does capital cost represent?

The cost of capital is the return a business must obtain to cover the expense of a capital project, such buying new machinery or building a new structure. The cost of capital includes the price of both equity and debt.

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By identifying and defining a problem, we have O taken the final step in the decision making process. O proposed all viable alternatives. O considered multiple criteria.O taken the first step of decision making.

Answers

By identifying and defining a problem, we have taken ''the first step of decision making.''

The first step of decision making is an important step because it sets the stage for the rest of the decision making process. By clearly defining the problem, we can better understand what needs to be addressed and can develop a plan for finding a solution.

Without a clear understanding of the problem, it is difficult to come up with effective solutions or to make informed decisions.

In conclusion, the correct alternative is ''the first step of decision making.''

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A cover letter accompanies_____?

A. a college application

B. the FAFSA

C. a letter of recommendation

D. a résumé

Answers

I think it’s D because... well because it makes the most sense

Answer:

B brainliest?

Explanation:

Where can one go to if he or she decides to open up a business but does not have the necessary finance available?​

Answers

Answer:

Ask your family and friends to invest in your business.

Apply for a small business grant.

Use a crowdfunding platform.

Pitch to angel investors.

Solicit venture capital.

Use a credit card for a short-term cash option.

Get a microloan.

Bootstrap it.

Explanation:

The four types of entrepreneurs:

Coasting, opportunity comes to them (or it doesn't)

Conservative (very moderate use of resources, protecting existing resources)

Aggressive (proactive, all-in, actively seeks opportunity)

Innovator/Revolutionary (attains growth through innovation)

what is the difference of communism and socialism?

Answers

Communism there is No private ownership,central government,No class Distinction, Production for basic needs.


For socialism there is limited Private owner ship, government and private entities,Limited class distinctions and production for societal needs .

imagine that a country has 870.2 million people employed, 60 million people unemployed, 12 million people in prison, and 30 million people younger than age 16. what is the country's unemployment rate?

Answers

6.45 percent is the country's unemployment rate.

When expressed as a percentage of the labor force, the unemployment rate shows how many individuals are unemployed (the labor force is the sum of the employed and unemployed). By multiplying (Unemployed Labor Force) by 100, one may find the unemployment rate.

What equation is used to get the labor force participation rate?

The labor force is divided by the total population of people who are working-age to determine the labor force participation rates. Ages 15 to 64 are considered to be the working age population. The percentage of each age group is used to calculate this indicator, which is split down by age.

1946 to 1964. Consider a nation where there are 870.2 million people in employment, 60 million people without jobs, 12 million people incarcerated, and 30 million children under the age of 16. How much unemployment is there in the nation? [60 + 870.2] 100 = 6.45 percent.

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janice is in the market for a new smartphone when she sees an ad online touting the new features of the latest samsung model. she had not thought about buying a samsung and doesn’t know how much it costs, but the ad made her want to research this type of smartphone further. what feature of advertising does her response exemplify?

Answers

Janice is in the market for a new smartphone when she sees an ad online touting the new features of the latest Samsung model. The characteristic of advertising that Janice's response to advertising exemplifies is persuasion.

It is comparable to the marketing strategies employed by businesses to arouse the urge to buy in potential customers through the elicitation of psychological reactions. When a customer is drawn to an advertising because of the message, look, value, or other aspects of the product or service, persuasion has taken place. The needs, values, and wants of the customer must be reflected in every advertising.

Since the smartphone brand advertising successfully persuaded Janice to want to learn more about the product, the value it created for existing customers as well as luring in new ones, it was a success in promoting the brand.

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How important is money

Answers

Answer:

very important

Explanation:

money is a global income source for everyone. we all have different types but it is all still money. now say one country got rid of money and had people pay for stuff using other things. if china did that lots of different countries wouldn't be able to get stuff from there unless they had so much of that product they could just give it up.

Dividends for Consolidated Amalgamated are forecast to be $3.40 per share next year and are expected to grow at 2.75% per year indefinately. If investor's have a required return of 12.8%, how much should the stock sell for? $33.83
$34.76
$39.14
$36.28
$35.31

Answers

Based on the provided data and using the DDM, the stock should sell for approximately $33.83. This calculation assumes that the dividends will continue to grow at a constant rate of 2.75% per year indefinitely and that the required return of investors is 12.8%. The DDM is a valuation model that takes into account the present value of expected future dividends to determine the fair value of a stock.

To determine the stock price using the dividend discount model (DDM), we need to calculate the present value of future dividends. The formula for the DDM is:

Stock Price = Dividend / (Required Return - Dividend Growth Rate)

Given:

Dividend = $3.40 per share

Required Return = 12.8% or 0.128

Dividend Growth Rate = 2.75% or 0.0275

Plugging in the values into the formula:

Stock Price = $3.40 / (0.128 - 0.0275)

Stock Price = $3.40 / 0.1005

Stock Price ≈ $33.83

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What was in the sealed box from the Virginia Company in England that the settlers

A opened once they arrived?

B guns and weapons for protection from Indians

C gold

D the names of the seven men who would be the leaders

E a map that showed where the gold was

Answers

Answer:

B

Explanation:

Answer:

The Virginia Company sent a list of seven qualified men who could serve on a council and be the leaders. The company leaders did this because they knew the men would have a hard time agreeing on who should be the leaders.

Explanation:

What is the amount of the self-employment tax (SECA) and how does it compare to FICA taxes?

Answers

Answer:

The self-employment tax rate is 15.3%. The rate consists of two parts: 12.4% for social security (old-age, survivors, and disability insurance) and 2.9% for Medicare (hospital insurance).

A company introduces a new technology product to the market. it sets the product’s price at the highest price it thinks customers will pay. Which type of pricing strategy is the company using?

Answers

A company introduces a new technology product to the market. it sets the product’s price at the highest price it thinks customers will pay. the type of pricing strategy is the company using is

skim pricing

What is pricing strategy?


Price is the value assigned to a good or service and is determined by a complicated series of calculations, research, and risk-taking skills.

A pricing strategy considers factors such as market conditions, consumer willingness to pay, competition activity, trade margins, and input costs, among others. Target audiences include the specified clients and rival businesses.

Depending on the industry and business model at hand, many pricing models are often utilized, including value-based, competitor-based, cost-plus, and dynamic pricing.

Skimming is a pricing technique that involves setting initial product prices high and then lowering them as competitors enter the market. Penetration pricing is the reverse of skim pricing.

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The table identifies how many thousands of units of corn and diamonds the United States and Congo can produce in one week. Use this data to answer the question that follows.


Corn Diamonds

United States
60 10

Congo
20 5

Which fraction represents the opportunity cost for the United States to produce corn?
A. 60⁄10
B. 10⁄60
C. 20⁄5
D. 5⁄20

Answers

Based on the units of corn and diamonds produced by the United States, the opportunity cost of producing corn is B. 10⁄60.

What is the opportunity cost of producing corn?

The opportunity cost of producing corn to the United States would be the number of diamonds that are given up to make one unit of corn.

This can be found as:

= Units of diamonds / Units of corn

= 10 / 60 diamonds

In conclusion, option B is correct.

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Answer:

B. 10⁄60

Explanation:

Took the test and got it right.

Have a nice day!

4x+2/2 -(-2x)
Like ansa it now​

Answers

Answer:

6x + 1

Explanation:

Given

4x+2/2 -(-2x)

Required

Solve

To start with, rule of BODMAS must be applied; meaning that we start by simplifying the bracket.

4x+2/2 -(-2x) becomes.

4x + 2/2 + 2x

The next step is to simplify all divisions.

4x + 2/2 + 2x becomes

4x + 1 + 2x

Collect like terms

4x + 2x + 1

6x + 1

Hence,

4x+2/2 -(-2x) is equivalent to 6x + 1

a firm that places its products in grocery stores, vending machines, convenience stores, delis, street vendors, and so forth is most likely utilizing which type of distribution strategy?

Answers

A firm that places its products in various locations such as grocery stores, vending machines, convenience stores, delis, street vendors, and other similar locations is most likely utilizing an intensive distribution strategy.

This strategy aims to make the product available to as many consumers as possible by placing it in as many outlets as possible. It is particularly useful for products that are low-cost, frequently purchased, and have high demand. By utilizing an intensive distribution strategy, the firm is able to reach a large number of potential customers, increase its brand recognition, and generate more sales. However, it requires a significant investment in distribution and logistics to manage and coordinate the placement of the product across multiple channels. Overall, an intensive distribution strategy can be effective for firms looking to increase their market share and gain a competitive advantage in the industry.

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PLS HELP ME :(

What causes the national debt to increase?
A. The federal government borrowing money from other countries
B. The value of goods imported into the country greatly increasing
C. The Federal Reserve setting a higher discount rate for banks
D. The national unemployment rate rising for consecutive quarters

Answers

Answer:

im pretty sure it would be A

Explanation:

the answer is A
hope that helps

The opportunity cost of producing one more unit of a good is calculated by dividing the.

Answers

The opportunity cost of producing one more unit of a good is calculated by dividing the decrease in the quantity of another good that could have been produced with the same resources.

To calculate the opportunity cost of producing an additional unit of a good,  consider the alternative goods or services that could have been produced instead using the same resources. The opportunity cost represents the value or benefit foregone by choosing to produce one more unit of the specific good instead of allocating those resources to produce something else. By dividing the decrease in the quantity of the alternative good by the increase in the quantity of the desired good, a person can determine the opportunity cost of producing one more unit.

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The per capita GDP and GDP growth rates of country A and country B are the same. Nonetheless, the citizens of country B are clearly better off. How could this be true

Answers

The per capita GDP and GDP growth rates may be the same for country A and country B, but other factors such as income distribution, quality of life, and access to basic needs and services can affect the well-being of citizens.

Country B may have a more equitable distribution of income, better access to education and healthcare, and a higher quality of life overall, leading to a higher standard of living for its citizens. Additionally, GDP growth rates only measure the increase in the total value of goods and services produced, not the distribution of that wealth among the population. Therefore, even if two countries have the same GDP growth rate, their citizens may experience different levels of prosperity and well-being.
The per capita GDP and GDP growth rates of country A and country B are the same, yet the citizens of country B are clearly better off. This could be true due to several factors, including income distribution, purchasing power parity, and social services.

1. Income Distribution: If the income is more evenly distributed in country B, citizens may have a higher standard of living, even with the same per capita GDP.

2. Purchasing Power Parity (PPP): The cost of living could be lower in country B, meaning the same income goes further and leads to a higher quality of life.

3. Social Services: Country B may have better social services like healthcare, education, and infrastructure, contributing to the overall well-being of its citizens.

These factors can lead to the citizens of country B being better off despite having the same per capita GDP and GDP growth rates as country A.

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Purves Corporation is using a predetermined overhead rate that was based on estimated total fixed manufacturing overhead of $121,000 and 10,000 direct labor-hours for the period. The company incurred actual total fixed manufacturing overhead of $113,000 and 10,900 total direct labor-hours during the period. The predetermined overhead rate is closest to:

Answers

Answer:

The predetermined overhead rate is closest to $12.10 per hour

Explanation:

Predetermined overhead rate = (Estimated total fixed manufacturing overhead / Estimated direct labor hours)  

Predetermined overhead rate =($121,000 / 10,000)

Predetermined overhead rate = $12.10 per hour

Using the crossover mileage between the hybrid vehicle and the alternative vehicle from a competing auto manufacturer​ below, what is the crossover point in​ years? Hybrid Vehicle Vehicle Purchase Cost ​$18 comma 000 Vehicle Operating Cost per Mile ​$0.13 Useful Life of Vehicle 14 Miles per Year 16 comma 500 Miles per Gallon 31 Average Fuel Price per Gallon ​$3.95 Alternative Vehicle Vehicle Purchase Cost ​$19 comma 500 Vehicle Operating Cost per Mile ​$0.10 Useful Life of Vehicle 14 Miles per Year 16 comma 500 Miles per Gallon 36 Average Fuel Price per Gallon ​$3.95 Given that the crossover mileage is 31 comma 449 ​miles, the crossover point in years is nothing years ​(round your response to two decimal​ places).

Answers

Answer:

1.91 years

Explanation:

The car manufacturer assumed that the owners of both cars would drive them on average 16,500 miles per year. So they made all their cost calculations based on that average annual mileage, and the final result was the crossover point of 31,449 miles. To determine the crossover point in years, all you need to do is divide 31,449 miles by 16,500 miles = 1.906 years ≈ 1.91 years

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