Answer:
The roi per unit is $ 32
Explanation:
In order to calcuate the roi per unit, first we have to calcuate the income.
Income= Investment×return on investment
=$11,040,000×20%
=$2,208,000
After having calculated the income we are then in conditions to calculate the roi per unit.
roi per unit= Income ÷ units produced
=$2,208,000÷ 69,000
= $ 32 per unit.
A regional airline owns 10 aircraft and employs 20 pilots. The airline makes an average of three trips per day with each of its 10 aircraft. The aircraft and their ground crews are idle part of the day. Minimum rest requirements for its pilots mean that if the airline wants to increase its flights, it must hire more pilots. The decision to hire more pilots is:
Answer:
a short-run decision because the number of aircraft is held constant while the labor input is changed.
Explanation:
In the short run, at least one variable or factor of production is fixed and cannot be changed. In the long run, all factors of production can be changed.
In this case, the number of aircraft is the fixed factor of production (capital) while labor is variable because more pilots can be hired. Regulation state that pilots must rest a certain amount of time in between flights, so if you want to increase the amount of flights you need to hire more pilots and cabin crews since regulations do not require planes to rest.
Final answer:
The decision to hire more pilots is necessary for the regional airline to increase its flights and meet the demand. Hiring more pilots allows the airline to expand its operations and potentially increase revenue.
Explanation:
The decision to hire more pilots to increase flights is a strategic decision for the regional airline. Since each aircraft makes an average of three trips per day, there is a limit to the number of flights the airline can offer with its current pilot workforce. If the airline wants to increase its flight frequency, it needs to hire more pilots to comply with the minimum rest requirements. By hiring more pilots, the airline can expand its operations, offer more flights, and potentially increase its revenue.
What is not a criterion that influences manufacturing plant or warehouse facility location decisions?
Answer:
Historical cost
Explanation:
Historical cost is a cost recorded in a company's book at the original value it was purchased, thus not considered as a factor that influences manufacturing location. Example of historical cost is original value of an asset (like the land where the warehouse facility will be located)which is recorded in the company's records.
The following are criterion that influences manufacturing plant or warehouse facility location decisions;
- Labour quality: The quality of labour in an area determines if an industry will be established in that area.
-Business climate: Another factor to be considered is the business climate. Is the location good enough for business activities?
-Proximity to consumers: Owners of companies also consider how close their firm would be to the buyers before they choose certain location for the establishment of their business.
-Country's infrastructure: Some foreign firms consider if the local country they want to invest in has necessary infrastructure before they make their decisions.
-Others are Suppliers, Tariffs and customs duty etc.
When Carol was 8 years old, her mother died. As an adult, Carol has no memories of attending her mother's funeral. Which ego defense mechanism in Freud's theory would best account for the fact that Carol has no memories of this upsetting event?
1. Represssion
2. Undoing
3. Projection
4. Displacement
Answer:
1. Represssion
Explanation:
Repression represents the primary ego defense mechanism because other personality systems use the couple with different strategies. Damon didn't know. When we consciously and deliberately try to overcome the musk, it is oppression. Coitus, or rough ejaculation or thought from one's mind despite the fact that it can be reactivated in symbolic shape.Tim and Tammy are updating their financial plan and are concerned that they might not have enough life insurance coverage for their family, which includes two children, ages 4 and 10. They have determined that their annual income is $53,000 and their net worth is now $150,000. What is the amount of life insurance they should carry using the easy method?
Answer:
The amount of life insurance is $259700
Explanation:
Easy method for calculating amount of life insurance is a method for families with both spouses working, in good health, with average debt, and not more than three children. It gives an estimate of 7 years of income at 70%. Using easy method, the formula is given as:
life insurance requirement = Annual income × 7 years × 70%
Given that Annual income = $53000
amount of life insurance = $53000 × 7 years × 70% = $259700
B2B Advertising Group of answer choices is the only form of mass selling is also called sales promotion is concerned with promotion using samples, coupons, and contests involves direct spoken communication between sellers and potential customers. is any paid form of nonpersonal presentation of ideas, goods, or services by an identified sponsor.
Answer:
C. B2B advertising is concerned with promotion using samples , coupons, and contests.
Explanation:
Business to business advertising is a form of sales promotion which occurs between two businesses rather than between a business and consumers. It requires more skills and efforts as the target audience are usually the workers in the other organization. For example, a company that produces school uniforms, might take some samples of their products to a school while advertising.
A business employing this sort of advertising wants to promote its services or products to another organization. They could employ the use of samples, and coupons to make the marketing more effective.
Currently, our system is characterized by a lack of fit between what the customer wants and what the SCM system is best able to provide. As a result, which of the following would apply? I. The only way to restore fit is for the firm to change the market segment it is going after. II. Unless something is done, our firm will not be the most effective and efficient long-term supplier. III. Any firm can successfully counter such inconsistencies through the use of patents and aggressive advertising. I only. II only. III only. I and II only. I, II, and III.
Answer:
II only
Explanation:
As a result of lack of fit between what the customer wants and what the Supply Chain Management (SCM) system is best able to provide, unless something is done, the firm will not be the most effective and efficient long-term supplier.
The firm has to remove the bottlenecks between what the customer wants and the supply chain management, so as to be the most effective and efficient long-term supplier of goods and services.
Real GDP equals $200 billion, the government collects 20% of any increase in real GDP in the form of taxes, and the marginal propensity to consume is 0.8. If the government increases spending by $10 billion, real GDP will increase by:
A) $10 billion.
B) $20 billion.
C) $27.8 billion.
D) $50 billion.
Answer:
If he government increases spending by $10 billion, real GDP will increase by $27.8 billion. The right answer is C.
Explanation:
In order to calculate how much the real GDP will increase, we have to calculate the Expenditure multiplier with the following formula:
Expenditure Multiplier = [1/(1-MPC(1-tax)]
Expenditure Multiplier = [1/(1-0.8(1-0.2)]
Expenditure Multiplier = [1/(1-0.8(0.8)]
Expenditure Multiplier = [1/(0.36)]
Expenditure Multiplier = 2.778
So, an increase in G by $10 billion will increase real GDP by $10 x 2.778 = $27.8 billion.
Successfully starting and running a business requires drive. True ot False
Answer:
False
Explanation:
To run a business efficiently, any entrepreneur must have talent. The entrepreneur must also have clear goals along with talent. Achieving clear goals is much easier than achieving unknown goals. To run a business efficiently, any business should set its goals in advance and work accordingly.
So, the given phrase is wrong.
Sheridans Company bought Special Products Division in Year 17 and appropriately recorded $743000 of goodwill related to the purchase. On December 31, Year 18, the fair value of Special Products Division is $5700000 and it is carried on Sheridan s books for a total of $4800000, including the goodwill. An analysis of Special Products Division s assets indicates that goodwill of $599000 exists on December 31, Year 18. What goodwill impairment should be recognized by Sheridans in Year 18
Answer:
$0
Explanation:
Base on the scenario been described in the question, we need to know the goodwill impairment
Goodwill is created in business accounting when an purchasing entity acquires another entity and the price is more than the fair market value of its assets.
To know the Goodwill impairment, we use the following method
Since $5,700,000 > $4,800,000
$0 impairment
Ben and Kate had been negotiating Ben's employment contract in conversations over the phone for a couple of weeks.Finally, they agreed on some contract terms.Kate offered to create a draft of the contract for Ben to read over.On the same day Ben was fired from his job.Afraid he would be unemployed, Ben signed Kate's draft without reading it.In this example Ben:
A)can avoid the contract because of mistake by failure to read.
B)can avoid the contract because he was the victim of economic duress.
C)cannot avoid the contract because of economic duress or failure to read.
D)may rescind the contract because of unilateral mistake
Answer: C. cannot avoid the contract because of economic duress or failure to read.
Explanation: Economic duress in contract happens when one of the party threatens to pull out or cancel a contract if the other party do not agree to his demand. It occurs when the other party is left without any other option and his stuck, but had to agree to the new terms of the contract.
In this case Ben signed the contract without reading it because he was sack for his current job, putting him in a tight situation.
Valiant Petro products refines crude oil to produce gasoline and kerosene. Joint costs incurred during the month of May were $1,800,000. Gasoline requires further processing to be marketable and hence a further processing cost of $100,000 was incurred. Kerosene also requires further processing to be marketable and hence a further processing cost of $200,000 was incurred. Gasoline was sold at $4 per gallon and kerosene at $3.50 per gallon. During the month of May, 500,000 gallons of gasoline and 600,000 gallons of kerosene were processed. What is the production cost per gallon of gasoline for the month of May using the NRV method? Assume there was no beginning inventory.
Answer: $1,400,000
Explanation:
Joint cost = $1,800,000
Further processing cost(Gasoline) =$100,000
Further processing cost(kerosene) =$200,000
Price of gasoline = $4 per gallon
Price of kerosene = $3.50 per gallon
Processed gasoline in May = 500,000
Processed kerosene in May = 600,000
Allocation of joint cost(Gasoline) = (Total cost × share ratio)
Share ratio = further processing cost of component ÷ total further processing cost
[$1,800,000 × ( 100000 ÷ 300000)]
($1,800,000 × 0.33333333) = 599,999.999
Net realizable value = (Final sales price - processing cost)
[ $(500,000×4) - $600,000]
$2,000,000 - $600,000
$1,400,000
Production cost of gasoline is $1,400,000
If the world price of textiles is higher than Vietnam’s domestic price of textiles without trade, then Vietnam Select one: a. has a comparative advantage in textiles. b. should produce just enough textiles to meet its domestic demand. c. should import textiles. d. should refrain altogether from producing textiles.
Answer:
has a comparative advantage in textiles.
Explanation:
Comparative advantage occurs when a particular country has the capability to produce a particular product at a lower cost than any other country.
If a country is capable of producing a particular product at a reduced cost this will lead to an increase in demand for such product thereby leading to an increase in the revenue.
Vietnam has a comparative advantage in the production of textiles because they are able to produce it at a low opportunity cost.
Answer:
a. has a comparative advantage in textiles.
Explanation:
If the world average price of textiles is higher than the domestic price in Vietnam, it means that Vietnam has a comparative advantage in producing this good, because textiles are cheaper to make in Vietnam than in the average country of the world.
Textiles are cheaper to produce in Vietnam under this scenario either because labor is cheaper, capital is cheaper, or a combination of both. For this reason, Vietnam should produce more textile goods, in other to meet its domestic demand, and to export.
Suppose the marginal propensity to consume is equal to 0.75. If the government lowers tax rates and tax revenue falls by $100 million, then disposable income will increase by________ million and consumption spending will initially increase by ________ million.
Answer:
$100; $75
Explanation:
Given that:
Tax revenue falls by 100 million dollarsmarginal propensity to consume (MPC) is 0.75.Due to the fall in tax revenue, disposable income will increase by the same amount, that is, $100 million.
Consuption spending will initially increase by $75 million, as shown below:
= MPC × tax revenue fall
= 0.75 × $100,000,000 = $75,000,000
Cherokee Cable Corporation, sells heavy wire cable to large construction companies around the country. Customers pay shipping from a central warehouse in Dallas. Recently, a new competitor in Atlanta has been taking away some of Cherokee Cable's southern customers. If Cherokee Cable wants to compete in those distant markets, but not increase the cost of its product to other customers, it would probably switch to _________.a. zone pricing.
b. specifying "F.O.B. Dallas" in its contracts.
c. uniform delivered pricing.
d. freight absorption pricing.
e. None of the above would help Cherokee Cable Corporation with its problem.
Answer:
The correct answer is d. freight absorption pricing.
Explanation:
The freight absorption pricing means Cherokee must charge the price increase by a factor so that the customer does not perceive that they are paying a higher price for the cables. This strategy is effective when you want to compete directly in the market, achieving sustained demand behavior. If Cherokee Cable does nothing in this situation, it is most likely that it will lose a large part of the market due to product price issues.
Answer:
D) freight absorption pricing.
Explanation:
Freight absorption pricing strategy is a type of geographic pricing strategy, where the company absorbs some or all of the freight costs for specific geographical markets.
In this case, Cherokee Cable knows that they are having trouble in southern states near Georgia, so they will probably start absorbing some of the freight costs to clients located in those states. The problem wire cable sellers face is that besides being heavy loads, they are also large, so the freight costs are probably high. The Atlanta competitor has the advantage of being closer, and therefore, the total costs for the clients are much lower.
In an alternative dispute resolution program (ADR), the concerned employee and supervisor have finished the peer review stage and have not reached a settlement. Which of the following is most likely the next stage in the ADR process? A panel of representatives from the same level will hear the case. A neutral third party from outside the organization will hear the case via a nonbinding process. The supervisor will seek legal support from the judiciary. A professional arbitrator from outside the organization will hear the case. The two will meet alone and attempt to arrive at a settlement.
Answer:
A neutral third party from outside the organization will hear the case via a nonbinding process.
Explanation:
Assuming in an alternative dispute resolution program (ADR), the concerned employee and supervisor have finished the peer review stage and have not reached a settlement.
The most likely next stage in the ADR process would be to invite a neutral third party such as a mediator or negotiator from outside the organization, who will hear the case via a nonbinding process.
Suppose you have a $15 gift certificate usable in three different restaurants in which you can eat lunch. Your only goal is to eat in the restaurant so that you can have as much of your $15 left over to take home as cash. This is an example of:
Answer:
A technological choice
Explanation:
Here, what you care about is taking the dollar home in form of cash not necessarily the free lunch in the restaurants. This is an example of technological choice.
The contentions that (1) many of the same standards of what's ethical and what's unethical resonate with peoples of most societies regardless of local traditions and cultural norms and (2) to the extent there is common moral agreement about right and wrong actions, common ethical standards are can be used to judge the conduct of personnel at companies operating in a variety of country markets and cultural circumstances are defining beliefs of:________.
A. the school of ethical relativism.
B. the school of ethical universalism.
C. integrated social contracts theory.
D. the School of Morally Correct Thinking and Behavior in Paris, France.
E. the Global Code of Ethical and Social Morality developed in 1925 at a worldwide convention of distinguished religious clerics.
Answer: (B) The school of ethical universalism
Explanation:
The ethical universalism is on of the type of ethical based concept in which their is one of the common moral agreement about the right and the wrong action on the basis of the given behavior across the various types of countries.
The importance of the ethical universalism is to provide the justice of equal right among all the people in the society and each person are treated in equal manner.
According to the given question, the school of ethical universalism is one of the common ethical standards which is used to judge the different types of cultural circumstances and the variety of markets. Therefore, The given cultural circumstances is basically defining the beliefs of the ethical universalism.
Therefore, Option (B) is correct answer.
Andrew agrees to paint Rosalene's house for $500. Two days after he starts the job, he decides that $500 isn't enough money. He refuses to finish the job, unless Rosalene agrees to pay him $100 more. What legal principle applies to this fact situation?
A. The acceptance of additional money to settle a disputed claim is supported by consideration.
B. A past obligation is sufficient consideration for a new promise.
C. Andrew was already obligated to paint the house. He gives no additional consideration in return for Rosalene's promise to pay more money.
D. Rosalene has made a promise in exchange for a forbearance.
Answer:
C. Andrew was already obligated to paint the house. He gives no additional consideration in return for Rosalene's promise to pay more money.
Explanation:
In this scenario Andrew had already agreed to do the painting for $500, so he is obligated to do the job or breach the contract.
He does not have a legal backing to make a counter deal in the middle of the job.
If Roseline decides to pay an extra $100 she does so without any obligations. She may or may not pay and Andrew is still obligated to complete the work.
The substitution effect: a) predicts that taxpayers will work harder to pay for consumer products when tax rates increase. b) is one of the effects considered in static forecasting. c) results in the government collecting more aggregate tax revenue than under the income effect. d) is typically more descriptive for taxpayers with lower disposable income. e) None of the choices are correct.
Answer:
Option E. None of the choices are correct.
Explanation:
The substitution effect refers to the situation whereby there is a decrease in sales for a particular product due to the fact that consumers are switching to cheaper alternatives when its price rises.
The substitution effect arises purely out of the need for consumers to be frugal. If a producer raises the price of their commodities, some consumers will opt for a cheaper alternative. For example, if beef prices go up, many consumers will switch to chicken.
A manufacturer can also experience the substitution effect when faced with a price hike for an essential raw material needed for production, he/she may switch to cheaper resources.
If a bond portfolio manager believes __________. Group of answer choices A. in market efficiency, he or she is likely to be a passive portfolio manager D. A and B B. that he or she can accurately predict interest rate changes, he or she is likely to be an active portfolio manager C. that he or she can identify bond market anomalies, he or she is likely to be a passive portfolio manager
Answer:
A. in market efficiency, he or she is likely to be a passive portfolio manager D. A and B B. that he or she can accurately predict interest rate changes, he or she is likely to be an active portfolio manager
Explanation:
If a bond portfolio manager believes in market efficiency, he or she is likely to be a passive portfolio manager; and if he or she can accurately predict interest rate changes, he or she is likely to be an active portfolio manager.
Final answer:
A bond portfolio manager who believes in market efficiency will likely adopt a passive management approach, whereas one who thinks they can predict interest rate changes or spot anomalies will opt for an active management style. These styles affect how mutual funds and other investments are handled, with portfolio investments being more liquid and potentially less involved than foreign direct investments.
Explanation:
If a bond portfolio manager believes in market efficiency, he or she is likely to be a passive portfolio manager, which means they invest with the assumption that it is difficult to outperform the market consistently through active management due to markets being efficient and thus, prices reflecting all available information. On the other hand, if the manager believes that he or she can accurately predict interest rate changes, or identify bond market anomalies, he or she is likely to be an active portfolio manager. Active managers make investment decisions based on market trends, economic conditions, and other factors with the goal of outperforming the market average or a specific benchmark.
Understanding these concepts is essential when considering investments in mutual funds, which are professionally managed investment programs. They offer advantages such as liquidity and the potential for diversified portfolios, which aim to provide increased expected returns without a proportional increase in risk, although they can be costly. The contrast between portfolio investments and foreign direct investments (FDI) exemplifies the different strategies and timelines investors may use. Portfolio investments can be liquidated much faster than FDIs, which may involve managerial responsibilities and longer-term plans.
A country's economic data indicates that there has been a substantial reduction in the financial capital available to private sector firms. Which of the following most likely had the greatest influence on this economy?
A. especially large and sustained household saving
B. increased borrowing by private firms
C. reduction in influx of funds for foreign financial investors
D. especially large and sustained government borrowing
Answer:
D. especially large and sustained government borrowing
Explanation:
When a government spends more than it collects in taxes, it runs a budget deficit. When the government starts borrowing large sums too much, it can substantially facilitate the reduction in the financial capital available to private sector firms, as well as lead to trade uncertainties and even financial crises.
QUESTION 5 Tamara has $500 she is looking to save for a class trip. She wants to earn the most possible interest and will not need access to her money for a full year. Which type of savings account will be best for Tamara?
A. Certificate of Deposit (CD)
B. Money Market Account
C. Savings Account
D. Checking Account
Answer:
The correct option is A,certificate of deposit
Explanation:
Money market account is an interest yielding account with commercial bank or other financial institution but can be accessed anytime by Tamara,hence it is not the best option available.
The same of funds being accessible is also applicable to saving and checking accounts,as a result it is only investment in certificate of deposit that meets Tamara's requirement,which implies option is the perfect option.
You purchased 250 shares of a particular stock at the beginning of the year at a price of $68.12. the stock paid a dividend of $.85 per share, and the stock price at the end of the year was $76.45. required: what was your dollar return on this investment? (do not round intermediate calculations. round your answer to 2 decimal places (e.g., 32.16).)
Answer:
$9.18
Explanation:
Return on Investment is the actual profit / gain received on investment. In case of Investment in the stock the dividend and price appreciation is included in the return.
We will calculate the return on the investment in accounts.
Return = Dividend Received + ( Market Price of Stock - Initial price )
Return = Dividend Received + ( Market Price at the end of the year - Price at the beginning of the year )
Return = $0.85 + ( $76.45 - $68.12 )
Return = $0.85 + $8.33
Return = $9.18
For every $100 in assets, a bank has $40 in interest-rate sensitive assets, and the other $60 in non-interest-rate sensitive assets. The same bank has $50 for every $100 in liabilities in interest-rate sensitive liabilities, the other $50 are in liabilities that are not interest-rate sensitive. If the interest rate on assets increases from 5 to 6 percent, and the interest rate on liabilities increases from 3 to 4 percent, the impact on the bank's profits per $100 of assets will be:
Answer:
the bank's profits will decrease by $0.10 per $100 of assets
Explanation:
increase in revenues increase in expenses
$40 x 5% = $2 $50 x 3% = $1.50
$40 x 6% = $2.40 $50 x 4% = $2
+$0.40 + $0.50
if the interest rates increase, the bank's revenues will increase by $0.40 for every $100 worth of assets, but its expenses will also increase and in a higher proportion. The bank's expenses will increase by $0.50, so the net change will be $0.40 - $0.50 = -$0.10 or $0.10 less profits
Interest rates on 4-year Treasury securities are currently 5.4%, while 6-year Treasury securities yield 7.65%. If the pure expectations theory is correct, what does the market believe that 2-year securities will be yielding 4 years from now
Answer:
12.3%
Explanation:
In this question, we are asked to calculate what is believed a 2-year market security will be yielding, 4 years from now
To calculate this, we proceed mathematically;
2 year yield 4 years from now = [ ( 1 + 0.0765)^6 / ( 1 + 0.054)^4]^1/2 - 1
2 year yield 4 years from now = [ 1.5563 / 1.2341]^1/2 - 1 = 0.123
2 year yield 4 years from now = 0.123
2 year yield 4 years from now = 12.3%
When people move from adolescence to adulthood, they reevaluate their moral standards and move from moral decision-making based on authority to standards based on their personal principles. This is an example of _________.
Answer:
The answer in this case,would be Evolving Sexual Philosophy.Explanation:
As any individual moves from adolescence to adulthood, he or she experiences a profound and intensive psychological and emotional transformation.Moving to adulthood also implies certain changes or modification in the decision making processes or mechanisms and cognitive and discretionary principles of an individual.As advocated by Evolving Sexual Theory of Philosophy,compared to adolescence, the decision making and discretionary processes and procedures of any individual involves more of personal choices,preferences,mindsets and thought processes. This can also be biologically driven by certain hormonal and physical changes in the individual.The adolescent mind is primarily driven various moral and ethical standards that are taught by or acquired from the surrounding environment. However, certain intensive changes in the hormonal functioning,sexual evolution and psychological,emotional and cognitive maturity develops personal judgments and principles which eventually dictates the decision making procedures during the adulthood phase.The process of reevaluating moral standards during the transition from adolescence to adulthood, eventually basing moral judgement on personal principles rather than authority or societal norms, is a depiction of the post-conventional stage in Kohlberg's Theory of Moral Development.
Explanation:When individuals transition from adolescence to adulthood and begin to develop their own personal moral standards, they are moving through stages in what is known as Kohlberg's Theory of Moral Development. This theory is comprised of three main levels: pre-conventional, conventional, and post-conventional moral reasoning. As we grow and mature, we theoretically progress through these stages.
When children are very young (pre-conventional stage), their morality is mostly influenced by authority figures and fear of punishment. As they age and move into adolescence (conventional stage), their moral decisions start to be influenced by societal norms and the desire to meet expectations. Upon reaching adulthood (post-conventional stage), individuals ideally start to base their moral choices on their own personal principles and ethical standards, which may not always align with societal norms.
It's important to remember, as Lawrence Kohlberg himself emphasized, that an individual may not solely operate at one level at all times. They may make some decisions based on personal principles (post-conventional), while still making other decisions based on societal expectations (conventional).
Learn more about Kohlberg's Moral Development Theory here:https://brainly.com/question/21193013
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Duration gap analysis:_________.
a) is a refinement of basic gap analysis that accounts for interest-rate changes over a multi year period.
b) is a refinement of basic gap analysis that accounts for how long a gap will last.
c) is a complement to basic gap analysis that accounts for the effect of interest rate changes on market value.
d) is a complement to basic gap analysis that accounts for the influence of partially rate-sensitive assets.
Answer: is a complement to basic gap analysis that accounts for the effect of interest rate changes on market value. (C)
Explanation:
The duration gap is an accounting and financial term that is typically used by pension funds, banks, or other financial institutions in order to measure their risk as a result of changes in the interest rate.
When the duration of liabilities is more than the duration of assets, the duration gap is negative and when the duration of liabilities is less than the duration of assets, the duration gap is positive.
Sean is forming his forecast based on the _________ model of inflation and Carlos is forming his forecast based on the __________ quantity theory adaptive expectations rational expectations expected real interest rate seignorage model of inflation.
Answer:
The correct answer is adaptive expectations; rational expectations.
Explanation:
Adaptive and rational expectations are forecasts that are made about the size of future economic variables.
Agents based on adaptive expectations based on past values. If one wanted to know the inflation rate for the coming years, the agents attributed previous data to lose it, which led to the use of macroeconomic models. If inflation were expected to be the same as the previous year, the desirable inflation would always be below the real one; in this case the errors will show a systematic bias.
In contrast, rational expectations assume that errors should be learned. If they show a systematic bias, the agents would make modifications to determine a more accurate forecast.
Paying the maximum charge for a hotel room is called the:
Answer:
Rack Rate
Explanation:
The reading says "A tourist may pay the rack rate (Maximum Charge) of $240/room"
As a result of a decrease in the value of the dollar in relation to other currencies, U.S. imports decrease and exports increase. Consequently, there is a(n): increase in aggregate demand. increase in short-run aggregate supply. decrease in the quantity of aggregate output supplied in the short run. decrease in the quantity of aggregate output demanded.
Answer:
The answer is A. increase in aggregate demand
Explanation:
Decrease in imports and decrease in exports infer net exports are positive, meaning the country is exporting more than it is importing. As a result, demand for goods and services is higher and aggregate demand rises. Aggregate demand rises because more foreign consumers have access to this goods or services in addition to the local demand.