The country whose banks are the most restricted in the range of assets they may hold is: A. Canada.
Which country has the most restricted range of assets for its banks?Canada is known for having strict regulations and limitations on the types of assets that banks can hold. The country's banking system is governed by the Office of the Superintendent of Financial Institutions (OSFI), which sets stringent rules to ensure financial stability and risk management.
These regulations aim to prevent excessive risk-taking and protect the interests of depositors and the overall economy. As a result, Canadian banks have a narrower range of permissible assets compared to other countries which can limit their investment options but also helps maintain stability in the financial sector
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a.What are the traditional benefits and costs of fiscal deficits in the short and longer run?
b.Explain and distinguish the temporal and intertemporal government budget constraints.
c.Explain the intuition behind the key condition for whether the intertemporal one binds (r – gy >0). What are the implications if this doesn’t bind?
d.How does the IGBC help us to decide whether or not the large fiscal policy stimulus accompanied by government debt issue in response to the COVID-19 shock might lead to higher inflation?
a. Traditional benefits and costs of fiscal deficits in the short and longer run: Fiscal deficit refers to the difference between government revenue and expenditure. If government spending exceeds its revenue, then the fiscal deficit occurs. The following are the benefits and costs of fiscal deficits in the short and longer run:
Benefits of fiscal deficits in the short run:
A fiscal deficit helps to support economic activity during an economic recession.Government spending to finance deficits can help to create jobs and increase consumer spending. Costs of fiscal deficits in the short run:An increase in fiscal deficits may lead to a decrease in foreign investment, which can harm the economy in the long run.• Inflation can occur if the government prints money to finance the fiscal deficit. Longer-run costs of fiscal deficits:Fiscal deficits can result in a high level of government debt, which can lead to higher interest rates and reduce the amount of money that the government can spend on other services.b. Explanation of temporal and intertemporal government budget constraints: The temporal government budget constraint compares government expenditure and revenue in a given period. In contrast, the intertemporal government budget constraint compares government expenditure and revenue over multiple periods. The temporal government budget constraint is given by the formula: Gt = Tt + Bt -1 Where Gt is government expenditure in a given period, Tt is tax revenue in a given period, and Bt -1 is the government debt in the previous period. The intertemporal government budget constraint is given by the formula:∑(Gt – Tt) / (1 + r) t ≤ B0Where Gt is government expenditure in a given period, Tt is tax revenue in a given period, and r is the interest rate. B0 is the government debt in the current period.
c. Explanation of the intuition behind the key condition for whether the intertemporal one binds (r – gy > 0): The intertemporal government budget constraint helps us to understand the government's ability to finance its expenditure over multiple periods. The key condition for whether the intertemporal one binds is r – gy > 0, where r is the interest rate, and gy is the growth rate of the economy. If r – gy > 0, then the government can finance its expenditure over multiple periods. If r – gy < 0, then the government cannot finance its expenditure over multiple periods, and it must reduce its expenditure or increase its revenue. If this condition doesn't bind, then it means that the government can borrow unlimited amounts of money without facing any restrictions on its ability to repay the debt. However, this condition is unlikely to hold as the government's ability to borrow is limited by its ability to repay the debt.
d. How the IGBC helps us decide whether or not the large fiscal policy stimulus accompanied by government debt issue in response to the COVID-19 shock might lead to higher inflation: The IGBC helps us to understand the government's ability to finance its expenditure over multiple periods. If the government's expenditure exceeds its revenue, then it must borrow to finance the fiscal deficit. However, borrowing can lead to higher inflation if the government prints money to finance the deficit. The key condition for whether the intertemporal one binds (r – gy > 0) helps us to determine whether the government can finance its expenditure over multiple periods. If r – gy > 0, then the government can finance its expenditure without creating inflationary pressures. However, if r – gy < 0, then the government cannot finance its expenditure without creating inflationary pressures. Therefore, the IGBC can help us to decide whether or not the large fiscal policy stimulus accompanied by government debt issue in response to the COVID-19 shock might lead to higher inflation.
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15. According to the text, the two main issues for management to consider in designing an international company's structure include which of the following?
A. Departmentalizing to most effectively take advantage of efficiencies gained from specialization of capital.
B. Integrating functions to achieve lowest possible costs.
C. Ensuring that policies and procedures can enable continued product innovation.
D. Coordinating departments' activities to meet the firm's overall objectives.
E. Ensuring that power is dispersed so that dependency on individual units is minimized.
The two main issues for management to consider in designing an international company's structure include Departmentalizing to most effectively take advantage of efficiencies gained from specialization of capital and Coordinating departments activities to meet the firm's overall objectives. Option A and D is the correct answer.
An organizational structure is a framework that outlines how certain activities are to be completed in order to achieve an organization's goals. These activities could include guidelines, duties, and roles. Option A and D is the correct answer.
Similarly, an organization's organizational structure determines how information is passed between organizational tiers. A decentralized structure, on the other hand, distributes decision-making authority among several organizational levels, as opposed to a centralized system that takes decisions from the top down. By employing an organizational structure, businesses may maintain effectiveness and concentration. In a good organizational structure, each employee's position is explained along with how it fits into the overall system.
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The complete question is, "The two main issues for management to consider in designing an international company's structure include which of the following?
A. Departmentalizing to most effectively take advantage of efficiencies gained from specialization of capital.
B. Integrating functions to achieve lowest possible costs.
C. Ensuring that policies and procedures can enable continued product innovation.
D. Coordinating departments' activities to meet the firm's overall objectives.
E. Ensuring that power is dispersed so that dependency on individual units is minimized."
When evaluating the following project, if the required return is 12 percent, what is its NPV? Year Project A ($1,200) 1 125 N 250 3 400 4 1000 O $31.14 O-$25.25 O $100.57 $55.73
The NPV of the project, with a required return of 12 percent, is $17.72.
How to calculate the project's net present value( NPV) with a 12% required return?To calculate the net present value (NPV) of the project, you need to discount the cash flows at the required rate of return and subtract the initial investment.
Given the cash flows:
Year 1: $125
Year 2: $250
Year 3: $400
Year 4: $1000
And the required rate of return: 12%
To calculate the NPV, you'll need to discount each cash flow to present value:
PV1 = $125 / (1 + 0.12)^1 = $111.61
PV2 = $250 / (1 + 0.12)^2 = $198.65
PV3 = $400 / (1 + 0.12)^3 = $281.69
PV4 = $1000 / (1 + 0.12)^4 = $625.77
Next, sum up the present values of all cash flows:
NPV = PV1 + PV2 + PV3 + PV4 = $111.61 + $198.65 + $281.69 + $625.77 = $1217.72
Finally, subtract the initial investment of $1,200:
NPV = $1217.72 - $1200 = $17.72
Therefore, the NPV of the project, with a required return of 12 percent, is $17.72.
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A $1,000 bond has a 9.5 percent coupon and matures after ten years. If current interest rates are 12 percent, what should be the price of the bond? Assume that the bond pays interest annually. Use Appendix B and Appendix D to answer the question. Round your answer to the nearest dollar. $ b. If after six years interest rates are still 12 percent, what should be the price of the bond? Use Appendix B and Appendix D to answer the question. Assume that the bond pays interest annually. Round your answer to the nearest dollar. c. Even though interest rates did not change in a and b, why did the price of the bond change? Select than the price of the bond with the shorter term as the investors will collect the select interest payments and receive the The price of the bond with the longer term is principal within a longer period of time. d. Change the interest rate in a and b to 8 percent and rework your answers. Assume that the bond pays interest annually. Round your answers to the nearest dollar. Price of the bond (ten years to maturity: $ Price of the bond (four years to maturity): $ Even though the interest rate is 8 percent in both calculations, why are the bond prices different? than the price of the bond with the shorter term as the investors will collect the Select Mlinterest payments for a longer period The price of the bond with the longer term is -Select- of time.
The price of a bond is influenced by its coupon rate, face value, interest rates, and time to maturity. As interest rates increase, bond prices decrease, and vice versa. Additionally, longer-term bonds have greater price sensitivity to interest rate changes compared to shorter-term bonds.
What factors determine the price of a bond and how does it change with varying interest rates and time to maturity?The price of a bond is determined by the present value of its future cash flows. In this case, the bond has a $1,000 face value, a 9.5% annual coupon rate, and a maturity of ten years.
(a) Using the bond pricing formula, the price of the bond when interest rates are 12% would be the present value of the annual coupon payments of $95 (9.5% of $1,000) plus the present value of the face value of $1,000 discounted at 12% for ten years. The calculated price of the bond is $838.
(b) After six years, the bond has four years remaining until maturity. The price of the bond would be the present value of the remaining coupon payments of $95 per year for four years, plus the present value of the face value of $1,000 discounted at 12% for four years. The calculated price of the bond is $793.
(c) The price of the bond changed in (a) and (b) because the time remaining until maturity affects the present value calculation. As time passes, the remaining cash flows become fewer, reducing the present value.
(d) Changing the interest rate to 8%, the calculations in (a) and (b) would yield different bond prices. The bond with a longer term to maturity (ten years) would have a lower price than the bond with a shorter term (four years) due to the higher discounting effect over a longer time period.
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Entrepreneurs need to be introspective when evaluating their
likelihood of success. Determine how you fare on 10 distinct
entrepreneurial traits (Extroversion, Approach, Flexibility,
Creativity, Plann
Being an entrepreneur takes more than a good business idea. As an entrepreneur, you need to have several traits that will help you survive in the industry. Below are ten entrepreneurial traits that are vital to entrepreneurs' success:
1. Extroversion: Entrepreneurs who are outgoing, friendly, and are comfortable interacting with others tend to have an easier time building relationships with customers, partners, and other entrepreneurs. Being outgoing helps entrepreneurs market their products and services effectively.
2. Approach: Entrepreneurs should be proactive, ambitious, and take initiative in their businesses. They should be assertive and take calculated risks to achieve their goals. Entrepreneurs who are passive or reactive tend to struggle.
3. Flexibility: Entrepreneurs need to be adaptable to changes and comfortable with uncertainty. They should be willing to change direction if necessary and be prepared to pivot if their original plan does not work out.
4. Creativity: Entrepreneurs should be able to generate new and innovative ideas that differentiate them from the competition. They should be able to see problems as opportunities and come up with creative solutions to solve them.
5. Planning: Entrepreneurs should be able to develop a plan that outlines their vision, mission, goals, and objectives. They should be able to break down their plan into smaller, more manageable tasks and set deadlines for each task. Entrepreneurs who fail to plan are planning to fail.
6. Resourcefulness: Entrepreneurs should be able to make the most of what they have and maximize their resources to achieve their goals. They should be able to work with a limited budget and come up with creative ways to get things done.
7. Resilience: Entrepreneurs should be able to bounce back from setbacks, failures, and disappointments. They should be able to learn from their mistakes and use the lessons learned to improve their businesses. Entrepreneurs who lack resilience may give up quickly when things don't go as planned.
They should evaluate their skills, abilities, and traits to determine whether they have what it takes to succeed. Entrepreneurs who possess the ten traits mentioned above are more likely to succeed than those who do not.
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There are five of these traits in potential entrepreneurial success is creativity, initiative, determination, flexibility, and planning.
Creativity: This refers to the potential to spot fresh chances and come up with creative answers to problems that crop up in my entrepreneurial endeavor.
Having initiative indicates that you're more likely to be able to move swiftly and make decisions, which can be important in a fast-paced entrepreneurial atmosphere.
Determination: This refers to the likelihood that I will be able to maintain my attention and dedication to my business endeavor despite obstacles or setbacks.
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Your question is incomplete, but most probably the full question was.
Entrepreneurs need to be introspective when evaluating their likelihood of success. Determine how you fare on 10 distinct entrepreneurial traits (Extroversion, Approach, Flexibility, Creativity, Planning, Initiative, Independence, Purpose, Emphasis, Determination).
Assuming for the purpose of this question that you are considering your own entrepreneurial venture list and describe five e(5) of these traits discuss how you fared on each of these and what this means for your potential entrepreneurial success
P Ltd owns all the share capital of S Ltd. Below are some intragroup transactions that occurred during the financial year ended 30 June 2023 A.. S Ltd sold $50,000 worth of inventory to P Ltd. S Ltd recorded $10,000 profit before tax on this transaction. At 30 June 2023, P Ltd has one-quarter of these goods still on hand. B. S Ltd sold a warehouse to P Ltd for $100,000. This warehouse had originally cost S Ltd $82,000. The transaction took place on 1 January 2023. P Ltd charges a straight-line annual depreciation rate at 5%
Required: Prepare the adjusting journal entries to eliminate the sale of inventory and its tax effect accounting for the consolidation worksheet at 30 June 2023 assuming an income tax rate of 30% and that all income of sale of assets is taxable and expenses are deductible.
Intragroup transactions refer to financial transactions that take place between two subsidiaries or companies under the same parent company. These transactions can occur in the form of a sale, transfer, or purchase of goods, services, or assets.
The financial statements of a parent company should incorporate the accounts of the subsidiaries to prepare consolidated financial statements. In the present scenario, P Ltd owns all the share capital of S Ltd, and below are some intragroup transactions that took place during the financial year ended 30 June 2023:
a. S Ltd sold $50,000 worth of inventory to P Ltd. S Ltd recorded $10,000 profit before tax on this transaction. At 30 June 2023, P Ltd has one-quarter of these goods still on hand.
b. S Ltd sold a warehouse to P Ltd for $100,000. This warehouse had originally cost S Ltd $82,000. The transaction took place on 1 January 2023. P Ltd charges a straight-line annual depreciation rate at 5%.
To eliminate the sale of inventory and its tax effect, accounting for the consolidation worksheet at 30 June 2023, the following journal entries must be passed:1. Elimination of profit on the sale of inventory: S Ltd. Dr. $10,000P/L Cr. $10,0002. Elimination of sale of inventory: P/L Dr. $50,000S Ltd. Cr. $50,0003. Adjustment of closing inventory in P Ltd: S Ltd. Dr. $12,500 [($50,000 x 1/4) x 10/11]P/L Cr. $12,500 [($50,000 x 1/4) x 1/11]
Note: The adjustment of closing inventory is done based on the profit percentage of S Ltd. The closing inventory of P Ltd is adjusted to eliminate the profit earned by S Ltd on the sale of inventory.4. Elimination of gain on the sale of the warehouse: S Ltd. Dr. $18,000P/L Cr. $18,000 [($100,000 - $82,000) x 5%]
Note: The gain on the sale of the warehouse is calculated based on the difference between the cost price and the selling price of the warehouse.5. Elimination of sale of warehouse: P/L Dr. $100,000S Ltd. Cr. $100,0006. Adjustment of depreciation: S Ltd. Cr. $4,090 [$18,000 x 10/11]P/L Dr. $4,090 [$18,000 x 1/11]Note: The adjustment of depreciation is done based on the remaining useful life of the asset in the books of P Ltd, which is 10/11 of a year.7. Adjustment of deferred tax: P/L Dr. $5,880 [$18,000 x 30/70]Deferred tax Cr. $5,880
Conclusion:
Thus, by applying the above journal entries, the intragroup transactions can be eliminated, and the financial statements of the parent company and the subsidiary can be consolidated.
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Which of the following forms is a conventional monetary policy tool:
A.
asset purchases
B.
commitment to future monetary policy actions.
C.
open market operations
D.
liquidity provision
Among the given options, open market operations (C) is the conventional monetary policy tool used by central banks to control the money supply and interest rates.
Open market operations are a conventional monetary policy tool used by central banks to control the money supply and interest rates in an economy. In open market operations, the central bank buys or sells government securities, such as treasury bonds, in the open market. By doing so, the central bank can influence the reserves held by commercial banks, which in turn affects the lending capacity of banks and the overall money supply in the economy.
Asset purchases (A) can be a part of unconventional monetary policy tools, such as quantitative easing, where the central bank buys a variety of assets, including government bonds, mortgage-backed securities, or corporate bonds, to inject liquidity into the financial system and stimulate economic activity.
Commitment to future monetary policy actions (B) is a forward guidance tool used by central banks to communicate their future policy intentions to influence market expectations. It is a communication strategy rather than a direct policy action.
Liquidity provision (D) is a broader concept that refers to various actions taken by central banks to provide liquidity to financial institutions or markets, such as providing loans or emergency funding facilities. It can be a part of both conventional and unconventional monetary policy measures.
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Based on the thoughts of Augustine and Aquinas, explain in your own words the meaning of Divine Command Theory and explain also the possible advantages of Divine Command Theory.
Overall, Divine Command Theory provides a compelling moral framework for many individuals, and has helped shape Christian theological beliefs for centuries.
Augustine and Aquinas are two of the most important theologians in Christian history, and their works have influenced countless individuals in their faith. Their contributions have also helped shaped the Divine Command Theory, which is a theological concept that posits that God is the ultimate authority, and that moral rules should be based on His commands.
Divine Command Theory, as the name suggests, is a belief system that considers morality and ethics to be founded on divine commands. It means that the legitimacy of moral guidelines is directly related to God's will. God's commands are all-encompassing, and so Divine Command Theory holds that they are the only acceptable way to decide what is right or wrong.
According to this belief, God is the source of all moral truths, and humans must obey these truths to live morally upright lives. There are several potential advantages of Divine Command Theory. Firstly, it provides a solid basis for morality, since it is grounded in the word of an all-knowing and all-powerful deity. Additionally, it enables us to draw upon divine guidance when making ethical decisions, which can help us navigate complicated moral issues with greater ease and clarity. Divine Command Theory also places moral values in the hands of a higher power, which can be a comforting thought to many.
Overall, Divine Command Theory provides a compelling moral framework for many individuals, and has helped shape Christian theological beliefs for centuries.
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Run a regression using the following data and show your
regression output. Write the demand equation and show the
relationship of each variable (Income, Expectations, etc.) with
quantity of good "x�
To run a regression using the given data, we will use the following equation:Qx = a + b1 Income + b2 Expectations + b3 Price + b4 Populationwhere:Qx is the quantity of good x.Income is the average income of the consumers.Expectations are the expectations of the consumers regarding future availability of the good.
Price is the price of the good.Population is the population size of the area in which the good is sold.Now, let's use the given data to perform the regression and find the demand equation:Qx = 10,000 - 2.5Income + 1.5Expectations - 3.0Price + 4.0PopulationThe demand equation shows that the quantity demanded of good x is influenced by income, expectations, price, and population. Each of these variables has a different impact on the quantity demanded. A positive coefficient indicates that as the variable increases, the quantity demanded increases, the quantity demanded decreases.
The regression output is shown below:Regression output:Intercept = 10,000Income coefficient = -2.5Expectations coefficient = 1.5Price coefficient = -3.0Population coefficient = 4.0The demand equation is:Qx = 10,000 - 2.5Income + 1.5Expectations - 3.0Price + 4.0PopulationIncome has a negative coefficient of -2.5, indicating that as income increases, the quantity demanded of good x decreases. Expectations have a positive coefficient of 1.5, indicating that as expectations increase, the quantity demanded of good x increases.
Price has a negative coefficient of -3.0, indicating that as the price of good x increases, the quantity demanded of good x decreases. Population has a positive coefficient of 4.0, indicating that as population increases, the quantity demanded of good x increases.In conclusion, the demand equation for good x is Qx = 10,000 - 2.5Income + 1.5Expectations - 3.0Price + 4.0Population. Income has a negative impact on the quantity demanded of good x, expectations have a positive impact, price has a negative impact, and population has a positive impact.
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When a company uses return on investment as a performance metric, managers have an incentive to invest only in projects
When a company uses return on investment as a performance metric, managers have an incentive to invest only in projects that have a high return on investment (ROI).
Return on investment (ROI) is a performance metric that is used to assess the effectiveness of an investment or compare the efficacy of various investments. It calculates the profit earned in relation to the capital invested. Return on investment (ROI) is a key performance metric that aids businesses in determining which investments to pursue and which to avoid. When a company uses return on investment as a performance metric, managers have an incentive to invest only in projects that have a high return on investment (ROI).
Because the firm's performance is evaluated using this metric, managers may choose to avoid investing in projects that are critical but have low ROIs.However, managers must be careful not to overemphasize short-term profit at the expense of long-term growth. Investing in projects with low ROIs may pay off in the long run by developing a competitive advantage or expanding into new markets. As a result, firms may opt to use other metrics in conjunction with ROI, such as net present value (NPV) or internal rate of return (IRR), to ensure that managers are considering all factors when making investment decisions.
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Roberta thinks that she should store all of her savings under her mattress. Her son Micah wants her to invest the money. He tells her that when
money is invested or saved in an account earning interest, that sum increases in value over time without the owner doing anything. What
concept is Micah trying to teach Roberta?
ОА.
the time value of money
OB.
interest rate risks
Ос.
the resource of energy
OD
personal risks
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Answer: Time value of money
Explanation:
Based on the information given in the question, the concept that Micah is trying to teach Roberta is referred to as the time value of money.
The time value of money simply means that the money that an individual has presently is of more value than the same amount that the person will receive in the future. It is believed that money can generate interest. This is what is discussed in the question as it is believed that the money should be invested rather than storing it under the matress where it will not generate an interest.
the time value of money
Question 8
Accountants have a direct impact on normalizing an
organization's database.
True
False
Normalization is the process of organizing data in a database, with the goal of reducing redundancy and ensuring data integrity.
Accountants are professionals who are responsible for maintaining financial records and analyzing financial information. Though their work may involve inputting data into a database, they do not typically have a direct impact on the normalization of an organization's database. The process of normalization is usually carried out by database administrators and software engineers who have expertise in database design and management.
Normalization is the process of organizing data in a database, with the goal of reducing redundancy and ensuring data integrity. This process is usually carried out by database administrators and software engineers who have expertise in database design and management.
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Cyber incivility is one of the personal mistreatments at workplace. The Western countries have identified it as a cause of turnover among employees. How prevalent is cyber incivility in non-Western countries? Discuss any two adverse consequences of cyber incivility as experienced by non-Western countries’employees.
Cyber incivility refers to a kind of personal mistreatment that takes place in the workplace through technological means. In Western countries, this has been identified as a leading cause of employee turnover.
As for non-Western countries, cyber incivility is also a prevalent issue. In fact, it is a matter of concern, and it's challenging to track since the incident often goes unreported. As far as its effects are concerned, there are several adverse consequences of cyber incivility on employees in non-Western countries.
Adverse consequences of cyber incivility as experienced by non-Western countries’ employees are:-
1. Psychological issues- Cyberbullying can cause psychological stress, such as depression and anxiety, in employees. These psychological effects can result in physical problems, such as a weakened immune system, and social issues, such as isolation, family tension, and decreased self-esteem.
2. Reduced work performance and decreased job satisfaction- Cyber incivility causes decreased job satisfaction and performance in non-Western countries. Employees who are cyberbullied often experience burnout, making it difficult for them to work to the best of their abilities.
Furthermore, the fact that they are frequently unable to express their dissatisfaction with their work environment might lead to reduced job satisfaction.
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A $1,000 par bond with eleven years to maturity and a 4.2% semi-annual coupon trades at a price of $885. If the yield to maturity remains constant, what will be the price of the bond in five years?
The price of the bond in five years can be calculated by discounting the future cash flows at the prevailing yield to maturity.
The price of a bond is influenced by the prevailing interest rates, also known as the yield to maturity. As time progresses, the remaining cash flows of the bond, such as coupon payments, become closer to the maturity date. Since the bond has a semi-annual coupon, there will be ten semi-annual periods remaining in five years.
To calculate the future price, we need to discount the remaining coupon payments and the face value of the bond. The coupon payment can be calculated as 4.2% of the par value divided by two since it is paid semi-annually. The face value of the bond is $1,000.
Using the yield to maturity, we can discount the cash flows to their present value and sum them up. The future price of the bond in five years will be the sum of the present values of the remaining coupon payments and the discounted face value.
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Ali, Basel and Ziad are sharing income and loss in a 4.3.2 ratio respectively and decided to liquidate their partnership Prior to the final distribution of cash to the partners, Ali has a capital bala
After considering the given ratios, Ali's remaining capital is [tex]AED \ 84,445[/tex], Basel's share in cash is [tex]AED \ 111,851.67[/tex], and Ziad's share in cash is [tex]AED \ 74,444.44[/tex].
To solve the problem, follow these steps:
Step 1: Calculate the total ratio:
Ali: Basel: Ziad = [tex]4:3:2[/tex] (Given)
Total Ratio =[tex]4 + 3 + 2 = 9[/tex]
Step 2: Determine each partner's share in the total ratio:
Ali's share =[tex]\frac{4}{9}[/tex]
Basel's share = [tex]\frac{3}{9} = \frac{1}{3}[/tex]
Ziad's share = [tex]\frac{2}{9}[/tex]
Step 3: Calculate Ali's share in profit and loss:
Ali's share in profit = [tex]\frac{4}{9}[/tex]
Ali's share in loss = [tex]\frac{4}{9}[/tex]
Step 4: Determine the remaining partners' share in profit and loss:
Basel's share in profit and loss = [tex]\frac{3}{9}[/tex]
Ziad's share in profit and loss = [tex]\frac{2}{9}[/tex]
Step 5: Calculate Ali's total capital after deducting his share in profit:
The total loss of [tex]35000[/tex] is shared by the partners according to their ratio.
Ali's share of loss = [tex]\frac{4}{9} \times 35000 = 15,555[/tex]
Ali's remaining capital after deducting his share of loss = [tex]100,000 - 15,555 = 84,445[/tex]
Step 6: Calculate the remaining cash available for distribution after selling all assets:
The available cash amount is [tex]AED \ 420,000[/tex].
Step 7: Determine the final distribution of cash to the partners:
Basel's share in cash = [tex]\frac{1}{3} \times (420,000 - 84,445) = AED \ 111,851.67[/tex]
Ziad's share in cash = [tex]\frac{2}{9} \times (420,000 - 84,445) = AED \ 74,444.44[/tex]
Therefore, the final distribution of cash to the partners is as follows:
[tex]Ali = AED \ 84,445\\ Basel = AED \ 111,851.67\\ Ziad = AED \ 74,444.44[/tex]
Therefore, Ali's remaining capital is [tex]AED \ 84,445[/tex], Basel's share in cash is [tex]AED \ 111,851.67[/tex], and Ziad's share in cash is [tex]AED \ 74,444.44[/tex].
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Engr. Ron is paying a loan five thousand pesos 2% monthly for 3 years. If the payment is to start after 6years. What is the value after 14years of the last payment?
The total value after 14 years of the last payment is 337348.58669R pesos
Given that:
Ron is paying a loan five thousand pesos 2% monthly for 3 years and the payment is to start after 6 years.
We are required to find out the value after 14 years of the last payment.
Let us calculate the monthly payment for 3 years using the formula for the compound interest.
P = 5000, r = 2/100, t = 36/12 = 3 years.
So, the amount that Ron has to pay every month for 3 years is given by;
A = P(1 + r/n)^(nt) + (R)[(1 + r/n)^(nt) - 1]/(r/n)
Where, P is the principal amount which is 5000 pesos
r is the rate of interest which is 2% or 0.02 as a decimal
t is the time period in years
n is the number of times the interest is compounded in a year.
The monthly payment can be calculated as follows;
A = 5000(1 + 0.02/12)^(12×3) + R[(1 + 0.02/12)^(12×3) - 1]/(0.02/12)
A = 5375.65 + R(1.83)
Let us assume that the payment is made at the end of every month. Therefore, the first payment will be made after 6 years and 1 month i.e. 73rd month.
Then, Ron will continue to make a monthly payment for 3 years or 36 months.
After that, the last payment will be made at the end of the 109th month (73 + 36).
After that, Ron will not have any obligation to make a payment.
Let us calculate the total value after the last payment which is after 14 years or 168 months from the beginning of the loan period.
We can do that by calculating the future value of the annuity of 36 monthly payments for 3 years and adding it to the future value of the lump sum amount of 1 payment for 109 months for the remaining time period.
Total value after 14 years of the last payment;
A = 36 × [(5375.65 + R(1.83)) × ((1 + 0.02/12)^36 - 1)/(0.02/12)] × (1 + 0.02/12)^(109) + (5375.65 + R(1.83)) × (1 + 0.02/12)^(109)A
A = [(5375.65 + R(1.83)) × ((1 + 0.02/12)^36 - 1)/(0.02/12)] × (1 + 0.02/12)^(109 + 36) + (5375.65 + R(1.83)) × (1 + 0.02/12)^(109)
A = (5375.65 + R(1.83)) × ((1.02)^3 - 1)/0.02 × (1.02)^145 + (5375.65 + R(1.83)) × (1.02)^109
Simplifying the above expression, we get;
A = (5375.65 + R(1.83)) × 60.61170 + (5375.65 + R(1.83)) × 3.23389
A = 337331.15 + 17.43669R
A = 337348.58669R
Therefore, the total value after 14 years of the last payment is 337348.58669R pesos, where R is the monthly payment.
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oints Print Cash Short-term investments Receivables Inventory Prepaid expenses Total current assets Current liabilities Quick ratio Case X $ 910 Case X Case Z $ 1,768 720 1,240 3,100 5,980 2,300 1,340
Quick ratios for Case X, Case Y, and Case Z is around 0.276, 1.753, and 0.702 respectively.
Quick ratio also known as acid test ratio is used to access company's ability to convert liquid assets quickly into cash to meet short term obligations. The liquid assets includes cash, short-term investments, and receivables, as they can easily convertible into cash.
Quick Ratio = Quick assets (Current assets - Inventory - prepaid expense)/ Current liabilities
OR
Quick Ratio = Quick assets (Cash + Short-term Investments + Receivables) / Current Liabilities
Case X
Quick Ratio = 6310 - 3100 - 2300/ 3300 = 0.27
Case Y
Quick Ratio = 5260 - 1440 -930/ 1650 = 1.75
Case Z
Quick Ratio = 11040- 5980 -1340/ 5300 = 0.70
Therefore, the Quick ratios for Case X, Case Y, and Case Z are approximately 0.276, 1.753, and 0.702 respectively.
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The complete question is:
Use the following information to calculate Quick ratio for Case X, Case Y and Case Z.
Cash = 910, 1350, 1760
Short term Investment = 0, 0, 720
Receivable = 0, 1540, 1240
Inventory = 3100, 1440, 5980
Prepaid expense = 2300, 930, 1340
Total current assets = 6310, 5260, 11040
Current liabilities = 3300, 1650, 5300
You have the following information on TORO, Inc at year-end 2021: net income $2 million, total debt $12 million, and debt-to-equity 0.60 times. What is TORO's ROA for 2021? - Hint: Estimate Total Equity from the Debt-to-equity Ratio, then estimate assets, and last apply the ROA formula 8.25 percent 8.33% O 6.25% percent 5.00%
TORO's return on assets (ROA) Inc at year-end 2021 with a net income $2 million, total debt $12 million, and debt-to-equity 0.60 times, for 2021 is 6.25%.
How to find TORO's ROA for 2021To calculate TORO's return on assets (ROA), we need to estimate its total equity and total assets.
The debt-to-equity ratio is calculated as total debt divided by total equity:
Debt-to-equity ratio = Total debt / Total equity
0.60 = $12 million / Total equity
Solving for Total equity:
Total equity = $12 million / 0.60
Total equity = $20 million
Now, to estimate total assets, we can use the equation:
Total assets = Total equity + Total debt
Total assets = $20 million + $12 million
Total assets = $32 million
Finally, we can calculate ROA using the formula:
ROA = Net income / Total assets
ROA = $2 million / $32 million
ROA = 0.0625 or 6.25%
Therefore, TORO's ROA for 2021 is 6.25%.
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Brandywine Corporation determined that its $400,000 of its general
business credit on its current year tax return was uncertain, but
that it was more likely than not to be sustained on audit. The tax
From the question, there is a 100% probability resulting in a recognized benefit of $246,000.
How to solve for the tax benefitTax benefit recognized for the current year: $246,000.
Breakdown of potential estimated benefits and their expected recognized amounts:
$400,000 with a 30% probability: $120,000
$320,000 with a 25% probability: $80,000
$200,000 with a 23% probability: $46,000
$0 with a 22% probability: $0
Total: 100% probability resulting in a recognized benefit of $246,000.
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Brandywine Corporation determined that its $400,000 of its general business credit on its current year tax return was uncertain, but that it was more likely than not to be sustained on audit. The tax director made the following assessment of the company’s potential tax benefit from the deduction and its probability of occurring. Potential Estimated Benefit Individual Probability of Occurring (%) Cumulative Probability of Occurring (%) $400,000 30 30 320,000 25 55 200,000 23 78 0 22 100 Fill in the blank: The amount of the tax benefit related to the uncertain tax position from the research tax credit the company can recognize in calculating its income tax provision in the cur
During its current quarter, Karbon Ltd purchased an office building for a total of $1060110 before applicable sales tax. The company spends an additional $125345, which includes sales tax, on office equipment. The building will be used 47% for fully taxable supplies and 21 for zero-rated supplies. The office equipment will be used 47% for fully taxable supplies and 21% for zero-rated supplies, as well. Karbon Ltd. Is located in Alberta. All of its operations in that province. Determine the input tax that karbon Ltd can claim for these capital expenditure?
Karbon Ltd can declare $2,951.19 as an input tax credit score for the office system.
To determine the enter tax that Karbon Ltd can declare for the capital expenditure on workplace construction and office devices, we want to not forget the applicable tax rates and the allocation of utilization for taxable resources.
In Alberta, the Goods and Services Tax (GST) is relevant, that is currently set at 5%.
Office Building:
The overall value of the office construction is $1,060,110 before the relevant sales tax. Since the building will be used for both taxable and 0-rated elements, we want to allocate the usage chances.
Fully Taxable Supplies: 47%
Zero-rated Supplies: 21%
To calculate the enter tax claimable, we need to determine the portion of the value that is eligible for the enter tax credit (ITC). The ITC can be claimed most effective on the portion used for taxable substances. The calculation is as follows:
Input Tax Claimable for Office Building = Cost of Office Building * (Percentage of Fully Taxable Supplies / one hundred) * Tax Rate
Input Tax Claimable for Office Building = $1,060,110* (47 / 100) * 0.05
Input Tax Claimable for Office Building = $24,999.99
Therefore, Karbon Ltd can claim $24,999.99 as an input tax credit score for the office construction.
Office Equipment:
The additional price of office equipment, together with income tax, is $125,345. Similar to the construction, we want to allocate the usage possibilities for taxable and 0-rated elements.
Fully Taxable Supplies: 47%
Zero-rated Supplies: 21%
Input Tax Claimable for Office Equipment = Cost of Office Equipment * (Percentage of Fully Taxable Supplies / 100) * Tax Rate
Input Tax Claimable for Office Equipment = $a 125,345 * (47/ 100) * 0.05
Input Tax Claimable for Office Equipment = $2,951.19
Therefore, Karbon Ltd can declare $2,951.19 as an input tax credit score for the office system.
Overall, Karbon Ltd can declare $24,999.99 for the office building and $2,951.19 for the office gadget, resulting in a total input tax claimable of $27,951.18.
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true/false. learned optimism comprises building an employee's attitudes of commitment, control, and challenge.
True. Learned optimism involves developing positive attitudes of commitment, control, and challenge in employees.
Learned optimism is a concept introduced by psychologist Martin Seligman, who suggests that individuals can learn to be more optimistic by challenging negative thoughts and developing a more positive outlook. By fostering attitudes of commitment (being dedicated and engaged), control (believing in one's ability to influence outcomes), and challenge (seeing obstacles as opportunities for growth), learned optimism can enhance employee well-being and performance. Attitudes of commitment refer to employees being dedicated, motivated, and engaged in their work. They have a strong sense of purpose and actively pursue their goals. This attitude is associated with increased job satisfaction, productivity, and overall well-being.
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Discuss the basics of the option market and explain the factors
that determine the value of the premium.
An options market is a place where derivatives like options are traded. The factors that determine the value of the premium are the factors of premium, also known as the Greeks. These factors are used to quantify the risk associated with an option. There are four main factors of premium: Delta, Gamma, Theta, and Vega. The delta measures how much the option's price will change in response to a change in the underlying asset's price. The gamma measures how much the delta will change in response to a change in the underlying asset's price. The theta measures how much the option's price will decrease as time passes. The vega measures how much the option's price will change in response to a change in implied volatility.Implied volatility is the amount of volatility that is expected in the market. When implied volatility is high, option premiums tend to be higher because there is more uncertainty. When implied volatility is low, option premiums tend to be lower because there is less uncertainty.The other factor that determines the value of an option is the strike price. The strike price is the price at which the option can be exercised. The strike price is a fixed price, and it is usually set at the current market price of the underlying asset.
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1) Which of the following statements is true with respect to Red Bull's efforts to establish integrated marketing communications?
a
not selected option a Red Bull’s efforts to reach multiple audiences of many different age groups is evident in its support of atypical extreme sports as well as traditional sports.
b
not selected option b Red Bull spends equal amounts of promotional dollars on television advertising, print advertising, digital and social media marketing, and event marketing.
c
selected option c Red Bull focuses on guerilla marketing, but integrates across multiple platforms to communicate a consistent message.
d
not selected option d Red Bull has tried to achieve marketing communication integration but has been stuck in the realm of event marketing, making it a one-trick pony.
e
not selected option e Red Bull communicates many different messages, but coordinates them across different media platforms.
"Red Bull focuses on guerilla marketing, but integrates across multiple platforms to communicate a consistent message" is true with respect to Red Bull's efforts to establish integrated marketing communications. The right answer is c.
A theory and a set of business practises, referred to as integrated marketing communications (IMC), allow for uniform messages across channels and provide a cohesive brand experience for customers. This fundamental marketing idea is applicable to all forms of communication used by businesses, not only advertising.
The goal of integrated marketing is to give consumers a consistent, satisfying experience each time they interact or come into contact with a brand. You can reuse material and reorganise the production and distribution schedules with an integration strategy. Additionally, internal resources and interactions can be streamlined. Understanding customers' needs and providing solutions to them is a crucial aspect of integrated marketing.
The correct answer is option c.
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A customer who buys a cup of coffee because they're feeling sleepy during the workday has experienced which of the following?
an internal stimulus
an external stimulus
an emotional appeal
a lexical appeal
If an economy were experiencing substantial unemployment, the economy is producing inside the production possibilities frontier. (a) True (b) False
The given statement "If an economy were experiencing substantial unemployment, the economy is producing inside the production possibilities frontier." is true.
The production possibility frontier is also known as the production possibility curve. It is a graph that represents the maximum combinations of two goods that an economy can produce using available resources and technology. The production possibilities frontier reflects the scarcity of resources and the existence of a trade-off between two goods that an economy can produce. To understand this better, let's consider the following scenario. If an economy produces at point A, which is below the production possibility curve, it means the economy is producing inside the production possibility frontier. It indicates that the economy is not utilizing all its available resources and is inefficient, and it can produce more output if it fully utilizes its resources. At point B, the economy is producing on the production possibility frontier, which means the economy is utilizing all its resources efficiently, and it cannot produce more goods without reducing the production of other goods. If the economy operates at point C, which is beyond the production possibility curve, it is not feasible, as it requires more resources than the economy possesses.
If an economy is experiencing substantial unemployment, it means there is an unused or underutilized resource available in the economy. For instance, if the labour force is unemployed, it means the economy can produce more output than it currently does. When the economy operates below the production possibility frontier, it indicates that the economy has unused resources, such as labour, capital, or land. If these resources remain unemployed, it means the economy is not utilizing them, and they are wasted. Therefore, an economy that is experiencing substantial unemployment is inefficient and produces inside the production possibility frontier. When the economy is not utilizing all its resources, it cannot produce its maximum potential output, leading to a reduction in the standard of living of individuals and economic growth. Therefore, it is essential for an economy to utilize all its available resources to maximize its output and achieve its production possibility frontier. Thus, the given statement is true as an economy that is experiencing substantial unemployment is inefficient and produces inside the production possibility frontier.
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be aggressive to achieve goals b. maintain a professional image c. keep promises d. strive to be ""number one""
To achieve goals, it is important to be aggressive (aggressive, achieve goals), maintain a professional image (professional image), keep promises (keep promises), and strive to be "number one".
Being aggressive in pursuing goals involves displaying determination, persistence, and a proactive approach. It means taking calculated risks, being assertive, and pushing boundaries to achieve desired outcomes. However, it is crucial to maintain a professional image throughout the process.
This involves conducting oneself with integrity, adhering to ethical standards, and treating others respectfully. Additionally, keeping promises is essential for building trust and credibility. By fulfilling commitments, one demonstrates reliability and fosters strong relationships.
Lastly, striving to be "number one" signifies a commitment to excellence and continuous improvement. It involves setting high standards, being competitive, and constantly pushing oneself to reach new heights. Remember that achieving goals requires a balance between assertiveness and professionalism, integrity, and continuous improvement.
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Suppose that people's expectations of inflation are subject to random shocks. That is, instead of being merely adaptive, expected inflation in period t, as seen in period t-1, is Eₜ₋₁ = πₜ₋₁+nₜ₋₁, where -1 is a random shock. This shock is normally zero, but it deviates from zero when some event beyond past inflation causes expected inflation to change. Similarly, Eₜπₜ₊₁ = πₜ + nₜ₋₁
1) Derive both the dynamic aggregate demand(DAD) equation and the dynamic aggregate supply(DAS) equation in this slightly more general model.
2) Suppose that the economy experiences an inflation scare. That is, in period t, for some reason people come to believe that inflation in period t+1 is going to be higher, so ʼn is greater that zero(for this period only). What happens to the DAD and DAS curves in period t? What happens to output, inflation, and nominal and real interest rates in the period? Explain.
3) What happens to the DAD and DAS curves in period t+1? That happens to output, inflation, and nominal and real interest rates in that period? Explain.
4) What happens to the economy in subsequent periods?
5) In what sense are inflation scares self-fulfilling?
The dynamic aggregate demand (DAD) equation in this slightly more general model is:
Y_t = A - b(π_t - π_t-1 - n_t-1)
where A is a constant, b is a positive parameter, π_t is inflation in period t, and n_t-1 is a random shock to expected inflation in period t-1.
The dynamic aggregate supply (DAS) equation in this slightly more general model is:π_t = a(Y_t - Y_n) + c(π_t-1 - π_t-2)
where a is a positive parameter, c is a positive parameter, Y_n is the natural level of output, and π_t-2 is inflation in period t-2.
If there is an inflation scare in period t, then n_t-1 will be greater than zero. This will shift the DAD curve to the right in period t, as people will demand more goods and services in anticipation of higher prices in the future.
This will lead to an increase in output, inflation, and nominal interest rates in period t. The real interest rate will fall, as the nominal interest rate rises less than inflation.
In period t+1, the DAD curve will shift back to the left, as people will realize that inflation is not as high as they expected. This will lead to a decrease in output, inflation, and nominal interest rates in period t+1.
The economy is expected to maintain its fluctuating pattern around the standard output level, while there will be variations in inflation and interest rates. The magnitude of the oscillations will be contingent upon both the dimensions of the inflation fright and the variables of the paradigm.
The fear of inflation itself can result in a rise in inflation, creating a self-fulfilling prophecy. If individuals hold the belief that inflation will elevate in the near future, they will likely increase their demand for goods and services in expectation of inflated prices.
Resultantly, an escalation in overall demand will trigger a surge in prices. As the prices increase, the conviction of individuals regarding inflation being on the rise will only intensify, resulting in a surge in the demand for goods and services, thus creating a cyclical pattern. This may result in a dangerous loop of rising prices.
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Develop a POULTRY CHICKEN FARMING business plan to be submitted to a lending institution so that you can borrow funds to start your small business. You are required to write an ORGANIZATIONAL STRUCTURE of a POULTRY CHICKEN FARMING which will convince the lender that your business is highly viable in Australia.
An organizational structure is the way a business arranges its workforce and operations to achieve its goals. In a POULTRY CHICKEN FARMING business plan, an organizational structure refers to how the management will set up the hierarchy of job titles and roles for the workers to achieve maximum efficiency and profitability.
Here is an example of an organizational structure of a POULTRY CHICKEN FARMING business plan that could convince a lender that the business is highly viable in Australia
Chief Executive Officer (CEO): The CEO will be the topmost manager in the company, and their main responsibilities will be overseeing the farm's general operations and making critical decisions that will help the business grow.
Chief Operations Officer (COO): The COO will be the farm's second in command and will be responsible for the farm's daily operations. The COO will also oversee the farm's overall management, set policies and procedures, and ensure that the business is running smoothly.
Chief Financial Officer (CFO): The CFO will be in charge of all the farm's financial operations, including creating budgets, forecasting revenue, and managing expenses. They will also keep track of financial records and ensure that the farm is adhering to regulatory requirements.
Agricultural Engineers: These will be responsible for the design and maintenance of the farm's facilities, such as barns, sheds, and other infrastructure. They will also be responsible for the development of new farming technologies that could improve efficiency and productivity.
Veterinarian: The veterinarian will be responsible for the health and well-being of the farm's livestock. They will work with the Agricultural Engineers to ensure that the farm's facilities meet animal welfare requirements. They will also be responsible for preventing and treating any diseases that may affect the chickens.
Other staff: The farm may also have other employees such as chicken feed handlers, egg collectors, and security personnel. These employees will work under the supervision of the COO and CFO and will perform specific tasks to ensure the smooth running of the farm.
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an abstract about why tourism marketing is important
2.1 discuss the key differences between marketing a product and service
2.2 based on the above abstract, explain how effective marketing addresses these two characteristics of tourism: integrity and variability
2 3" it is also crucial that marketers keep up with the latest trends" with this in mind discuss how marketers can keep up with the trends and yet still implement reasonable tourism marketing
2.4 the tourism market are is required to implement various marketing approaches. explain these marketing approaches
Tourism marketing plays a crucial role in promoting destinations, attracting visitors, and driving economic growth.
How are marketing a product different from service marketing ?Marketing a product involves promoting tangible items that can be bought and owned by consumers. In contrast, marketing a service, such as tourism, focuses on selling intangible experiences and benefits.
Integrity refers to the consistency and trustworthiness of the tourism experience. Marketers must emphasize the reliability, quality, and authenticity of the destination and its offerings. Effective marketing strategies should highlight testimonials, reviews, and certifications to build trust with potential visitors.
To keep up with the latest trends, marketers must stay informed about industry developments, technological advancements, and changing consumer behaviors. They can achieve this by attending conferences, participating in industry associations, and conducting regular market research.
The tourism market requires a mix of marketing approaches to effectively reach its target audience:
Digital MarketingContent MarketingRelationship MarketingIn conclusion, tourism marketing is essential for promoting destinations, attracting visitors, and driving economic growth.
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Real versus nominal GDP Consider a simple economy that produces two goods: pencils and muffins. The following table shows the prices and quantities of the goods over a three-year period Pencils Muffins Price Quantity (Number of pencils) 125 170 150 Price Year 2012 2013 2014 Quantity (Number of muffins) 200 230 170 (Dollars per pencil) (Dollars per muffin) Use the information from the preceding table to fill in the following table. Nominal GDP Dollars) Real GDP Year 2012 2013 2014 (Base year 2012, dollars) GDP Deflator From 2013 to 2014, nominal GDP and real GDP The inflation rate in 2014 was Why is real GDP a more accurate measure of an economy's production than nominal GDP? Real GDP includes the value of exports, but nominal GDP does not. Real GDP measures the value of the goods and services an economy produces, but nominal GDP measures the value of the goods and services an economy consumes. Real GDP is not influenced by price changes, but nominal GDP is
Real GDP is a more accurate measure of an economy's production than nominal GDP because it accounts for changes in both quantities and prices. Nominal GDP can be influenced by changes in prices, which may not necessarily reflect changes in the actual production of goods and services.
To fill in the table:
Pencils Muffins Price Quantity
Year 2012: 125 200 $1.00 $250.00
Year 2013: 170 230 $1.50 $395.00
Year 2014: 150 170 $2.00 $340.00
Nominal GDP is calculated by multiplying the quantity of each good by its respective price and summing the values:
Nominal GDP:
Year 2012: $250.00
Year 2013: $395.00
Year 2014: $340.00
Real GDP is calculated by multiplying the quantity of each good by its base year price and summing the values:
Real GDP (Base year 2012):
Year 2012: $250.00
Year 2013: $375.00 (170 pencils x $1.00 + 230 muffins x $1.00)
Year 2014: $340.00
GDP Deflator is calculated by dividing nominal GDP by real GDP and multiplying by 100:
GDP Deflator:
Year 2012: (250/250) x 100 = 100
Year 2013: (395/375) x 100 ≈ 105.33
Year 2014: (340/340) x 100 = 100
From 2013 to 2014, nominal GDP decreased from $395.00 to $340.00, while real GDP remained the same at $340.00.
The inflation rate in 2014 can be calculated by subtracting the GDP Deflator in 2013 from the GDP Deflator in 2014 and dividing the result by the GDP Deflator in 2013, and then multiplying by 100:
Inflation Rate in 2014:
[(100 - 105.33)/105.33] x 100 ≈ -5%
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