Two business organizations that use Information Systems (IS) are Amazon and Walmart.
Amazon:
Amazon uses IS in several ways to streamline their operations and deliver a better customer experience. One example is their recommendation system, which uses data from past purchases, searches, and other behaviors to suggest products that a customer is likely to buy. This system helps to increase customer satisfaction and boost sales. Additionally, Amazon uses IS to manage their supply chain, optimize inventory, and facilitate fast and efficient shipping. By leveraging real-time data, they can quickly respond to changes in demand and adjust their operations accordingly. Another benefit of IS for Amazon is the ability to collect and analyze vast amounts of data, which they can use to identify trends, forecast demand, and make data-driven decisions.
Walmart:
Walmart uses IS in a variety of ways to improve efficiency, reduce costs, and enhance the shopping experience for customers. One example is their use of RFID technology, which allows them to track inventory in real-time and reduce stockouts. By using RFID tags, Walmart can quickly identify when an item is running low and restock it before it becomes unavailable to customers. Another example is Walmart's use of mobile devices and apps to help associates perform tasks more efficiently. With the help of mobile devices, associates can check inventory levels, process orders, and communicate with other employees in real-time. Walmart also uses IS to analyze data and make data-driven decisions about their operations, such as optimizing store layouts and staffing levels.
Overall, the benefits of IS implementation for these two business organizations include increased efficiency, reduced costs, improved customer experience, and the ability to make data-driven decisions. By using IS, Amazon and Walmart can stay competitive in the retail industry and continue to innovate to meet the changing needs of their customers.
Which of the following elements is false regarding Phase 3, Limited Integration, of supply management strategy development?
a. Supplier quality focus.
b. Global sourcing.
c. Ad hoc supplier alliances.
d. Volume leveraging.
e. Long-term contracts.
The supply management strategy's supplier quality is the main focus of Phase 3, Restricted Integration. As a result, option (A) is correct.
What is meant by Global sourcing?In order to source products and services across geographical boundaries, a method known as global sourcing is used. In order to supply a good or service more efficiently, global sourcing frequently seeks to do so.
These cost savings come from low-cost skilled labor, cheap raw materials, fierce global competition, new technology, and other economic considerations including tax benefits and reduced trade tariffs.
Many information technology projects, services, and products, such as IS Applications, mobile apps, and database services, are outsourced internationally to nations like India and Pakistan for lower prices.
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Manufacturing overhead costs include ______.
A. indirect materials, factory supervisors' salaries, and factory depreciation
B. direct materials, administrative taxes and insurance, and sales commissions
C. direct materials, sales commissions, and factory assembly workers' wages
D. administrative taxes and insurance, sales commissions, and factory assembly workers' wages
The correct option is A. Manufacturing overhead costs include indirect materials, factory supervisors' salaries, and factory depreciation.
In accountancy, depreciation is a time period that refers to 2 aspects of the identical concept: first, the real decrease of the fair value of an asset, inclusive of the lower cost of the factory gadget every 12 months as it is used and wears, and second, the allocation in accounting statements of the unique fee of the property to durations in which the belongings are used (depreciation with the matching precept).
Companies depreciate lengthy-time period assets for both accounting and tax purposes. The lower price of the asset influences the balance sheet of a commercial enterprise or entity, and the approach of depreciating the asset, accounting-wise, influences the internet profits, and for that reason the income announcement that they record. normally, the fee is allotted as depreciation expense some of the durations wherein the asset is expected for use.
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The economic conditions described by Mandela in the second paragraph would lead many former European countries to embrace which of the following?
The correct answer is Mandela is revered as the founder of South Africa's modern era. He was a key player in removing the oppressive government and bringing about democracy.
Former South African President Nelson Mandela (1918–2013) was a brave leader who committed his life to putting an end to apartheid and creating a free, multiracial, and democratic South Africa as well as, by example, a more equitable world. . Nelson Mandela spent 27 years in solitary confinement until being freed from jail in 1990. He then worked with State President F. W. de Klerk to negotiate the end of apartheid in South Africa, bringing peace to the racially divided nation and taking the lead in the global fight for human rights.
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is crowding out more severe with a contractionary fiscal policy when supply is dependent on interest rate
In accordance with the crowding out effect, increased governmental spending weakens or even effectively removes private-sector spending.
It receives it either through tax increases or borrowing gained through the sale of Treasury securities. Reduced income and spending by both individuals and businesses will result from higher taxes.
Interest rates and borrowing costs might increase as a consequence of Treasury sales. This might also lower the demand for the application of borrowing.
All told, it is considered that government expenditure compares with that of private businesses and people.
The supply and demand for money constitute the foundation of the crowding-out effect.
The government implements strategies to boost revenue:
Raising taxes or selling debt security
Consumer and company demand for the accompanying higher interest rate loans diminishes.
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A society's ability to produce needed goods and services is permanently reduced if it...
A society's ability to produce needed goods and services is permanently reduced if it uses resources too quickly.
Resources are the inputs that society uses to create output, often known as goods. Inputs such as labor, capital, and land are examples of resources.
Food, clothing, and housing are examples of goods, as are services offered by barbers, doctors, and police officers. Because society tends to seek more resources and things than are available, these resources and goods are deemed scarce.
While most resources and things are in short supply, some are not, such as the air we breathe. A free resource or good is a resource or good that is not scarce, even if its price is zero. However, economics is primarily concerned with scarce resources and goods.
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When you select a financial services provider, you should ask all of the following questions except
A) How can I minimize the cost of checking and payment services?
B) Where can I get the best return on my savings?
C) Will I be able to borrow money if I need it?
D) All of these questions should be asked.
E) None of these questions are needed.
All of the questions listed in options A, B, and C are important to ask when selecting a financial services provider. So option D " All of these questions should be asked" is correct.
These questions help you understand the costs and benefits of the services offered by the provider and make an informed decision about which provider is best for your needs.
For example, by asking how you can minimize the cost of checking and payment services, you can determine if the provider has low fees or other cost-saving options for these types of services. By asking where you can get the best return on your savings, you can compare the interest rates and other investment options offered by different providers and choose the one that will maximize your returns. And by asking if you will be able to borrow money if you need it, you can find out if the provider offers loan or credit products and determine if these products are suitable for your needs.
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Suppose George's income decreases by 10%. As a result, the quantity of Good X George demands increases by 20%. George's income elasticity for Good X is _____, and Good X is ______ good.
a.-0.5; an inferior
b.0.5; a normal
c.-2; an inferior
d.2; a normal
Suppose George's income decreases by 10%. As a result, the quantity of Good X George demands increases by 20%. George's income elasticity for Good X is -2 , and Good X is an inferior good.
In the term of financial economic and business, the Income elasticity of demand generally can be defined as the quantity demanded of a particular product. In economic, income elasticity depends not only on its own price and on the price of other related products. Income elasticity also depend on other factors such as income. if George income decreases by 10%the quantity demanded for a good increased by 20%, then the income elasticity of demand would be 20%/10% = 2.
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A survey regarding work/life balance was circulated throughout an IT company. The instructions before the surveyread as follows: "Improvement of the quality of work life for employees is an essential category that is being discussed by the management; however, we would like you, the employees, to provide your two cents, through this survey, such that we could implement improvements based on your requirements." Identify the appropriate stylistic change to this text to ensure clear and concise writing.A) Add additional text that says, "Actions speak louder than words" to encourage employees to take the survey.B) Replace the word "however" with "hereupon" to make the text sound more sophisticated.C) Break the sentence into shorter sentences to increase the clarity of the message.D) Hyphenate words such as "work-life" and "two-cents" to follow correct grammatical syntax
Option (C), "Break the sentence into shorter sentences to strengthen the clarity of the message," is the appropriate choice when taking the passage into account.
What is a message?A message is a concise piece of communication that the source intends for a specific recipient or set of recipients to read.
There are several ways to send a message, such as a courier, telegraphy, carrier pigeon, and electronic bus.
A broadcast's content could be a message.
A conversation is an interactive flow of messages.
A press release, which can range from a brief report or statement made by a governmental agency to commercial publicity material, is one type of message.
In light of the passage, option (C), "Break the sentence into shorter sentences to increase the clarity of the message," is the best one.
Therefore, option (C), "Break the sentence into shorter sentences to strengthen the clarity of the message," is the appropriate choice when taking the passage into account.
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Caribbean Cruise Line offers the most luxurious vacation you can buy. You will escape your worries and return ready to tackle life again. Is this advertising focusing on features or benefits?
Choose the answer.
Question 15 options:
benefits
features
Which of the following is not a strategic implication of location decisions?
a. Impact availability of raw materials.
b. Impact availability of finished goods.
c. Impact company flexibility.
d. Impact operating cost.
Impact company flexibility is not a strategic implication of location decisions.
The proximity and accessibility of suppliers might have an impact on the availability of raw materials. By reducing lead times and lowering transportation costs, a position close to raw material suppliers can increase the accessibility of raw resources. By altering customer accessibility and closeness, location considerations can also have an impact on the availability of finished items.
Reduced lead times and cheaper transportation costs can improve the delivery of finished items to clients from a location close to them. By altering expenditures like labour, taxes, and energy, location considerations can also have an impact on operating costs. Lower operating expenses can boost profitability and competitiveness in a given area.
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FILL IN THE BLANKconsumer choice is influenced not only by the ____ utility that extra units of a good will yield, but also by how much ____ must be given up to obtain extra units of the good.
The amount of satisfaction that must be sacrificed in order to receive additional units of a good has an impact on consumer choice in addition to the marginal utility that these additional units will produce.
How does marginal utility work?
To predict how much of a good buyers will buy, economists use the concept of marginal utility. Positive marginal utility happens when the consumption of an additional item increases the overall utility. On the other hand, when one more unit is used and the overall utility decreases, negative marginal utility results.
The marginal utility of a good, which decreases with each additional unit of consumption in accordance with the law of declining marginal utility, determines the price a customer is prepared to pay for it. As a result, a regular good's price drops as consumption rises.
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One of the considerations when relying exclusively on cost-effectiveness analysis (CEA) to determine whether a category of people receives an expensive, potentially life-saving, intervention is:
a. CEA determines the efficient threshold above which treatments are unnecessarily expensive.
b. CEA studies are subjective and rely on the judgment of clinicians and researchers.
c. CEA studies are considered the gold standard as far as evaluation studies are concerned.
d. CEA ignores the possibility that certain unidentified individuals in a group may have a greater than normal positive response to the treatment.
e. CEA studies take a long time to conduct and are expensive to evaluate.
When relying solely on cost-effectiveness analysis (CEA) to decide whether a group of individuals receives an expensive, potentially life-saving intervention, one thing to keep in mind is that CEA establishes the efficiency threshold at which treatments become unduly expensive.
What does a cost-effectiveness analysis (CEA) entail?In order to evaluate the costs and health effects of one or more interventions, cost-effectiveness analysis is used. By evaluating how much it costs to obtain a unit of a health outcome, like a life year gained or a death prevented, it compares an intervention to another intervention (or the status quo).
What are the fundamental actions in carrying out a cost-effectiveness analysis?In a nutshell, there are three main steps. The first step entails outlining the program's workflows and listing all of its resources. Second, determine the amount of each resource used. Third, give each resource a unit cost value and add them together to get total expenses.
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which of the following is a set of criteria that consumers use to quickly and efficiently select from among several alternatives
In marketing, consumer decision rules is the set of criteria that consumers use to quickly and efficiently select from among several alternatives.
What dost most consumer decision rule entails?Consumer decision rules refer to a set of guidelines or criteria that consumers use to make purchasing decisions. These rules help consumers simplify and prioritize their choices, and make a decision based on the information available to them.
Some common consumer decision rules include:
Maximize utility: Consumers try to get the most satisfaction or benefit from their purchase.Minimize regret: Consumers try to minimize the regret or disappointment they may feel after making a decision.Satisfice: Consumers look for the first option that meets their minimum requirements and stop searching.Elimination by aspects: Consumers eliminate options based on specific criteria until only one remains.Anchoring and adjustment: Consumers start with an initial reference point and then adjust their expectations based on the information available etc.Read more about consumer decision
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You have decided to use Holland's Typology of Personality and Congruent Occupations to help your friends recognize which jobs they would be well-suited for. Monica is shy, stable, and persistent. Neil is ambitious and energetic and likes to dominate conversations. Jessica is idealistic, impractical, and very imaginative.
My study of Holland's Typology of Personality and Congruent Occupations has led me to the conclusion that Monica's personality type is realistic given the facts in the question.
This is due to the fact that a Realistic personality type is described as being timid, sincere, persistent, steady, conforming, and practical on the typology chart. Many of these qualities apply to Monica.
According to John Holland's Theory of Career, individuals tend to pick careers and professions where they will be surrounded by other people who share their interests; an environment where they may develop and improve their talents and abilities.
The theory is organized into six categories of personality, including:
Investigative
realism
Creative
Social Entrepreneurial
Conventional
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In a SWOT analysis, good product quality, low debt, and an established supplier network are examples of internal ________.a.strengthsb.targetsc.weaknessesd.threatse.opportunities
The Correct option is A. In a SWOT analysis, good product quality, low debt, and an established supplier network are examples of internal strengths.
SWOT evaluation (or SWOT matrix) is a strategic making plan and strategic control technique used to assist someone or an enterprise discover Strengths, Weaknesses, possibilities, and Threats associated with commercial enterprise competition or project-making plans. it is sometimes known as situational evaluation or situational analysis. additional acronyms using identical additives encompass TOWS and WOTS-UP.
This technique is designed to be used in the initial ranges of selection-making methods and can be used as a tool for assessment of the strategic position of agencies of many sorts (for-profit enterprises, nearby and countrywide governments, NGOs, and so on.). it's far meant to pick out the inner and external factors that are favorable and unfavorable to reaching the targets of the project or challenge.
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Deliberate Speed Corporation (DSC) was incorporated as a private company. The company's accounts included the following at June 30: Accounts Payable $ 29,000 Buildings 159,000 Cash 39,500 Common Stock 150,000 Equipment 150,500 Land 239,000 Notes Payable (long-term) 3,500 Retained Earnings 418,300 Supplies 12,800 During the month of July, the company had the following activities: a. Issued 5,800 shares of common stock for $580,000 cash. b. Borrowed $111,000 cash from a local bank, pliyable in two years. c. Bought a building for $290,500; paid $104,000 in cash and signed a three-year note for the balance. d. Paid cash for equipment that cost $217,000. e. Purchased supplies for $30,250 on account.
To summarize the journal entry effects from part 2, we can use T-accounts to show the changes in each account.
Issuance of Common Stock
Common Stock:
Debit: $580,000
Credit: $580,000
Cash:
Debit: $580,000
Credit: $580,000
Borrowing from a local bank
Notes Payable:
Debit: $111,000
Credit: $111,000
Cash:
Debit: $111,000
Credit: $111,000
Purchase of Building
Buildings:
Debit: $290,500
Credit: $290,500
Cash:
Debit: $104,000
Credit: $104,000
Notes Payable:
Debit: $186,500
Credit: $186,500
Purchase of Equipment
Equipment:
Debit: $217,000
Credit: $217,000
Cash:
Debit: $217,000
Credit: $217,000
Purchase of Supplies
Supplies:
Debit: $30,250
Credit: $30,250
Accounts Payable:
Debit: $30,250
Credit: $30,250
A T-account is a visual representation of a ledger account, and it shows debits on the left and credits on the right. These T-accounts show the changes in the balances of each account as a result of the five transactions in July.
Here is the calculation:
Issuance of Common Stock
Common Stock: $150,000 + $580,000 = $730,000
Cash: $39,500 + $580,000 = $619,500
Borrowing from a local bank
Notes Payable: $3,500 + $111,000 = $114,500
Cash: $619,500 + $111,000 = $730,500
Purchase of Building
Buildings: $159,000 + $290,500 = $449,500
Cash: $730,500 - $104,000 = $626,500
Notes Payable: $114,500 + $186,500 = $301,000
Purchase of Equipment
Equipment: $150,500 + $217,000 = $367,500
Cash: $626,500 - $217,000 = $409,500
Purchase of Supplies
Supplies: $12,800 + $30,250 = $43,050
Accounts Payable: $29,000 + $30,250 = $59,250
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Fill in the blankA function of a(n) ____ is to raise money to help elect individuals who regard their organization positively or to promote a particular issue related to their industry.
A function of a Political Action Committee (PAC) is to raise money to help elect individuals who regard their organization positively or to promote a particular issue related to their industry.
PACs are established by corporations, labor unions, and other organizations to engage in political advocacy and influence the outcome of elections. They are allowed to raise unlimited funds from individuals and spend unlimited sums to influence elections.
The main purpose of a PAC is to provide a way for groups with a common interest to pool their resources and advocate for their cause in the political arena. PAC's play a significant role in American politics and often have a large impact on election outcomes.
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The manager of a private limousine service is interested in implementing the principles of administrative management, which involves. Multiple Choice: A.doing time motion studies B.focusing on efficiency and effectiveness C.increasing synergy D.managing the total organization
Core elements of administrative management include utilization of a formalized administrative structure, a clear division of labor, and delegation of power and authority to directors applicable to their areas of responsibilities.
What are the concepts of administrative administration via Henri Fayol?The first seven ideas are Division of Work, Authority, Discipline, Unity of Command, Unity of Direction, Subordination of Individual Interests to the General Interest, and Remuneration
This 14 ideas of management are used to manage an organization and are recommended for prediction, planning, decision-making, corporation and technique management, manage and coordination.
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https://brainly.com/question/5079388#SPJ4this level of commercial business sector classification is used for all data that does not fit in one of the higher classifications and its disclosure does not have a serious negative impact on the organization. sensitive for office use only unclassified public T/F
All information that does not fall under a higher classification and whose publication will not significantly harm the organization is classified at this level under the commercial business sector. True, sensitive information is only for office use.
What degrees of classification do commercial data fall under?Commercial organizations may adopt these, but the most common levels are Restricted, Confidential, Internal, and Public.
Which private sector commercial company data classification is utilized to regulate information?Information about specific individuals is protected using the commercial business/private sector data categorization of private.
Which data classification normally carries the largest risk of harm in the event of an unauthorized disclosure?When an illegal disclosure, modification, or destruction of data could put the University or its affiliates at serious risk, the data is categorized as Tier I—Confidential.
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T/F? In a worksheet, the first set of columns immediately following the account titles is for the adjusted trial balance.
The statement is True. In a worksheet, the first set of columns immediately following the account titles is for the adjusted trial balance.
Tribulation stability is a list of all the general ledger accounts contained within the ledger of a commercial enterprise. This listing will include the call of every nominal ledger account and the fee of that nominal ledger stability. each nominal ledger account will hold either debit stability or credit stability.
An ordeal balance is a list of credit score entries and debit entries that groups use to internally audit their double-access accounting systems. The aim is to affirm that the sum of all debits equals the sum of all credits and pick out whether any entries have been recorded inside the incorrect account. Trial balance is a worksheet in bookkeeping that includes ledger stability compiled in sections of debit and credit. This worksheet is used for creating the balance sheet. The practice of trial stability is to make certain mathematical correctness of the transactions recorded.
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Compare the role of grocery sales in Amazon and Walmart’s business strategies.
Grocery sales play a significant role in the business strategies of both Amazon and Walmart.
For Amazon, grocery sales are an important part of its strategy to become a one-stop-shop for all customer needs. The company has been investing in its grocery delivery services, such as Amazon Fresh and Prime Now, to provide customers with fast and convenient access to groceries. Amazon is also experimenting with different grocery formats, such as Amazon Go, to provide customers with an innovative shopping experience. By integrating grocery sales into its overall business strategy, Amazon aims to increase customer loyalty and drive more frequent purchases.
On the other hand, grocery sales have been the backbone of Walmart's business strategy for many years. Walmart is the largest grocery retailer in the US, and its grocery business accounts for a significant portion of its overall revenue. The company has been investing in technology to improve its grocery offerings and provide customers with an efficient and convenient shopping experience. Walmart has also been expanding its grocery delivery and pickup services to reach customers in more markets. By focusing on its grocery business, Walmart aims to drive foot traffic to its stores and increase customer loyalty.
In conclusion, both Amazon and Walmart view grocery sales as an important part of their business strategies. While Amazon is leveraging its grocery offerings to increase customer loyalty and drive frequent purchases, Walmart is relying on its grocery business to drive foot traffic to its stores and increase customer loyalty.
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If Roten Rooters, Inc., has an equity multiplier of 1.37, total asset turnover of 1.37, and a profit margin of 10.50 percent. What is its ROE?
5.32%
19.71%
17.74%
18.92%
21.68%
The Return on Equity (ROE) is 18.92% in this case. Return on equity (ROE) is a measure of a company's profitability that shows how much profit the company generates with the money that shareholders have invested.
To calculate ROE, you need to know the company's net income, total equity and total assets. In this scenario, Roten Rooters, Inc. equity multiplier of 1.37, total asset turnover of 1.37 and a profit margin of 10.50 percent. Using this information, we can calculate a company's ROE by dividing the company's net income by its total equity.
ROE = Profit Margin x Total Asset Turnover x Equity Multiplier
ROE = 10.50% x 1.37 x 1.37
ROE = 18.92%
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it is not always expedient for the government to make a direct investment in an industry. another way that government can support research is through cooperative investment. which of the following is an example of a cooperative government research investment in the u.s.?
It is not always expedient for the government to make a direct investment in an industry. D. all of the above are examples of a cooperative government research investment in the u.s.
What is investment ?A purchase made with the intention of creating income or capital growth is known as an investment. An asset's value increasing over time is referred to as appreciation. When a person invests in a good, they do not intend to utilise it as a source of immediate consumption, but rather as a tool for future wealth creation.
Hence all the given options are correct.
The proper question is "It is not always expedient for the government to make a direct investment in an industry. Another way that government can support research is through cooperative investment. Which of the following is an example of a cooperative government research investment in the U.S.?
a. United for Medical Research
b. the National Academy of Scientists
c. the Agriculture and Food Research Initiative
d. all of the above"
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a coffee shop gives customers a free donut after every 6 coffee purchases. this is an example of what kind of reinforcement schedule
An example of a fixed-ratio reinforcement plan is a coffee shop that offers clients a free donut after six coffee purchases. After a predetermined number of responses, a fixed ratio plan gives reinforcement.
Fixed ratio schedules cause high reaction rates up until a reward is given, after which there is a break in behavior. A schedule known as fixed-ratio reinforcement provides reinforcement to a subject after a predetermined number of responses. It is one of the four partial reinforcement schedules that B.F. Skinner, the inventor of operant conditioning, recognized. Operant conditioning uses rewards and penalties to steer conscious behavior in one direction or the other.
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Problem 3. Use AD-AS model to analyze how the following shocks will affect economic activity in short and long run; for each shock: illustrate changes that will occur using AD-AS graph, in short run and explain why each curve shifts, Determine how the prices and output will be affected in short run, Mark the output gap on the diagram. Is the output gap positive or negative? and On the same diagram illustrate how the economy will adjust in the long run and explain the mechanism, Determine how the prices and output will be affected in long run.The shocks are:a. The government reduces expenditure on national defenseb. Consumers become optimistic about their future earnings and start consuming morec. The central bank decides to print more moneyd. A country the US trades with experiences a recessione. The government raises unemployment benefits
In each graph, the initial aggregate demand (AD0), short-run (SRAS0), and long-run (LRAS0) supply curves cross at point A with the initial price level (P0), and the real GDP (= potential GDP), respectively.
(A) The aggregate demand declines when government spending goes down. Lower aggregate demand causes the AD curve to move to the left, lowering real GDP and the price level, and creating a recessionary gap. As AD drops in the following graph, AD0 shifts to the left to become AD1, crossing SRAS0 at point B with a lower price level P1 and a lower real GDP Y1, causing a recessionary gap that is equal to (Y0 - Y1) in the near run.
In the long run, reduced prices lower the cost of inputs, increasing firm output and production. As aggregate supply rises, the short-term AS curve moves to the right, lowering prices and raising output. In the subsequent graph, when companies increase production, SRS0 shifts to SRAS1 on the right, intersecting AD1 at point C with an even lower price level P1, and bringing real GDP back to Y0's potential GDP, closing the recessionary gap.
(B) Higher current consumption will boost overall demand and move the AD curve to the right, raising price levels and real GDP and causing a short-term inflationary gap. In the graph below, when AD0 moves to the right to become AD1, it crosses SRAS0 at point B with a higher price level P1 and a higher real GDP Y1, generating an inflationary gap in the short term equal to (Y1 - Y0).
Long-term price increases will increase input costs, which will cause companies to lower output and overall supply, pushing the SRAS to the left. The new long-term equilibrium will be at an even higher price, but real GDP will be equal to potential GDP, erasing the short-term inflationary gap. In the graph, the short-run inflationary gap is eliminated as SRAS0 shifts left to SRAS1, intersecting AD1 & LRAS0 at point C with an even higher price P2. Real GDP is then restored to its potential GDP of Y0.
(C) An expansionary monetary policy raises the money supply, which raises aggregate demand and moves the AD curve to the right, raising real GDP and price level and causing a short-term inflationary gap. In the graph below, when AD0 moves to the right to become AD1, it crosses SRAS0 at point B with a higher price level P1 and a higher real GDP Y1, generating an inflationary gap in the short term equal to (Y1 - Y0).
Long-term price increases will increase input costs, which will cause companies to lower output and overall supply, pushing the SRAS to the left. The new long-term equilibrium will be at an even higher price, but real GDP will be equal to potential GDP, erasing the short-term inflationary gap. When SRAS0 shifts left to SRAS1, intersecting AD1 & LRAS0 at point C with an even higher price P2, the short-run inflationary gap is eliminated, and real GDP is returned to the potential GDP of Y0.
(D) Export demand declines and overall demand declines when a trading partner undergoes a recession. Lower aggregate demand causes the AD curve to move to the left, depressing real GDP and the price level in the short run and creating a recessionary gap. As AD declines in the accompanying graph, AD0 shifts to AD1 on the left, crossing SRAS0 at point B with a lower price level P1 and a lower real GDP Y1, causing a recessionary gap equal to (Y0 - Y1).
In the long run, reduced prices lower the cost of inputs, increasing firm output and production. As aggregate supply rises, the short-term AS curve moves to the right, lowering prices and raising output. In the graph that follows, as companies increase production, SRS0 changes to SRAS1, intersecting AD1 and LRAS0 at point C with an even lower price level P1, bringing real GDP back to the level of Y0's potential GDP and closing the recessionary gap.
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True or False? Marginal analysis states that financial decisions should be made and actions taken only when added benefits exceeds added costs.
According to marginal analysis, financial decisions and actions should only be made when additional benefits outweigh additional costs. This statement is true.
The marginal analysis states that financial decisions should be made and actions are taken only when the added benefits of a particular decision or action exceed its added costs.
In other words, it advocates for making decisions at the margin, i.e., by comparing the incremental benefits and costs of a particular choice. This is because the opportunity cost of a decision is the next best alternative that must be forgone in order to pursue a particular choice.
Therefore, making decisions based on a comparison of the marginal benefits and costs helps to ensure that the most efficient and effective choices are made.
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The Law of Diminishing Returns suggests that
Select one:
a.
as the number of workers increases, a company first goes through a "crowding" phase and then goes through a "teamwork" phase.
b.
total product (or output) will continue to increase even if marginal product becomes negative.
c.
the productivity of a company's factories will decrease as the number of employees increase.
d.
the productivity of an additional worker eventually decreases as the total number of workers rises.
C. The productivity of a company's factories will decrease as the number of employees increases.
lakeesha wants to create a sustainable employee recognition program for her office. in keeping with the concepts of sustainability, which of the following is most likely to be successful?
In the case where Lakeesha wants to create a sustainable employee recognition program for her office. In keeping with the concepts of sustainability, the concept that is most likely to be successful is the concept of social equity sustainability.
Employee recognition is a complete overall rewards programme, which encompasses remuneration, benefits, performance, work-life and recognition programmes, and professional development opportunities as a crucial element. Each element of a whole rewards programme works to help an organization's employees with recruitment, retention, engagement, and motivation. A crucial chance to seize opportunities to provide employees a strong benefit may be lost if even one element is absent.
Employee recognition should be viewed by businesses as a strategic advantage and a crucial differentiator in a whole incentives strategy, boosting the organization's capacity to recruit and keep superior workers. Employee recognition should be seen as a long-term investment that promotes the firm as a top employer and helps develop the employer's brand.
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Companies that use debt in their capital structure are said to be using financial leverage. Using leverage can increase shareholder returns, but leverage also increases the risk that shareholders bear.
Consider the following case:
Wizard Co. is a small company and is considering a project that will require $550,000 in assets. The project will be financed with 100% equity. The company faces a tax rate of 25%. What will be the ROE (return on equity) for this project if it produces an EBIT (earnings before interest and taxes) of $140,000?
15.27%
11.45%
19.09%
20.04%
If Wizard Co. is financed with 100% equity, the ROE will be equal to the return on the project, since there is no financial leverage involved. Therefore, the answer is an option (c) 19.09%.
What exactly is ROE?ROE stands for "return on equity." It is a financial ratio that measures how much profit a company generates with the money shareholders have invested in the company.
ROE is calculated by dividing a company's net income by its total equity. Net income is the company's total revenue minus all of its expenses, including taxes and interest. Total equity represents the total amount of money that shareholders have invested in the company, including any retained earnings that the company has accumulated over time.
The return on the project can be calculated as,
EBIT - taxes / total equity invested in the project.
EBIT - taxes = $140,000 - 0.25 x $140,000
= $105,000
Total equity invested in the project = $550,000
ROE = $105,000 / $550,000
= 19.09%
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Two years ago, Troy invested $11,400.00. Today, he has $12,200.00. If Troy earns the same annual rate implied from the past and current values of his invsetment, then in how many years from today does he expect to have exactly $20,100.00 a. 28.99 years (plus or minus 0.05 years) b. 14.72 years (plus or minus 0.05 years) c. 16.72 years (plus or minus 0.05 years) d. 25.12 years (plus or minus 0.05 years) e. None of the above is within .05 percentage points of the correct answer
Troy will anticipate having exactly $20,100 in (B) 14.72 years (plus or minus 0.05 years).
The worth of an asset or investment as of a future date is known as its future value. The amount that an investment will be worth, assuming a given rate of return, after a certain amount of time is known as the future value. (interest rate).
Present value (PV) is the current value of a future financial asset or stream of cash flows, given a specified rate of return. Applying a discount rate or the interest rate that could be obtained through investing to the future value yields the present value.
Computation of Rate of Interest Earned:
FV = Future Value = 12,200
PV = Present Value = 11,400
r = rate of interest = ?
n = no of period = 2 years
⇒ FV / PV = (1 + r)ⁿ
⇒ 12200 / 11400 = (1 + r)²
⇒ 1.07 = (1 + r)²
⇒ r = 3.45%
Time is taken to reach $20,100
⇒ FV / PV = (1 + r)ⁿ
⇒ 20100 / 12200 = (1 + 3.45)ⁿ
⇒ 1.65 = (1 + 3.45)ⁿ
⇒ 1.65 = (1.035)ⁿ
⇒ n = 14.72 years
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