Suppose the economy is initially in long-run equilibrium and producing at the full employment level of output. Then, a giant storm temporarily shuts down all shipping routes in the Atlantic Ocean. In the short run, the_______ will shift ______ .

a. SRAS curve
b. right SRAS curve
c. left LRAS curve
d. right LRAS curve
e. left AD curve

Answers

Answer 1

Answer: SRAS curve; Left

Explanation:

In the short run, the Short Run Aggregate Supply Curve will shift to the left to show that supply has now reduced as all the shipping routes have been shut down on account of the storm and nothing can cross.

This will change the price of goods and services in the economy as things will become more expensive due to the short term scarcity caused by the shipping halt.


Related Questions

The financial statements of Georgi Manufacturing Company report net sales of $595,000and accounts receivable of $80,000 and $60,000 at the beginning and end of the year,respectively. What is the average collection period for accounts receivable in days?

Answers

Answer:

43 days

Explanation:

The first step is to calculate the account receivable turnover

= $595,000/($80,000+$60,000)/2

= 595,000/140,000/2

= 595,000/70,000

= 8.5

Therefore the average collection period can be calculated as follows

= 365 /8.5

= 42.9

= 43 days

Hoagland Corp's stock price at the end of last year was $22.50, and its book value per share was $25.00. What was its market/book ratio?

Answers

Answer:

0.9

Explanation:

Hoagland corporation stock price is $22.50

Its book value per share is $25.00

Therefore the market book ratio can be calculated as follows

= 22.50/25

= 0.9

Hence the market book ratio is 0.9

A coffee shop's production function is given by Q = KL, where MPL = K and MPK = L. The barista wage rate is $10 and the rental per square foot is $15. In the short run, store size is fixed at 500 square feet. The short-run average total cost of serving 1,500 cups of coffee is $_____.

a. 2.34
b. 6.03
c. 5.02
d. 0.63

Answers

Answer:

c. 5.02

Explanation:

Q = KL

Wage rate = 10

Rental = 15

In the short run

K = 500

Such that

Output Q = 1500 = KL

1500 = 500L

L = 1500/500

L = 3

Then the total cost

= 10(3)+15(500)

= 30 + 7500

= 7530

The average total cost

= Total cost/output

= 7530/1500

= 5.02

In conclusion the short run average total cost of serving 1500 cups of coffee is 5.02. therefore option c is the answer to the question

ILL GIVE BRAINLIEST HELP ASAP AHH

Select the correct answer.

What are the forms of financial exchange?

( Bankers’ deposits, Currency, Online banking) is a form Of financial exchange that involves the use of credit and debit cards. (Deposit money, Currency, Online banking) is a form of financial exchange that involves the use of checks.


Please help!!!!!

Answers

Answer:

Online banking is a form of financial exchange that involves the use of credit and debit cards. Deposit money is a form of financial exchange that involves the use of checks.

Explanation:

PLATO user here

What should every potential investor secure first before starting an investment plan?​

Answers

Before you make any decision, consider these areas of importance:

Draw a personal financial roadmap. ...

Evaluate your comfort zone in taking on risk. ...

Consider an appropriate mix of investments. ...

Be careful if investing heavily in shares of employer's stock or any individual stock. ...

Create and maintain an emergency fund etc.

The quality tool which shows that most quality problems are the result of only a few causes (aka 80-20 rule) is:____________

Answers

Answer:

Pareto principle or pareto analysis

Explanation:

This is the Pareto principle. This principle is named after an economist called vilfredo pareto. The specifications of the principle is that 80% of consequences are as a result of 20% of the causes. Giving us an unequal relationship existing between input and also outputs.

One good principle of this 80% to 20% rule is the identification of the best assets of an entity and the efficient usage in the creation of maximum value.

The American Opportunity tax credit:_____. A. is 50% of the first $1,200 of tuition and fees paid and 100% of the next $1,200. B. Is available for 2 years of post-secondary education. C. Is available for qualifying expenses paid on behalf of the taxpayer and his or her spouse, in addition to those paid for dependents. D. Is fully refundable even if the credit exceeds the tax liability.

Answers

Answer:

C. Is available for qualifying expenses paid on behalf of the taxpayer and his or her spouse, in addition to those paid for dependents

Explanation:

American Opportunity tax credit was called the HOPE credit. It is available for the first four years of an individual's post secondary school education.

It covers 100% of the first $2,000 cost for tuition, fees, books, and course material.

Items that do not qualify are room and board, transportation cost and personal expenses.

The tax credit is available for qualifying expenses paid on behalf of the taxpayer and his or her spouse, in addition to those paid for dependents.

Windsor Inc. purchased land at a price of $34,900. Closing costs were $2,070. An old building was removed at a cost of $14,020. What amount should be recorded as the cost of the land

Answers

Answer:

the amount that recorded as the cost of the land is $50,990

Explanation:

The computation of the amount that recorded as the cost of the land is shown below

= Purchase price of the land + closing cost + removing cost of an old building

= $34,900 + $2,070 + $14,020

= $50,990

Hence, the amount that recorded as the cost of the land is $50,990

We simply applied the above formula so that the correct value could come

And, the same is to be considered

A single bond with a face value of $1,000 has a stated annual interest rate of 7.6%. The last bond traded on this day was 98.45%. Determine the cost of bond at closing.

Answers

Answer:

$984.50

Explanation:

Cost of bond at closing = Par value * % Bond traded last

Cost of bond at closing = 1000 * 98.45%

Cost of bond at closing = $984.50

Thus,  the cost of bond at closing is $984.50

Beginning inventory cost $2,000. The factory put $10,000 worth of direct materials into production and spent $5,000 on direct labor and another $4,000 on overhead. At the end of the year, you counted $3,000 worth of ending inventory. What is the cost of goods manufactured?

Answers

Answer:

$18,000

Explanation:

Beginning inventory is $2000

Purchased during inventory is $10,000+$5,000+$4,000= $19,000

Ending inventory is $3000

Therefore the cost of goods manufactured can be calculated as follows.

= $2,000+$19,000-$3,000

= $21,000-$3,000

= $18,000

Hence the cost of goods manufactured is $18,000

Pension funds pay lifetime annuities to recipients. If a firm will remain in business indefinitely, the pension obligation will resemble a perpetuity. Suppose, therefore, that you are managing a pension fund with obligations to make perpetual payments of $3.5 million per year to beneficiaries. The yield to maturity on all bonds is 17.5%.

Required:
a. If the duration of 5-year maturity bonds with coupon rates of 16% (paid annually) is 4 years and the duration of 25-year maturity bonds with coupon rates of 9% (paid annually) is 16 years, how much of each of these coupon bonds (in market value) will you want to hold to both fully fund and immunize your obligation?
b. What will be the par value of your holdings in the 25-year coupon bond?

Answers

Answer:

Duration of liability (perpetual) = (1 + y) / y

= (1 + 17.5%) / 17.5%

= 6.71

Value of liability = Cash Flow / yield

= $3.5 million / 17.5%

= $20 million

a. Assume you invest w in 5-year bond and 1-w in 25-year bond such that the duration of the portfolio is 6.71

6.71 = w x 4 + (1 - w) x 16

w = (16 - 6.71) / (16 - 4)

w = 77% in 5-year bond

1 - w = 28% in 25 year bond

Market Value of 5 year bond = 77% * $20 million = $15.4 million

Market Value of 20 year bond = 23% * $20 million = $4.6 million

b. Market Price of 20 year bond can be calculated using PV function on a calculator

N = 25, I/Y = 17.5%, PMT = 9, FV = 100

Price = Present Value (25,17.5%, 9 ,100)

Price = 52.29042644

Price = $52.30

Par Value of 25 year bond = Market Value /% Price

Par Value of 25 year bond = $4.6 million / 50.83%

Par Value of 25 year bond = $9,049,774

You are the CFO of Rock Inc, a young start-up. The company has not generated positive cash flows for the past three years and you estimate that it will take at least another 2 years for the company to become cash flow positive. To fund the next phase of growth, what should be a better source of capital, debt or equity? Why?

Answers

Answer:

Equity

Explanation:

The choice should be very straight forward, the company doesn't generate enough cash, and if it takes debt, it will not be able to pay it back. The only choice for raising capital is through issuing equity.

This is something normal for many startups, e.g. FB, Amazon, Google, etc., all got financed through equity for several years before being able to issue debt.  Of course debt is cheaper than equity, but it also poses a risk for the company.

What is the effect of the write-off of uncollectible accounts (using the Allowance Method) on:

a. Net Income
b. Net Accounts Receivable

Answers

Answer:

a. Decreases the net income

b. Decreases the Net account receivable balance

Explanation:

To write off the uncollectible account we pass the following journal entry

Dr. Allowance for doubtful accounts $x,xxx

Cr. Accounts receivables                    $x,xxx

The above entry has the following impacts.

a.

It decreases the net income value as the Allowance for uncollectible account balance reduces as a result. At the end of the period the adjustment of Allowance uncollectible accounts of increases which is recorded as below

Dr. Bad Debt Expense                               $x,xxx

Cr. Allowance for uncollectible accounts $x,xxx

b.

It decreases the accounts receivable balance as we credit the account receivable balance to remove the outstanding balance of uncollectible accounts.

Various studies indicate that cost savings from a TMS helps an organization reduce freight costs by:____

Answers

Answer:

6 - 10%

Explanation:

The full form of a TMS system is Transportation management system. It is majorly used in supply chain system in large organizations. It is considered to be one of the major technologies that is used in the supply chain management.

It is a logistic platform which used the technology to execute business plan and optimize the movements of incoming and outgoing  of the goods and materials to make the shipment process more efficient and smooth.  

In various studies made, it has been indicated or determined that a TMS system helps the organization to reduce the freight cost by 6 - 10 percent.

The risk-free rate is 2.2 percent and the market expected return is 11.9 percent. What is the expected return of a stock that has a beta of .86?

Answers

Answer:

the expected return of a stock is 10.542%

Explanation:

The computation of the expected return on a stock is shown below:

Expected return on stock is

= Risk free rate + beta × (market rate of return - risk free rate)

= 2.2% + 0.86 × (11.9% - 2.2%)

= 2.2% + 0.86 × 9.7%

= 2.2% + 8.342

= 10.542%

hence, the expected return of a stock is 10.542%

We simply applied the above formula so that the correct value could come

And, the same is to be considered

As the Chief Marketing Office (CMO) for a $100 million product company you need to lead the development of marketing plan for the company for the upcoming fiscal year.

Required:
a. What are the key success factors for the marketing plan process for the company?
b. Briefly describe the key elements of a strategic marketing plan.

Answers

Answer:

b

Explanation:

describe the elements of a strategic marketing plan

How is owner’s equity affected when cash is received from sales?

Answers

Answer:

Owner's Equity goes up

Explanation:

In the case when there is a cash received from sales, so the journal entry would be

Cash Dr

        To Sales revenue

(Being cash received is recorded)

Here cash is debited as it increased the assets, and the sales revenue is credited as it increased the revenue

since the revenue is increased so the equity is also increased as the expense and revenue is the part of an equity

Therefore the owner equity is increased

Question 4 of 10
Phillip wanted to open a high end Italian restaurant. Based on the law of
supply and demand, which is the best place for him to open such a
restaurant?
O
A. In an area where there are no high end Italian restaurants
B. As close to his hometown as possible
O
C. Wherever the cost of leasing space is lowest
D. In an area where there are lots of Italian restaurants
SUBMIT

Answers

Answer: A. in an area where there are no high end italian restaurants.

Explanation: just took the quiz!

The correct option is A. Based on the law of supply and demand, the best place for him to open such a restaurant is an area where there are no high-end Italian restaurants.

What are demand and supply in business?

Demand is the quantity of a product that consumers are willing to purchase at various price points. The quantity of a product that firms are willing to sell at various prices is known as the supply. Markets come in a wide variety of forms.

The link between supply and demand is crucial because it helps to establish the costs and availability of the majority of goods and services in a given market. The interplay between supply and demand eventually balances out in accordance with the tenets of a market economy.

Thus, the ideal selection is A.

Learn more about the law of supply and demand here:

https://brainly.com/question/11455813

#SPJ2

Which is “harder” on a car, highway miles or city miles? Why?

Answers

City miles because it makes the car have to drive at different speeds, and be stopped in traffic with several small stops and turns, whereas a highway mile is just a straight path driving at a constant speed.

What does Mrs. Morningstar say that Sancho and Bolsa couldn't find in a porta-potty?
toilet paper
a polar bear
an elephant

Answers

Answer:

its polar bear

Explanation:

i did the test on edge

According to the fragment of scene 6 of Sancho and Bolsa, it can be inferred that Mrs. Morningstar told Sancho and Bolsa that they could find a polar bear in a porta-potty

This story tells the story of Sancho and Bolsa two detectives who are involved in multiple situations. In the scene 6 of the story they hold a conversation with Mrs. Morningtar who says:

- Mrs. Morningstar: I won't hold my breath. You couldn't find a polar bear in a porta-potty.

According to the above, the correct response is to polar bear (option B) because these are the words Mrs. Morningstar mentiones. On the other hand she never mentionen toilet paper (option A) or an elephant (option C)

The question is incomplete because the text is missing. Here is the excerpt of the text.

- Bolsa: You can't be serious.

- Mrs. Morningstar: No, I don't know the address, but it's at the corner of Ocean and Pine.

- Bolsa: Thank you, Mrs. Morningstar. We'll let you know as soon as we find out anything.

- Mrs. Morningstar: I won't hold my breath. You couldn't find a polar bear in a porta-potty.

- Bolsa: Goodbye, Mrs. Morningstar.

- Mrs. Morningstar: And next time use the phone, don't just come by whenever you feel like it.

- Bolsa: Lovely woman.

- Sancho: Maybe William isn't really missing, maybe he just decided he didn't want to live with his aunt anymore.

Learn more in: https://brainly.com/question/13127666

Kenny Electric Company's noncallable bonds were issued several years ago and now have 20 years to maturity. These bonds have a 9.25% annual coupon, paid semiannually, sells at a price of $1,075, and has a par value of $1,000. If the firm's tax rate is 25%, what is the component cost of debt for use in the WACC calculation

Answers

Answer:

6.35%

Explanation:

Let us as a matter of preference determine the pretax cost of debt using the financial calculator approach as set out below:

N=40 (number of semiannual coupons in 20 years=20*2)

PMT=46.25 (semiannual coupon=face value*coupon rate*6/12=$1000*9.25%*6/12=$46.25 )

PV=-1075( current market price)

FV=1000( face value)

Lastly, enter CPT I/Y=4.23% (semiannual yield)

annual yield=pretax cost of debt=4.23% *2=8.46%

The after-tax cost of debt=8.46% *(1-25%)=6.35%

The after-tax cost of debt for use in WACC calculation=6.35%

How would empowering employees help deliver quality service?

Answers

Answer:

as empowering employees gives freedom and motivates them it would increase productivity and more output would be delivered

A manufacturer of acrylic and latex gloves sells to medical laboratories, to factories where employees handle chemicals, to companies that manufacture micro-tech equipment, and to cleaning services. Because it is organized to better satisfy the needs of each of its four target markets, the manufacturer uses ____ departmentalization.

Answers

Answer:

customer

Explanation:

These are the options;

matrix

product

customer

geographic

functional

From the question, we are informed about A manufacturer of acrylic and latex gloves who sells to medical laboratories, to factories where employees handle chemicals, to companies that manufacture micro-tech equipment, and to cleaning services.

In this case, Because it is organized to better satisfy the needs of each of its four target markets, the manufacturer uses customer departmentalization. Customer departmentalization is essential in an organization, it can be explained as a situation whereby the activities if a firm is always available to respond as well as interact with customers or particular customer. Customer departmentalization is nessecary in a case whereby effectively serving of groups of customer is a priority.

If the price level increases by 0.2 percent for every $100 billion increase in the money supply, by how much might prices rise if the Fed increases total reserves by $150 billion and the reserve requirement is 0.1?

Answers

Answer:

3%

Explanation:

Increase in money supply ($ billion) = Increase in reserves / Reserve ratio

Increase in money supply ($ billion) = 150 / 0.1

Increase in money supply ($ billion) = 1,500

Increase in price level = (Increase in money supply / 100) * 0.2

Increase in price level = (1,500/100) * 0.2

Increase in price level = 3%

Swifty Corporation sells one product and uses a perpetual inventory system. The beginning inventory consisted of 79 units that cost $19 per unit. During the current month, the company purchased 477 units at $19 each. Sales during the month totaled 355 units for $42 each. What is the cost of goods sold using the LIFO method

Answers

Answer:

COGS= $6,745

Explanation:

Giving the following information:

Beginning inventory= 79 units at $19

Purchase= 477 units at $19

Sales= 355 units

The units cost the same. In this case, it doesn't matter which method you use, the ending value will be the same.

COGS= 355*19= $6,745

How much should you pay for a $1,000 bond with 10% coupon, annual payments, and 5 years to maturity if the interest rate is 12%?

Answers

Answer:

Bond Price = $927.904476 rounded off to $927.90

Explanation:

To calculate the price of the bond today, we will use the formula for the price of the bond. As the bond is an annual bond, the coupon payment, number of periods and annual YTM will be,

Coupon Payment (C) = 1000 * 0.1 = 100

Total periods (n) = 5

r or YTM = 0.12 or 12%

The formula to calculate the price of the bonds today is attached.

Bond Price = 100 * [( 1 - (1+0.12)^-5) / 0.12]  + 1000 / (1+0.12)^5

Bond Price = $927.904476 rounded off to $927.90

Ellen supports her family as a self-employed attorney. She reports $90,000 of income on her Schedule C and pays $8,000 for health insurance for her family, $2,500 for dental insurance, $4,000 for health insurance for her 23-year-old daughter who is no longer a dependent, and $3,000 for disability insurance for herself. What is Ellen's self-employed health insurance deduction?

a. $8,000
b. $10,500
c. $12,000
d. $14,500
e. $13,500

Answers

Answer:

Option D

Explanation:

You can deduct the disability insurance in order to calculate the self employed health insurance deduction

Health insurance deductions will include health insurance for her family, dental insurance and health insurance for her 23-year-old daughter.

Deductions  = $8,000 + $2,500 + $4,000

Deductions = $14,500

4) On June 1, Addison Company purchased $9,000 of inventory on account from Garrison Company. Garrison offers a 5% discount if payment is received within 15 days. Addison records the purchase using the gross method and the perpetual inventory system. The journal entry on June 1 by Addison Company includes ________.

Answers

Answer: C. a debit to Inventory for $9,000

Explanation:

When recording this entry using the Gross method, inventory will be recorded at the cost not at the discounted figure. This means that in Addison's books, there will be a debit to the Inventory account of the cost price of $9,000.

There will be a corresponding credit to Accounts Payable of the same amount and if the discount is claimed, the discount will be credited to a Purchase discount account when it is being paid.

Profit is defined as total revenue:__________ a. divided by total cost. b. times total cost. c. minus total cost. d. plus total cost.

Answers

Answer:

C. Minus total cost

Explanation:

Profit = total revenue - total cost (expenses)

Rachel is going to the mall to purchase a wedding gift for a coworker. Based on research, which type of product is she likely to buy

Answers

Answer:

utilitarian

Explanation:

Utilitarian Motivation is the zeal, drive to acquire products that can be used to get, acquire or accomplish another thing/something.Usually, Utility items are bought/purchased frequently more out of need and are a regular part of the consumer's life, and buyers are price sensitive.

Consumer behavior is the search for value of goods or services and its is the transformation into something of value.

Utilitarian: seeks to helps the consumer solve problems and accomplish tasks.utilitarian value is a means to and end.

Utilitarian products

Utilitarian products usually gives benefits like practicality and functionality as they are compatible with our rational system of thinking.

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