for a company that manufactures aquarium heaters, the combined cost for labor and material is $21 per heater. fixed costs (costs incurred in a given period, regardless of output) are $70,000. if the selling price of a heater is $35, how many must be sold for the company to earn a profit?

Answers

Answer 1

The company needs to sell 5000 heaters to earn a profit.

To determine how many heaters must be sold for the company to earn a profit, we need to calculate the break-even point. The break-even point is the number of units that must be sold to cover the total costs (fixed costs + variable costs). To calculate the break-even point, we need to divide the fixed costs by the difference between the selling price and the variable costs.

In this case, the variable costs (labor and material) per heater are $21 and the selling price is $35. So, the difference between the selling price and the variable costs is $35-$21 = $14.

Therefore, the break-even point is $70,000 (fixed costs) divided by $14 (difference between the selling price and variable costs) = 5000.

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Related Questions

Kennedy Company reports the following costs and expenses in May. Factory utilities $ 16,500 Depreciation on factory equipment 12,650 Direct labor Sales salaries Property taxes on factory building Repairs to office equipment Factory repairs Advertising 23,000 Depreciation on delivery trucks Indirect factory labor Indirect materials Direct materials used Factory manager's salary Instructions 3,800 48,900 70,800 157,600 8,000 2,500 1,300 2,000 From the information, determine the total amount of:_______.

(a) Manufacturing overhead.

(b) Product costs.

(c) Period costs

Answers

The total amount of:

(a) Manufacturing overhead is $161,350.00

(b) Product costs is $398,050.00

(c) Period costs is $81,140.00.

What is manufacturing overhead?

All indirect costs incurred during the manufacturing process are referred to as manufacturing overhead. This overhead is applied to units manufactured during a reporting period.

a)

Determine the total amount of manufacturing overhead as follows:

Particulars                                      Amount(S)

Factory Utilities                             $16,500.00

Dep on Factory Equipment          $12,650.00

Indirect factory labor                     $48,900.00

Indirect materials                           $70,800.00

Factory manager salary                 $8,000.00

Property tax on factory building    $2,500.00

Factory Repairs                               $2,000.00

Total manufacturing Overhead      $161,350.00

b)

Determine the total amount of product costs as follows:

Particulars                                         Amount(S)

Direct material used                         $157,600.00

Direct labor                                       $79,100.00

Total manufacturing Overhead       $161,350.00

Total Product Cost                           $398,050.00

c)

Determine the total amount of period costs as follows:

Particulars                                   Amount($)

Dep on Delivery Truck               $3,800.00

Sales Salaries                             $48,400.00

Repairs to office equipment      $1,300.00

Advertising                                  $23,000.00

Office Supplies used                  $4,640.00

Total Period Cost                        $81,140.00

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what are primary concerns of shared value and sustainable development?

Answers

Concerns about shared values and sustainable development are primarily focused on global equilibrium, environmental repercussions, and social implications.

What are the consequences on the environment?

There are five main categories of pollution in the environment: air, water, soil, noise, and light. Environmental pollution is the contaminating of the physical and biological elements of the earth to the point that it negatively affects natural environmental processes.

What are the environmental causes and effects?

The air we breathe becomes contaminated by air pollution, which has negative health effects. The quality of the water we use for drinking is lowered by pollution. As a result of human activity, land contamination causes the surface of the earth to deteriorate.

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For most students, the largest single cost of a college education is:
a) The wages are given up to attend school,
b) Tuition, fees, and books,
c) Room and board,
d) Transportation, parking, and entertainment.

Answers

Most students, the largest single cost of a college education is the wages given up to attend school

What is the primary expense of a college education?

The average cost of attendance at a public 4-year in-state university for a student living on campus is $25,707 each year, or $102,828 over four years. Out-of-state students pay $43,421 each year, for a total of $173,684 over four years. Students at a private, nonprofit institution pay $54,501 each year, or $218,004 over four years.

In brief, the opportunity cost of attending college is the cost of tuition, any associated fees, and any lost money, experience, or enjoyment as a result of your decision to attend college.

When looking for the right college or institution, pricing is typically a major consideration. In certain situations, it may influence a student’s decision about which school to attend. Understanding the specifics of college expenses

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true or false: if there is a surplus of a product in the market, then the actual selling price of a product is above its equilibrium price.

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If there is a surplus of a product in the market, then the actual selling price of a product is above its equilibrium price. This statement is true.

Equilibrium is the situation wherein market demand and supply balance each other, resulting in stable prices. In general, an oversupply of products or services ended up causing prices to fall, resulting in increased demand, whereas an undersupply or scarcity causes prices to rise, resulting in decreased demand. The effect of demand and supply balancing results in an equilibrium state. When the supply of goods equals the demand, the market is thought to have reached equilibrium. A market in equilibrium has three characteristics: consistent agent behaviour, no rewards for agents to change their behaviour, and a dynamic system governs balance outcomes.

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one of the effects of gas prices rising from about $2 to about $4 per gallon was airlines ordering new, fuel-efficient aircraft. True or alse

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Airlines ordered brand new, fuel efficient aircraft as one of the repercussions of the increase in gas costs from approximately $2 to approximately $4 per gallon. True

Can prices drop so low that certain vendors decide to provide zero units?

The amount of an item or service that vendors were willing and capable of providing at a specific price is known as the quantity supplied. Price cannot drop to the point that some vendors decide to offer zero units. When a good's price is cheap, selling it is lucrative, which results in a high supply.

Which are the two most important causes of any economic issue?

Economic Problem Causes a lack of resources Compared to the need, resources like labor, land, and money are insufficient demand. As a result, the economy is unable to satisfy everyone's needs. Human beings have limitless expectations and desires, which means they can never be fulfilled.

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to sign an audit opinion on an entity's financial statements in the united states, an external auditor must be a(n)

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To sign an audit opinion on an entity's financial statements in the United States, an external auditor must be a(n) Certified public accountant.

In order to sign an audit opinion on an entity's financial statements in the United States, an external auditor must be a Certified Public Accountant (CPA).

CPAs must have a professional license granted by the states in which they practice, and have passed the Uniform CPA Exam.

They must also complete continuing professional education courses in order to remain licensed.

CPAs are held to high ethical and professional standards, and provide a level of assurance to the public that financial statements produced by an entity are reliable.

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The process of transferring the debits and credits from the journal entries to the accounts in the ledger is called:
a. recording.
b. posting.
c. journalizing.
d. double-entry accounting.

Answers

Posting refers to the process of transferring the debits and credits from the journal entries to the accounts in the ledger. The process of posting comes after all accounting transactions have been journalized.

What steps are involved in journalizing using debit and credit?

The process of journalizing transactions is keeping a record of all your business dealings and tracking them chronologically. Typically, this record contains the date, the account you're debiting or crediting, and a brief description of the transaction that took place.

What steps make up the ledger posting process?

The ledger, which is the main book, is where the transactions are posted once they have been noted in the journal. Ledger posting is the process of moving the entries from the journal to the appropriate ledger accounts.

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project managers are question 19 options: ultimately responsible for performance. not timid. a direct link to the customer. all of the above.

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Project managers are a) ultimately responsible for performance.

Project managers play a critical role in the successful completion of any project.

They are ultimately responsible for the performance and success of the project, and must ensure that all tasks are completed on time, within budget, and to the highest standards.

They must also manage both internal and external stakeholders, coordinate resources, and ensure that the project's goals and objectives are met.

Project managers need to be highly organized and skilled communicators, with the ability to quickly make decisions and handle any unforeseen issues that may arise.

The success of any project relies heavily on the expertise and dedication of its project manager.

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Select the four benefits received by buyers that help to create customer value.
On-time delivery, quality, convenience, before-sale and after-sale service

Answers

How much a product or service is worth to a customer value is the best way to describe customer value. It is a measurement of all the expenses and advantages related to a good or service.

What four characteristics make for good customer service?

Good customer service is based on four fundamental principles: It is proactive, professional, convenient, and tailored. The impact of these variables on the client experience is greatest. Personalized: The personal touch is the foundation of all good customer service.

Customer value: What is it?

The value of a customer can be raised by improving the quality of a good or service. In a customer's opinion, customer value is equal to perceived advantages less perceived expenses.

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Kurt decides to spend 2 hours working rather than hanging out with his friends. He earns $10 per hour for work. His opportunity cost of working is

Answers

the opportunity cost of working is $20 (the amount Kurt earns for working two hours). The opportunity cost of working is the value of the next best alternative that Kurt gave up in order to work.

What is cost ?

Cost is the amount of money that must be paid to acquire goods or services. It can also refer to the amount of money that is lost due to a particular action or decision.

In this case, it would be the value of the time he could have spent with his friends. Since it is impossible to put a monetary value on spending time with friends, the opportunity cost of working is $20 (the amount Kurt earns for working two hours).

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next, your interviewer explains that one of their clients is an online retailer that has a vast inventory. she has a list of items by name, color, and size. then, she has another list of the price of each item by size, as a larger item sometimes costs more. the stakeholder needs one list of all items by name, color, size, and price. she then says: in situations such as this one, could you use the concat function to add strings together to create new text strings?

Answers

The Concat function would allow you to "create a unique key to distinguish products" in the above scenario.

Option D is correct.

What is a concat function and why is it important?

A way to combine two or more things is called a concat function. You can use the concat function to combine two strings (a sequence of characters, like words in a sentence) like "Hello" and "World" into one: HelloWorld". If you want to display both strings simultaneously or store them in a single variable, this can be helpful.

We can easily combine various pieces of information using the Concat function to produce a more useful or simpler-to-understand final result. In general, the Concat function is a useful tool that can assist us in combining various pieces of data into a single, more useful result.

Incomplete question :

Next, your interview explains that one of their clients is an online retailer that has a vast inventory. She has a list of items by name, color, and size. Then, she has another list of the price of each item by size, as a larger item sometimes costs more. The client needs one list of all items by name, color, size, and price.

She then asks: If you were to use the CONCAT function to complete this task, what would it enable you to do?

A.Clean the product identifier text strings

B.Create a new product database table

C.Search for and return missing products in inventory

D.Create a unique key to tell products apart

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firm and markets represent the two primary modes of economic organization in the capitalist economy. [see pp.146-147] group of answer choices true false

Answers

True, the two main ways in which the capitalist economy is organised are through markets and firms. An organisation that produces goods and services is a company.

whereas a market is a system for facilitating the exchange of goods and services between buyers and sellers. In a capitalist economy, firms are viewed as the dominant method of production. In order to create goods and services, they are in charge of arranging production and coordinating the factors of production (such as labour, capital, and natural resources). Pricing, production, and distribution choices are also made by them. On the other hand, markets are thought to be the main form of allocation in a capitalist society. They are in charge of distributing resources and setting pricing in accordance with supply and demand. The effective distribution of resources results from the interaction between buyers and sellers in marketplaces.

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When the company sells 20,000 units, what is the total indirect selling expense that cannot be readily traced to individual sales representatives?

Answers

The total indirect selling expense that cannot be readily traced to individual sales representatives is $50,000.

What is indirect selling expense?

Because they don't directly contribute to the creation of a good or the provision of a service, selling expenses are listed as indirect expenses on an organization's income statement. As sales volumes rise or fall, some components can change while others stay the same.

1a Direct Material per unit                                             $7.00

 Direct Labor per unit                                             $4.00

 Direct Manufacturing cost per unit                     $11.00

 No. of units sold                                                     20,000

 Total Direct manufacturing cost                             $220,000.00

   

1b Variable manufacturing overhead per unit              $1.50

 Fixed manufacturing Overhead per unit              $5.00

 Indirect Manufacturing cost per unit                       $6.50

 No. of units sold                                                       20,000

 Total Indirect manufacturing cost                       $130,000.00

   

   

2a Direct Material per unit                                               $7.00

 Direct Labor per unit                                               $4.00

 Variable manufacturing overhead per unit               $1.50

 Fixed manufacturing Overhead per unit               $5.00

 Total Manufacturing cost per unit                       $17.50

 No. of units sold                                                       20,000

 Total Direct Costs                                                       $350,000.00

     

3a Sales Commission per unit                                       $1.00

 No. of units sold                                                       20,000

 Total Sales Commission                                      $20,000.00

 Total direct selling expense                                      $40,000.00

   

3b Total Indirect Selling Expense                               $50,000.00

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Complete question:

which federal law allows consumers to withhold payment for faulty or defective goods or services (within certain limitations) when purchased with a credit card?

Answers

The Fair Credit Billing Act is a federal legislation that permits consumers to withhold payment for faulty or defective products or services purchased using a credit card (FCBA). The FCBA is a 1974 consumer protection statute that is implemented by the Federal Trade Commission (FTC).

Consumers have the right under the FCBA to dispute any charges on their credit card account that they feel are inaccurate or unlawful. Charges for faulty or damaged goods or services are included. If a customer challenges a charge, the credit card company must investigate and either remedy the error or explain why the charge is correct.

It's important to note that this has certain restrictions. A customer must contact the creditor within 60 days of receiving the first bill with the inaccuracy. Furthermore, this statute applies solely to credit card bills, not debit card or cash purchases.


The FCBA only applies to credit card purchases conducted in the United States. Different rules may apply if the purchase was made in another nation.

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where in the circular flow model does a new car on display in an auto dealer’s showroom belong?

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A new vehicle on display inside an auto owner's showroom fit the circular flow model Market for goods, physical flow.

What are the two marketplaces that the circular flow graphic represents?

A circular flow model is a mathematical theory that illustrates how money circulates throughout an economy. The most popular version of this model displays the revolving door of revenue between the consumer and business sectors. Between both the two are indeed the commodity market as well as the commodity market.

What kind of activity by the government is exemplified in the quiz on the circular flow model?

Savings, taxes, and imports are a few examples. Any monetary flows that are injected into the ongoing circulation between families and businesses are referred to as injections. Government spending, exports, and investment are among examples.

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Question 1 (1 point)
Walter is a seasoned sales professional who oversees a team of sellers for the Great
Lakes region. His main job functions are to motivate his sales force and develop
strategies to meet business selling goals. What sales position does Walter have?
O regional sales manager
director of sales
O vice president of sales
account executive

Answers

Walter is in Regional Sales Manager position.

Explain the objectives of sales?

1. Establish measurable sales targets and goals: Identify key performance indicators (KPIs) and set realistic, achievable targets for sales to be achieved.

2. Analyze customer data: Use customer data to understand customer needs and preferences, develop customer segmentation strategies, and identify opportunities to increase sales.

3. Develop marketing strategies: Develop marketing strategies and plans that include promotional activities, pricing strategies, and other tactics to drive sales.

4. Lead sales team: Lead the sales team by setting clear expectations, providing training, and monitoring performance.

5. Monitor and adjust: Monitor sales performance and adjust strategies and tactics to improve results.

6. Manage customer relationships: Build strong, long-lasting relationships with existing customers and nurture relationships with potential customers.

Walter oversees a team of sellers for the Great Lakes region, and his main job functions are to motivate his sales force and develop strategies to meet business selling goals. This indicates that he has a managerial role, which is typically associated with the Regional Sales Manager position.

Therefore, Regional Sales Manager is the correct answer.

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according to the institute of management accountants statement of ethical professional practice, determining whether a particular action is ethical requires knowing multiple choice whether the act is legal in your jurisdiction. whether the management accountant is certified. the amount of the fraud or theft that is involved. the intent and the business context of the act.

Answers

IMA members must uphold the requirements of Competence, Confidentiality, Integrity, and Credibility in order to remain members. Those who refuse to cooperate may face punishment.

What constitutes competence?

Competency is defined as the ability to apply or employ the cluster of related knowledge, abilities, and skills required to successfully accomplish "important job functions" or tasks in a particular work setting. You need specific methods of thinking or acting to be successful at a task or job. For instance, if you work in sales, your capacity to gain the confidence of clients will affect the volume of business you bring in. To be successful in that role, you'll need some degree of credibility-building abilities.

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hape co. had the following information related to common and preferred shares during the year: common shares outstanding, 1/1 700,000 common shares repurchased, 3/31 20,000 conversion of preferred shares, 6/30 40,000 common shares repurchased, 12/1 36,000 chape reported net income of $2,000,000 at december 31. what amount of shares shoul

Answers

Chape should utilize 702,000 shares as the denominator in the calculation of basic profits per shares.

The denominator in the computation of basic earnings per share should be the total number of common shares outstanding at the end of the period, which in this case is 702,000 (1,700,000 - 20,000 - 40,000 - 36,000). Preferred shares (also known as preferred stock or preference shares) are securities that represent power in a  pot, and that have a precedence claim over common shares on the company’s means and earnings. The shares are more  elderly than common stock but are more inferior relative to bonds in terms of claim on means. Holders of favored stock are also prioritized over holders of common stock in tip payments. Preferred shares have a special combination of features that separate them from debt or common equity.

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___ will often cause you to spend more than you‘ve budgeted for a category.

Answers

Impulse buying will often cause you to spend more than you‘ve budgeted for a category.

What defines Impluse Buying?

A consumer buying behavior known as "impulsive buying" is when they buy something without giving it much thought or planning beforehand. It is characterized by a strong urge to buy something right away, usually in response to a happy or excited emotional state.

When you make a purchase without anticipating it, you are committing impulsive buying. Let's say you're at the supermarket. You didn't buy the gallon of milk on your list on a whim. When you spot a candy bar on the shelves in the checkout line, you buy it on impulse and throw it in your cart.

Common reasons for impulsive purchases:

Things that make us happy tend to be bought.Aversion to loss.Thinking you've discovered a steal.The need to accumulate supplies.Biased use evaluation

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how do the percentage change in real gdp and the percentage change in real gdp per capita compare? which is larger? do we expect them to have this relationship?

Answers

Nevertheless, understanding the link between the percentage change in real GDP and the percentage change in real GDP per capita can be difficult.

When the percentage change of these two variables is compared, we frequently notice that the change in real GDP is bigger than the change in real GDP per capita. This is due to the fact that real GDP per capita considers not only the production of goods and services, but also the population size. As a result, if the population grows rapidly, real GDP per capita will expand more slowly than real GDP.

It's vital to remember that the relationship between these two changes might vary based on population increase. We predict the percentage change in real GDP and the percentage change in real GDP per capita to be more similar in economies with modest population growth.

However, in countries with rapid population growth, the percentage change in real GDP is expected to be greater than the percentage change in real GDP per capita.

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One way the government helps increase economic productivity is by

Answers

Investing in infrastructure. By investing in roads, bridges, public transportation systems, and other infrastructure projects, the government can help to create a more efficient and productive economy.

What is infrastructure ?

Infrastructure is the basic physical and organizational structures needed for the operation of a society or enterprise, such as transportation and communication systems, water and power lines, and public institutions including schools, post offices, and hospitals. It can also refer to the set of services, such as sewage treatment plants and police departments, required to sustain a community.

These investments can reduce the cost of transportation for businesses, allowing them to move goods and services more quickly and efficiently. Additionally, infrastructure investments can create jobs in construction and related industries, providing additional economic stimulus. Finally, infrastructure investments can help to attract new businesses to an area, increasing competition

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indirect materials and indirect labor are classified as ______. A. nonspecific materials. B. nonspecific labor. C. period costs. D. manufacturing overhead.

Answers

Manufacturing overhead is categorized as indirect labor and indirect materials.

Why is labor so important to a business?

Employers seek labor because it is an essential part of the production process. Individuals use apparatus and tools to transform inputs into output. Without employees, employers couldn't produce goods, offer services, or generate revenue.

What does work in the market place look like?

The fashion business, teaching, building houses, and hairdressing are a few examples of labor-intensive industries. A company is said to run in a money industry if it predominantly uses technology and machinery to transform inputs into outputs.

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a gas station employee monitored gas sales one day. the data showed that 80% of customers purchased regular gas. of the customers who purchased regular gas, 10% paid in cash, whereas 20% of the customers who did not purchase regular gas paid in cash. what percentage of the customers paid in cash? 30% 28% 14% 12%

Answers

A gas station employee monitored gas sales one day. the data showed that 80% of customers purchased regular gas. 28%, of the customers paid in cash. Thus, option (b) is correct.

80% of customers, according to the report, bought normal gas. 10% of those who bought normal petrol paid with cash. Additionally, 20% of customers who didn't buy regular petrol made cash payments.

80% of customers bought standard petrol, while 10% of them made cash payments. This represents 80% plus 10%, or 8%, of all customers.

20% of customers paid with cash and 20% did not purchase normal petrol. This represents 20% x 20%, or 4%, of all customers.

8 + 4 = 12

100 people in all.

12/100 × 100% = 12%

20% - 4%  = 16%

customers paid in cash = 12% + 16%

customers paid in cash = 28%

Therefore, option (b) is correct.

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frame co. has an 8% note receivable dated june 30, year 1, in the original amount of $150,000. payments of $50,000 in principal plus accrued interest are due annually on july 1, year 2, year 3, and year 4. the fair value option is not elected and there is no allowance for credit losses. in its june 30, year 3, balance sheet, what amount should frame report as a current asset for interest on the note receivable?

Answers

In its June 30, year 3, balance sheet, Frame Co. should report $37,500 as a current asset for interest on the note receivable.

What is interest on the note receivable?

The amount of funds that the borrower is obligated to pay to the lender in addition to the loan's initial is known as interest on a note receivable. It is sometimes levied on an annual or moderately basis and is generally characterized as a percentage of the principle sum. The interest rate, which may be fixed or variable, is often set at a level that makes up for the time value of the funds and the decent credit risk for the provider.

The accumulation of interest is shown in the accounting records as interest receivable, whereas interest on notes receivable is shown as an expense in the earnings statement. When interest income is accrued rather than received, it is recorded.

According to question:

This can be calculated by multiplying the outstanding principal balance of the note ($150,000 - $50,000 - $50,000 = $50,000) by the annual interest rate (8%).

$50,000 x 0.08 = $4,000

So the interest accrues is $4,000 per year, and in year 3, 2 years of interest have accrued, $4,000 x 2 = $8,000

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would you say that nonconsumable hard good consumer products are produced by primary or secondary manufacturing industries? what would be examples of nonconsumable hard good consumer products?

Answers

I would you say that Non consumable hard good consumer products are produced by secondary manufacturing industries.

Non consumable hard good consumer products examples :-

1.tools

2.Cars.

3.land

4.Furnitur

What is secondary manufacturing industries ?

All human endeavours that convert raw materials into finished goods fall under the manufacturing and industry sector, also referred to as the secondary sector or the production sector. Food production, textile production, industry, and secondary raw material processing are all included in the secondary sector. This industry is primarily composed of mechanical engineering.

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1. the majority of land in the united states is a. grassland for grazing. c. for timber production. b. residential and commercial property. d. for recreation and wildlife.

Answers

a. grassland for grazing, In the United States, grazing land predominates in the form of grassland. A place where grasses predominate in the vegetation is called a grassland (Poaceae).

The United States of America (U.S.A. or USA), sometimes referred to as the United States (U.S. or US) or America, is a nation with its main territory being in North America. It is made up of 326 Indian reservations, five significant unincorporated territories, nine Minor Outlying Islands, and 50 states. The Federated States of Micronesia, the Marshall Islands, and the Republic of Palau are three autonomous Pacific Island nations with which the United States has free association agreements. It is the third-largest country in the globe in terms of total area and land. [b] It has land boundaries with Mexico to the south and Canada to the north. Along with other countries, it shares maritime boundaries with the Bahamas, Cuba, and Russia.

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g you are thinking of borrowing $50,000 to start a small business. assuming and annual interest rate of 5% and that you want to pay off the loan in 5 years, what would be your monthly payment at the end of each month?

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If you are thinking of borrowing $50,000 to start a small business. assuming and annual interest rate of 5% and that you want to pay off the loan in 5 years then the Monthly payment at the end of each month is 1,041.

What would be the monthly payment?

$50,000 to start a small business. assuming and annual interest rate of 5% and that you want to pay off the loan in 5 years,

I = $ 12,500.00

I = Prt

Calculation:

First, converting R percent to r a decimal

r = R/100 = 5%/100 = 0.05 per year,

then, solving our equation

I = 50000 × 0.05 × 5 = 12500

I = $ 12,500.00

The simple interest accumulated

on a principal of $ 50,000.00

at a rate of 5% per year

for 5 years is $ 12,500.00

12500/12= 1,041.

monthly payment at the end of each month is 1,041.

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oey earns $ 10 , 000 $10,000dollar sign, 10, comma, 000 from a lemonade stand and deposits it into cal bank. the bank has a 50 % 50p, percent reserve requirement and keeps no excess reserves. assume all money is held in banks. what is the maximum change in demand deposits in the banking system as a result of this deposit? choose 1 answer: choose 1 answer: (choice a) a $ 200 , 000 $200,000dollar sign, 200, comma, 000 (choice b) b $ 5 , 000 $5,000dollar sign, 5, comma, 000 (choice c) c $ 20 , 000 $20,000dollar sign, 20, comma, 000 (choice d) d $ 10 , 000 $10,000dollar sign, 10, comma, 000 (choice e) e $ 50 , 000 $50,000

Answers

Because the bank has a 50% reserve requirement and no excess reserves, the maximum change in demand deposits in the banking system as a result of this deposit is $10,000.

What is fractional reserve banking system?

This question uses the fractional reserve banking system, a system in which banks are required to keep a certain percentage of their deposits as reserves and can lend out the rest.This system is used in most countries, including the United States. Under this system, the maximum change in demand deposits in the banking system as a result of a deposit is equal to the deposit plus the amount that the bank can lend out, as calculated in the answer to this question.

The steps for this process are as follows:

Step 1: Calculate the amount of money the bank can lend out as a result of the $10,000 deposit.

This is equal to the 50% reserve requirement multiplied by the deposit, which is 0.5 x $10,000 = $5,000.

Step 2: Calculate the maximum change in demand deposits in the banking system as a result of the deposit.

This is equal to the deposit plus the amount that the bank can lend out, which is $10,000 + $5,000 = $20,000.

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g 8. agreement and disagreement among economists suppose that nick, an economist from a consulting firm, and rosa, another economist from a university in florida, are both guests on a popular science podcast. the host of the podcast is facilitating their debate over budget deficits. the following dialogue represents a portion of the transcript of their discussion: rosa: most people recognize that the budget deficit has been rising considerably over the last century. we need to find the best course of action to remedy this situation. nick: i believe that a cut in income tax rates would boost economic growth and raise tax revenue enough to reduce budget deficits. rosa: i actually feel that raising the top income tax rate would reduce the budget deficit more effectively. the disagreement between these economists is most likely due to . despite their differences, with which proposition are two economists chosen at random most likely to agree? employers should not be restricted from outsourcing work to foreign nations. central banks should focus more on maintaining low unemployment than on maintaining low inflation. business managers can raise profit more easily by reducing costs than by raising revenue.

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The disagreement between these economists is most likely due to differences in values.

Central banks should focus more on maintaining low unemployment than on maintaining low inflation proposition are two economists chosen at random most likely to agree.

What is inflation?

Inflation is an increase in an economy's overall level of prices for goods and services. As the general price level rises, each unit of currency may buy fewer goods and services; hence, inflation is linked to a reduction in the purchasing power of money. This growth can rise inflation when the economy is strong, and unemployment is low because businesses raise wages to recruit and keep workers.

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how many times was the debt ceiling raised under trump?

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The debt ceiling raised 2 times under trump, one in 2017 and another in the pandemic of 2020.

What is debt ceiling?

The debt ceiling, also known as the debt limit, is a statutory cap placed by Congress on the total amount of debt that the U.S. Treasury may incur. As a result, it restricts the amount of interest that the federal government may pay on the debt it has already borrowed.

The gross debt, which includes debt held by the general public and debt owed by internal government accounts, is subject to the debt ceiling, which is a total figure. The ceiling does not cover about 0.5 percent of the debt. The debt ceiling does not impose a direct cap on government deficits since spending is only authorised by separate legislation.

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