Question 14Multiple possible answersThe current account deficit of a country increases if, other things being equalO The cost of capital decreasesThe national income increasesThe inflation decreasesThe inflation increasesThe cost of capital increasesThe national income decreases

An account that shows the record of economic transaction transfer of payments, goods, and services…

Answered: Multiple possible answers The current…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Exhibit 1 Pre-tax rate of return: r= 0.10 Tax rate on the returns to investment: t = 0.25 Consider the information in the exhibit above. If the government spending displaces private consumption, then the opportunity cost for the government project should a. 0.075 11. b. 0.10 c. 0.25 d. 0.75 Consider the information in the exhibit above. If the government spending displaces private savings, then the opportunity cost for the government project should a. 0.075 b. 0.10 c. 0.25 d. 0.75 12.
Q1) can a country have a good finanical system having at the same time with the weak fiscal structure? Discuss in detail
Give typing answer with explanation and conclusion Briefly define GDP and GDP-P. Explain how would you use PPP to understand financials in a country.
None
Identify a reason why Social Security as it currently exists is unsustainable in the long run. The overall U.S. population is shrinking because of decreasing life expectancy, so soon there would not be enough taxpayers to fund A. the Social Security program. B. Income tax revenues that form the largest source of funds for Social Security programs are projected to decline in the long run. OC. Individual income that is subject to Social Security taxes is capped at about $117,000. D. Corporate income that is subject to Social Security taxes is capped at $1 million.
A6 You must Answer True or False, then explain your answer: In the US economy, monetary policy and fiscal policy of a system always work together to influence aggregate demand.
Use the following terms for this question: C = Consumption. I = Capital investment spending. G = Government spending. X = Exports of goods and services. M = Imports of goods and services. BOP = Balance of Payments. GDP = Gross Domestic Product. NPV = Net Present Value. INF = Inflation. R = Real rate of return. The static equation for a country’s GDP is: A. GDP = C + I + G + X – M - (R – INF). B. GDP = C + I + G + X + M. C. GDP = C + I + G + X – M. D. GDP = C + I + X - M + R – INF.
Currency Effects on Economy What is the impact of a weak home currency on the home economy, other things being equal? What is the impact of a strong home currency on the home economy, other things being equal?
Is offering clients big discounts to shift future revenue into the current quarter a violation of US GAAP rules for revenue recognition?
Which of the following statements is true? Multiple Choice Present values have to be less than future values no matter what Present values are less than future values if the government sets the appropriate interest rate for the year Present values are equal to future values in some currencies None of the other alternatives are correct Present values are greater than future values in strong currencies only
E4
An increase in the interest rate will cause A an increase in planned investment and an increase in the equilibrium GDP B a decrease in planned investment and a decrease in the equilibrium GDP C an increase in planned investment and a decrease in the equilibrium GDP D. a decrease in planned investment and an increase in the equilibrium GDP

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Multiple possible answers The current account deficit of a country increases if, other things being equal