56.Giraldi Company has identified that the cost of a new computer will be $48,000, but with the use of the new computer, net income will increase by $5,000 a year. If depreciation expense is $3,000 a year, the cash payback period is: a.24.0 years. b.16.0 years. c.9.6 years. d.6.0 years. 57.Richman Co. purchased some equipment 3 years ago. The company’s required […]
81) The figure above shows the market for annual influenza immunizations the United States. If there is NO external benefit from health care and the government does not intervene in the market, then the equilibrium price of immunizations is A) $30. B) $20. C) $40. D) $60. E) $70. 82) The figure above shows the market for annual influenza immunizations the United States. The […]
83) If the demand curve for desktop computers shifts rightward and at the same time the supply curve shifts leftward, then A) the equilibrium price definitely rises. B) the equilibrium price definitely falls. C) the equilibrium price definitely remains the same. D) More information is needed to determine the effect on the equilibrium price. E) the equilibrium quantity definitely increases. 84) If the demand […]
41) Bjorn is a student with a monthly budget of $500, which he allocates between transportation services and “all other goods.” Suppose the price of transportation is $5 per unit, and the price of “all other goods” is $20 per unit. The marginal utility he currently receives from his consumption of transportation services is 60. How many units of “all other goods” is he […]
61) Over the next few years more and more people prefer to ride on scooters. Which of the figures above best illustrates how this change affects the demand curve for scooters? A) Figure A B) Figure B C) Figure C D) Figure D E) None of the above answers is correct because the change in tastes will affect the supply curve not the demand […]
13.5 Appendix: Indifference Curves 1) Consumers’ preferences are described by A) budget lines. B) indifference curves. C) relative prices. D) household income. E) demand curves. 2) An indifference curve shows A) different combinations of two goods among which the consumer is indifferent. B) consumption possibilities that a consumer faces at different prices and income. C) affordable combinations of goods. D) the opportunity cost […]
71.Gem Globe, an American company, has invested substantial capital in precious stones mining activities outside the United States. This practice is referred to as: A. unrelated diversification. B. foreign direct investment. C. cross-border bartering. D. organizational divestment. E. international cartel. 72.When a firm invests resources in business activities outside its home country, it is referred to as: A. foreign exchange. B. foreign divestiture. C. speculative investment. D. foreign direct investment. E. cross-border cartel. 73.The […]
41) Open market operations are the A) purchase or sale of government securities by the Fed. B) lending of reserves to the banking system by the Fed. C) borrowing of reserves by the Fed from the banking system. D) minimum percentage of loans that banks must retain as reserves in the open market. E) purchase or sale of gold by the Fed. 42) […]
21. Which of the following statements/statistics about women in the workforce is incorrect? a. The labor force participation rate of women is approximately 70%. b. Women held 14.4% of the corporate officer positions in Fortune 500 companies. c. Women currently comprise somewhat more than 46% of the U.S. workforce and by the year 2020 may be nearly 50%. d. On average, women earn 90% […]
Table 9-2 Base Year (2006) 2013 Product Quantity Price Price Milk 50 $1.20 $1.50 Bread 100 1.00 1.10 7) Refer to Table 9-2. Assume the market basket for the consumer price index has two products — bread and milk — with the following values in 2006 and 2013 for price and quantity: The Consumer Price Index for […]
31) Unplanned inventories increase when
A) real GDP is less than aggregate planned expenditure.
B) actual aggregate expenditure is greater than aggregate planned expenditure.
C) actual aggregate expenditure is equal to GDP.
D) aggregate planned expenditure is less than GDP.
E) actual aggregate expenditure is less than GDP.
32) When the change in unplanned inventories is positive, then
A) real GDP is less than aggregate planned expenditure.
B) real GDP equals aggregate planned expenditure.
C) real GDP is larger than aggregate planned expenditure.
D) economic growth will occur as the economy returns to equilibrium.
E) planned inventories will increase in order to return to equilibrium.
33) According to the aggregate expenditure model, when faced with unwanted inventory firms
A) are forced to go out of business.
B) decrease production.
C) immediately cut prices.
D) increase production.
E) do nothing and wait for equilibrium to be restored.
34) If real GDP ________ aggregate planned expenditure, then as a result firms ________ production.
A) equals; increase
B) exceeds; decrease
C) is less than; decrease
D) equals; decrease
E) exceeds; increase
35) A country reports that unplanned inventories increased during 2012. The increase in unplanned inventories leads to
A) the government decreasing production, which decreases GDP.
B) consumers increasing their consumption expenditure, which increases GDP.
C) firms decreasing production, which decreases GDP.
D) firms increasing production, which increases GDP.
E) actual aggregate expenditure being different than real GDP.
36) If a firm accumulates unwanted inventories, then it
A) will increase its production.
B) must hire more workers.
C) has actual investment that is less than its planned investment.
D) will decrease its production.
E) has actual investment equal to its planned investment.
37) If firms' inventories exceed their planned inventories, firms
A) increase production.
B) decrease production.
C) increase GDP.
D) increase income.
E) increase employment.
38) In the aggregate expenditure (AE) model, when real GDP exceeds aggregate planned expenditure, actual inventories ________ planned inventories and real GDP ________.
A) exceed; increases
B) exceed; decreases
C) are less than; increases
D) are less than; decreases
E) exceed; does not change
39) When aggregate planned expenditure is less than GDP,
A) firms increase production until the economy reaches equilibrium expenditure.
B) firms decrease production until the economy reaches equilibrium expenditure.
C) the economy might be at its equilibrium expenditure and if it is, firms do not change their production.
D) the economy definitely is at its equilibrium expenditure and firms do not change production.
E) the economy definitely is at its equilibrium expenditure but even so, firms decrease production.
40) If real GDP exceeds aggregate planned expenditure, then the change in unplanned inventories is ________ and firms ________ production.
A) positive; increase
B) positive; decrease
C) negative; increase
D) negative; decrease
E) zero; do not change
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.
Read moreEach paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.
Read moreThanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.
Read moreYour email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.
Read moreBy sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.
Read more