Answer:
Explanation:
The pleasure principle refers to the tendency of the id, the primitive part of the psyche, to seek immediate gratification of its basic needs and desires, regardless of the potential consequences. Therefore, the correct answer is "pleasure principle."
The other terms listed in the options are:
Projective personality tests: These are a type of psychological test that assesses an individual's personality traits and behaviors by analyzing their responses to ambiguous stimuli.
Psychoanalysis: This is a therapeutic approach that focuses on exploring an individual's unconscious thoughts and emotions to gain insight into their mental health and behavior.
Ego: This is the part of the psyche that mediates between the id's impulses and the demands of reality.
Reciprocal determinism: This is a concept in social psychology that describes the interaction between an individual's behavior, their personal factors, and their environment.
Traits: These are enduring characteristics that describe an individual's behavior and personality.
Self-efficacy: This refers to an individual's belief in their ability to succeed in a particular task or situation.
Superego: This is the part of the psyche that represents the internalized moral standards and values of society.
Ego defense mechanisms: These are unconscious psychological processes that individuals use to cope with anxiety and protect their ego from emotional distress.
HELP ME PLEASE!!!!!!!!!!!!!!
Identify the type of business that is most relevant to most of our daily lives. Explain three reasons for its relevance.
The type of business that is most relevant to most of our daily lives is retail business. The reasons for this include:
Accessibility Variety Employment Why is the retail business very relevant ?Retail businesses are accessible and convenient for consumers, as they are often located in easily accessible areas such as shopping malls, high streets, and online platforms.
Retail businesses offer a wide variety of products to consumers, ranging from essential items like food, clothing, and household goods, to luxury items like jewelry, electronics, and gadgets. Retail businesses also provide employment opportunities for many individuals, both directly and indirectly.
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The future gain or loss of income from a capital investment is referred to by what term
The future gain or loss of income from a capital investment is referred to as the "return on investment" (ROI). It is a measure of the profitability of an investment and is typically expressed as a percentage of the initial investment. ROI takes into account both the amount of money gained or lost and the time frame over which the investment was held. A positive ROI indicates that the investment generated more money than was initially invested, while a negative ROI indicates that the investment lost money. ROI is an important metric used in finance and investment analysis to evaluate the success of an investment and to compare different investment opportunities.
what is a tax you pay on your income known as
Answer:
Income Tax.
Explanation:
Income tax is levied on incomes, especially an annual government tax on personal incomes.
describe about the method of preservation of cow buffalo and yak food
Cοw Buffalο and Yak fοοd can be preserved by a variety οf methοds, depending οn the type οf fοοd and hοw it is tο be used.
What is variety?Variety is a cοncept that refers tο the vast array οf different items, ideas, οr experiences that are available.
Fοr example, meats can be preserved thrοugh canning, curing, smοking, οr freezing. Dairy prοducts, such as milk and cheese, can be preserved thrοugh pasteurizatiοn, hοmοgenizatiοn, and οther fοrms οf prοcessing. Grains and legumes can be dried and stοred fοr later use. Fruits and vegetables can alsο be preserved thrοugh canning, freezing, οr dehydratiοn.
Canned fοοd is οne οf the mοst pοpular methοds οf preservatiοn, as it allοws fοr lοng-term stοrage withοut spοiling. Canned cοw buffalο and yak fοοds can include things like beef, pοrk, and pοultry, as well as fruits and vegetables. Cans are sealed and heated tο a high temperature tο kill any bacteria and stοp the grοwth οf mοld.
Curing is anοther cοmmοn methοd οf preserving cοw buffalο and yak fοοd. This invοlves the applicatiοn οf salt, sugar, οr οther curing agents tο the fοοd prοduct, which helps tο prevent the grοwth οf bacteria and mοld. Curing is οften used tο preserve meats, such as bacοn, ham, and salami.
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Great talkers are never great doers essay
Great talkers are never great doers means people who make loud and loud promises rarely keep their promises.
Meaning -There are many such talkative people who use lofty terms to show off their worth and blow their trumpets just to hide their inner weaknesses and vices. They are like empty ships that often ring. However, their vanity and selfishness often put them in a very low position when in times of crisis they display white feathers that are at odds with their lofty rhetoric.
On the hand, someone who speaks little, believes in deeds, and knows his or her limits proves to be sincere enough to keep his promises.
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From the following data, calculate national income by expenditure method. (7mks)
Items (000)
1. Compensation of employees 1,200
2. Net factor income from - 20
3. Net indirect taxes 120
4. Profit 800
5. Private final consumption expenditure 2,000
6. Net domestic capital formation 770
7. Consumption of fixed capital 130
8. Rent 400
9. Interest 620
10. Mixed income of self-employed 700
11. Net exports - 30
12. Govt. final consumption expenditure 1,100
13. Operating surplus 1820
14. Employer’s contribution to social security Scheme 300
Answer:
To calculate national income by expenditure method, we use the following formula:
National Income (NI) = Private Final Consumption Expenditure (PFCE) + Government Final Consumption Expenditure (GFCE) + Gross Domestic Fixed Capital Formation (GDFCF) + Net Exports (NX)
Where,
Gross Domestic Fixed Capital Formation (GDFCF) = Net Domestic Capital Formation + Consumption of Fixed Capital
Net Exports (NX) = Exports - Imports
So, putting the given values in the formula, we get:
Gross Domestic Fixed Capital Formation (GDFCF) = Net Domestic Capital Formation + Consumption of Fixed Capital
= 770 + 130
= 900
Net Exports (NX) = Exports - Imports
= -30
National Income (NI) = Private Final Consumption Expenditure (PFCE) + Government Final Consumption Expenditure (GFCE) + Gross Domestic Fixed Capital Formation (GDFCF) + Net Exports (NX)
= 2000 + 1100 + 900 - 30
= 3970
Therefore, the national income by expenditure method is 3970,000.
Do you agree with Unilever's decision to links it's brands with efforts to encourage healthy and environmentally sustainable behaviors?
Yes I agree with Unilever's decision to links it's brands with efforts to encourage healthy and environmentally sustainable behaviors.
Why is it so?It is an additional strategy for increasing clientele and enhancing the company's reputation. Also, it demonstrates how seriously Unilever takes customer health. Unilever guarantees that their customers will be satisfied with their products in addition to simply selling them. And it will be the ideal approach for them to maintain their clientele and foster loyalty.
What is environmentally sustainable behaviors.The main focus of this pillar is safeguarding the environment for future generations. Environmentally responsible businesses increase productivity, cut down on resource use and waste, and track and measure carbon emissions along the entire supply chain.
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1: Which of the following is an injection into the circular
flow of income?
A) The customs duties levied on luxury imports into the
country
B) The purchase by foreign firms of goods produced by
local firms
c) The higher interest rate offered to local savers, who open
deposits in foreign currency with local financial
institutions
D) The closure of a special government employment
targeted scheme (JEEP)
Answer:
B
Explanation:
Investment, government spending, and exports rapidly boost an economy's whole demand, which further increases the level of income or output. They can be regarded as injections to the circular flow of income.
Rene wants to get into business by owning a restaurant, and she’d prefer to acquire a franchise from a well-known burger chain to make it happen. Which aspect of her plan could prove to be most problematic? A. finding a location where young people congregate B. dealing with dissatisfied customers from other franchise outlets C. paying the assorted licensing and marketing fees D. determining the kinds of menu items to offer
The aspect of Rene's plan relating to acquiring a franchise that could prove to be most problematic is likely: C. paying the assorted licensing and marketing fees.
What is a Franchise?A franchise is a business model in which a company grants a third-party operator the right to use its name, products, and processes in exchange for an initial fee and ongoing royalties.
Acquiring a franchise from a well-known burger chain involves significant financial investment in terms of franchise fees, ongoing royalties, and marketing expenses. These expenses can be considerable and may make it difficult for Rene to turn a profit, particularly in the early stages of the business.
Additionally, franchisors often have strict rules and regulations regarding menu items, branding, and customer experience, which may limit Rene's creativity and flexibility in running the restaurant. While the other options mentioned could also pose challenges, they are likely to be more manageable than the financial and contractual obligations of franchise ownership.
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Determine the capital using the following information Assets = 27000 Kuh. liabilities ksh 9000
The capital using the following information Assets = 27000 Kuh is 18000 cash.
We can apply the accounting formula Assets = Liabilities + Capital to calculate the capital based on the available data. We can find the capital by rearranging the equation and deducting liabilities from assets.
What are assets and liabilities?A company's assets are any possessions that have the potential to provide future financial gain. Your debts to other people are called liabilities. In other words, assets increase your wealth while obligations decrease it.
Capital is calculated as assets minus liabilities.
Inputting the values provided yields:
Capital = 27000 - 9000 Kenyan Kwacha
If we simplify, we get: 18000 cash is the capital.
Hence, based on the information provided, the company's capital is 18000 Ksh. After deducting all liabilities and assets, this sum symbolizes the money that the company's owners have contributed to it.
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What is financing?.
What is the last step in balancing a T-account?
The last step in balancing a T-account is to ensure that the debit and credit sides of the account are equal, and that the balance is properly transferred to the appropriate financial statement.
What should you click and drag to rotate an image or text box?
O the top right corner of the image or text box
O the clear arrow above the image or text box
the lower left corner of the image or text box
O the red box at the center of the image or text box
To rotate an image or text box, you should: A. the top right corner of the image or text box.
What should you click and drag to rotate an image or text box?Typically, when you hover your mouse over the corner of the image or text box, the cursor will change to a curved arrow, indicating that you can click and drag to rotate the element.
This allows you to freely adjust the angle of the element to your desired orientation. Some software may have slightly different interfaces, but in general, rotating an image or text box by clicking and dragging the top right corner is a common method across many applications.
Therefore the correct option is A.
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Answer:
B) the clear arrow above the image or text box
If we want to draw a sample random sample from a population of 4000 items, how large a sample do we need to draw if we desire to estimate the percent defective within 2% of the true value with 95.45% probability.
The sample needed to draw if we desire to estimate the percent defective within 2% of the true value with 95.45% probability is 384.16
How to draw a sample random sample from a populationTo calculate the sample size needed to estimate the percent defective within 2% of the true value with 95.45% probability,
we can use the formula:
n = (Z^2 * p * q) / E^2
where:
n = sample size
Z = Z-score for desired level of confidence (95.45% is approximately 1.96)
p = estimated proportion of the population that is defective (we'll use 0.5 for a conservative estimate)
q = 1 - p
E = desired margin of error (2% is 0.02)
Plugging in the values, we get:
n = (1.96^2 * 0.5 * 0.5) / 0.02^2
n = 384.16
Rounding up to the nearest whole number, we get a sample size of 385. Therefore, we would need to draw a sample of at least 385 items from the population to estimate the percent defective within 2% of the true value with 95.45% probability.
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. Based on precedence diagram given below, use the longest task time heuristic to balance the line. Cycle time = 1.3 minute\
What is the balance delay?
Out of all workers placed which worker is the happiest (has most remaining time)?
Balance delay time refers to the amount of downtime on manufacturing assembly lines caused by uneven job distribution across operators or stations.
What is balance delay?The amount of downtime on manufacturing assembly lines brought on by uneven work distribution among operators or stations is known as balance delay time.
It has to do with how the overall task is divided up and to what extent.
The jobs are arranged according to decreasing processing times according to the longest processing time rule.
The biggest job that is currently available will start processing whenever a machine is released.
The minimum makespan of a schedule can be determined using this approach, which is a heuristic.
The operational time needed for that element plus the times for all items that must come after it equals the positional weight.
The elements are arranged according to their positional weights in descending order.
Therefore, balance delay time refers to the amount of downtime on manufacturing assembly lines caused by uneven job distribution across operators or stations.
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Correct question:
What is balance delay?
Training for Employee Sensitivity: a Priority at Wilson Street Grill: Read the following scenario, then complete the related exercise.
The Wilson Street Grill in Madison, Wisconsin, is one of many restaurants that have successfully hired employees with mental disabilities. The federal Americans with Disabilities Act (ADA) prohibits employers from discriminating against disabled job applicants and employees in businesses with 15 or more employees. Many hotels and restaurants have found that employees with disabilities are often excellent employees who work hard and care about their work. The rate of turnover for workers with mental disabilities is often lower than the turnover among high school and college students employed at these same restaurants.
The Wilson Street Grill is no exception; more than one-third of its employees have a disability. All new employees receive orientation and training, which includes information on working effectively with those who have disabilities. It is important that employees understand the issues of discrimination and how the ADA law impacts the employees at the Wilson Street Grill. New employees are supervised and mentored on a regular basis so that they can work effectively with the current staff.
As manager of the Wilson Street Grill, you recently hired Jonathan, who completed his orientation a month ago. He regularly works with Sue, a mentally disabled employee with Down syndrome who has been an excellent employee for two years. Jonathan appears to be patient with the other employees who have disabilities, but seems easily frustrated with Sue. Jonathan has refrained from speaking rudely to her in public, but his general behavior communicates a very negative attitude. You recently observed a negative communication exchange between Jonathan and Sue. Jonathan often responds to Sue’s questions by ignoring her or giving her terse answers. He has rudely interrupted her conversations with fellow employees on numerous occasions. Often when she starts a routine task, he takes over and does it for her. He refuses her efforts to help him learn certain tasks. Sue has not complained to you, but she has talked to other employees about the problems with Jonathan. As the manager of Wilson Street Grill, you need to warn Jonathan about his unacceptable behavior and provide constructive criticism.
Exercise:
Write a memo to Jonathan that will be placed in his personnel file. The memo should adequately warn Jonathan about the consequences of his behavior and should contain relevant facts to explain the law. Visit your campus library to complete additional research on the Americans with Disabilities Act so that you understand how this law impacts management.
I really need help please help me out here!!!!!!!
Those with disabilities could no longer be refused access to jobs, education, or transportation. Examples of privately owned establishments that fall under the legislation include restaurants and movie theaters. The law significantly impacted the lives of millions of Americans.
What purpose does a persona file serve for an employee?Managers benefit from it since it provides them with crucial worker data. must keep up-to-date records of all employee absences, lockouts, transfers, and other incidents. It helps the managers create various training and development programs based on the present environment, which is beneficial to them.
In order to resolve various employment-related concerns, the employer must collect, maintain, and use all information pertaining to specific employees in personnel records.
Why is it vital to have the American with Disabilities Act? What results does it have?The Act aims to guarantee that everyone has the same opportunities and rights, including those who have impairments. People with disabilities are entitled to the same civil rights protections under the ADA as those who are subjected to discrimination on the basis of their race, color, sex, national origin, age, or religion.
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PLEASE HELP ME OUT ASAP I NEED HELP (IMPORTANT!!!)
Jackie Paige Visits Khali, Asia
The Dennis Packbell International Corporation had recently decided to introduce its very successful US-based product into the Khali market in Asia. In that effort, its VP of Global Business Development, Jackie Paige visited Khali along with Packbell’s management consulting firm retained for this project, McBain & Company.
While touring potential manufacturing sites in the vicinity of Danglore, Khali, Mrs. Paige was faced with a stark reality of sites where mostly female employees in the 12-14 years of age category were performing manual labor, in an almost sweatshop setting. Jackie was also shocked that there were dozens of electrical power lines which were intertwined and exposed to the eye, something that was highly unusual in her professional life.
Jackie was further perplexed, when the person accompanying her from McBain said: “No worries, it is very common here in Khali to do business in this fashion”.
Questions:
Do you see ethical issues here? Please analyze and elaborate. Mention each and every ethical issue you see here.
All else equal, should Jackie suggest manufacturing Dennis Packard’s goods in Khali? Please elaborate and suggest any qualifications to your answers you may have.
The situation raises significant ethical concerns around treatment of workers, particularly children, as well as the responsibility of businesses to prioritize safety and fair labor practices.
What is labor?Labor refers to the physical or mental effort that people put into work or production activities to achieve a particular outcome. It can involve the use of skills, knowledge, and abilities to create goods or services. Labor is an essential component of economic activity and plays a crucial role in the production process. The quality and quantity of labor are key determinants of the level of output and productivity in an economy. Labor can be classified into various categories, including skilled, unskilled, manual, intellectual, and creative, depending on the type of work involved. Factors such as education, training, experience, and technological advancements can significantly impact the nature of labor and the productivity levels of workers. As such, labor is a critical factor in the functioning of markets, businesses, and the economy as a whole.
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educational management is an art or science?
In my opinion it is science.
Answer:
science
Explanation:
dealing with psychology and pedagogy. Knowing the parameters of neurological development of learners, avails tools for curriculum development and classroom management.
OSHA does not cover_____ businesses
Small
Large
Private
Self-employed
Why is it important to balance a ledger account?
Answer:
balancing a ledger account is a crucial step in maintaining accurate financial records and ensuring that financial statements are reliable and trustworthy.
Explanation:
Borrowing costs calculations
Simple interest is what lenders often charge. Simple interest is calculated as follows: principal x rate x time Equals interest (with time being the number of days borrowed divided by the number of days in a year).
How are borrowing costs determined?If you borrowed money solely to buy a qualified asset, capitalization is simple: Just subtract any income received from temporary investing such borrowings from the real costs spent.
What is the price of borrowing money?The amount you borrow and the interest you are required to pay on it make up the entire cost of the loan. Hence, the term "cost of borrowing" refers to the total sum of the loan's principal, interest, and other associated costs.
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Use the following transaction data for two claims to answer the questions below.
Case
Reserve
Policy (as of
Effective Date of Report Transaction | Incremental | transaction
Claim Date Loss Date Date Payment date
1 | 04/01/16 08/01/16 09/15/16 | 09/15/16 | $0| _ $40,000
01/01/17 $4,000 $36,000
06/01/17 $28,000 $12,000
12/15/17 $15000| $0]
2 | 10/01/16 02/01/17 02/01/17 | 02/01/17 $20,000 $55,000
10/01/17 $36,000 $14,000
02/15/18 $12,000] $0|
1. What are the total Policy Year 2016 Reported Claims as of 12/31/2016?
2. What are the total Accident Year 2017 Reported Claims as of 12/31/2017?
3. What are the total Calendar Year 2017 Paid Claims as of 12/31/2017?
4. What are the total Reported Year 2016 Paid Claims as of 12/31/2017?
1.Claim 1 accounts for $40,000 of the total Policy Year 2016 Reported Claims as of December 31, 2016. 2. As of December 31, 2017, the total accident year 2017 reported claims were $120,000 ($49,000 for claim 1 and $71,000 for claim 2).
What is a reserve policy?A reserve policy is a set of rules and procedures that an organisation employs to figure out how much money it needs to set aside in case it faces future costs or losses. Typically, these reserves are established to pay for a variety of liabilities that the company may experience in the future, such as court judgements, warranty claims, bad debts, or insurance claims. The reserve policy is crucial because it makes sure the company has enough cash on hand to pay its bills in the future and stay out of debt. The reserve policy is frequently based on a variety of variables, such as past loss experience, the state of the economy, legal requirements, and industry best practises. 3. The total paid claims for the calendar year 2017 as of December 31, 2017, were $76,000 ($40,000 for claim 1 and $36,000 for claim 2). 4.Claim 1's total reported year 2016 paid claims totaled $4,000 as of December 31, 2017.
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in what ways can the strategies of an organization like the African National Congress be compared to those of a business organization? use swot analysis.
The ways in which strategies of an organization like the African National Congress be compared to those of a business organization is assessement of their internal and external environments to develop effective strategies.
How can the strategies be compared to those of a business organization?The strategies of the African National Congress (ANC) can be compared to those of a business organization using the SWOT analysis framework. Strengths of the ANC include its historical legacy, broad support base, and strong leadership.
Weaknesses include internal factionalism, corruption, and limited resources. Opportunities for the ANC include growing youth activism and a focus on social justice issues. Threats include increasing political polarization and economic inequality. Similarly, a business organization would assess its strengths, weaknesses, opportunities, and threats to develop a strategic plan for success.
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why are some counties rich and others poor?
The reasons why some counties are rich and others are poor are complex and multifaceted. However, some factors that may contribute to a county's level of wealth include natural resources, access to education and infrastructure, political stability, economic policies, and historical legacies. Additionally, global economic trends and international trade can also have a significant impact on a county's economic situation.
Is project management a skill all general managers must have
Answer:
probably yes because all establishments will require its employees to work together on something and the manager will almost always be the one to oversee this work happen
Explanation:
SAPPY HAD A LITTLE LAM, No he didn’t. True or false?
A small manufacturing firm produces one product. The budgeted sales for the month of January 2021
are for 10,000 units as a selling price of Sh. 2,000 per unit. Other details are as follows;
1. Two components of input are used in the production of one unit of output.
Component (Input) Number Unit cost of each component
X 5 20
W 3 10
2. Stocks at the beginning of the month are budgeted as follows;
4000 units of finished goods at a unit cost of sh. 1,050 per unit.
Component X: 16,000 units at a cost of Sh. 20.
Component W: 9,600 units at a cost of Sh. 10.
3. Production of each unit requires the following labour hours.
Department Hours per Unit Labour rate per hour
Production 4 100
Finishing 4 140
4. Factory overhead is absorbed into units cost on the basis of direct labour hours. The budgeted
factory overhead for the month is Sh. 1,920,000.
5.The administration, selling and distribution overhead for the month is budgeted at Sh.5,500,000.
6.The company plans a reduction of 50% in quantity of finished stock at the end of the month and
an increase of 30% in the quantity of each input component.
Required:
a)For the month of January 2021
i. Production quantity budget (3 marks)
ii. Materials quantity and purchase budget (4 marks)
iii. Direct Labor budget (3 marks)
b)The budgeted profit and loss account (5 marks)
Answer:a) Budgeted Production Quantity:Budgeted Sales = 10,000 unitsAdd: Desired Closing Stock = (10,000/2) = 5,000 unitsTotal Units Required = 15,000 unitsLess: Opening Stock = 4,000 unitsUnits to be produced = 11,000 unitsi. Production Quantity Budget = 11,000 unitsii. Materials Quantity and Purchase Budget:Component X:Units Required = (11,000 x 5) = 55,000 unitsAdd: Desired Closing Stock = (16,000 x 1.3) = 20,800 unitsTotal Units Required = 75,800 unitsLess: Opening Stock = 16,000 unitsUnits to be purchased = 59,800 unitsTotal Cost = (59,800 x 20) = Sh. 1,196,000Component W:Units Required = (11,000 x 3) = 33,000 unitsAdd: Desired Closing Stock = (9,600 x 1.3) = 12,480 unitsTotal Units Required = 45,480 unitsLess: Opening Stock = 9,600 unitsUnits to be purchased = 35,880 unitsTotal Cost = (35,880 x 10) = Sh. 358,800iii. Direct Labor Budget:Department Production Finishing Total
Hours 44,000 44,000 88,000
Rate 100 140
Total Cost = (44,000 x 100) + (44,000 x 140) = Sh. 15,840,000b) Budgeted Profit and Loss Account:Sales Revenue = (10,000 x 2,000) = Sh. 20,000,000Less: Cost of Goods Sold:Direct Materials = (1,196,000 + 358,800) = Sh. 1,554,800Direct Labor = Sh. 15,840,000Factory Overhead = Sh. 1,920,000Total Cost of Goods Sold = Sh. 19,314,800Gross Profit = (Sales Revenue - Cost of Goods Sold) = Sh. 685,200Less: Selling and Distribution Overhead = Sh. 5,500,000Net Loss = (Selling and Distribution Overhead - Gross Profit) = Sh. 4,814,800
Explanation:
If the APR on a credit card is 16.9%, what is the daily percentage rate (DPR)?
The stated annual percentage rate (APR) on a credit card is 17.8%, which is equal to 0.040% daily percentage rate (DPR).
What is a credit card's daily percentage rate (DPR) if the APR is 16.9%?Look at your monthly statements to get your current annual percentage rate. Divide the annual percentage rate (APR) by 365 to get the daily percentage rate (DPR) (the number of days in a year).
Assuming that a credit card's annual percentage rate (APR) is 17.8%.
Using the supplied yearly % on a credit card, we now need to get the daily percentage rate (DPR).
So, given APR = 17.8%
Now, daily percentage rate will be:
⇒ Daily percentage rate = the Annual Percentage Rate ÷ 365
⇒ DPR = APR / 365
⇒ DPR = 16.9% ÷ 365
⇒ DPR = 0.040%
Therefore, the daily percentage rate (DPR) is equal to 0.040%.
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.) You are given the following hypothetical information about the Commodity and Money markets of a closed economy without government intervention.
The commodity market
Consumption function: C = 100 + 0.3Y
Investment function: I = 2,000 – 2.1r
The Money Market
Lt = 0.2Y (transaction demand for money function)
Ls = 10 – 2r (speculative demand for money function)
MS = 1,500 (money supply function)
a.) Derive the IS curve. ( 1 marks)
b.) Derive the LM curve ( 1marks)
c.) Derive the equilibrium level of income and rate of interest. ( 4 marks)
d.) If the money supply is increased by 75, what would be the effect on the equilibrium level of income and rate of interest?
The IS curve is a graphical representation of the equilibrium condition in the goods market of an economy showing the combinations of output and interest rate at which planned investment equals planned saving.
What is a commodity and money market?A commodity market is a market where goods and services are bought and sold, while the money market is a market where financial instruments with short maturities and high liquidity are traded.
a) Using the consumption and investment functions given, IS curve is derived by equating total output (Y) to total planned expenditures (C + I):
[tex]C = 100 + 0.3Y[/tex]
[tex]I = 2,000 - 2.1r[/tex]
Planned expenditures are:
[tex]C + I = (100 + 0.3Y) + (2,000 - 2.1r)[/tex]
Setting this equal to output Y, we get:
[tex]Y = C + I[/tex]
[tex]Y = (100 + 0.3Y) + (2,000 - 2.1r)[/tex]
[tex]0.7Y = 2,100 - 2.1r[/tex]
[tex]Y = (2,100 - 2.1r)/0.7[/tex] = the IS curve.
b) The LM curve is derived by equating the transaction demand and speculative demand for money. Using the given functions:
[tex]Lt = 0.2Y[/tex]
[tex]Ls = 10 - 2r[/tex]
[tex]MS = 1,500[/tex]
We further equate the demand and supply of money:
[tex]Lt + Ls = MS[/tex]
[tex]0.2Y + 10 - 2r = 1,500[/tex]
[tex]0.2Y = 2r - 1,490[/tex]
[tex]Y = 10r - 7,450[/tex] = the LM curve.
c) To find the equilibrium level of income and rate of interest, we need to solve for the values of Y and r that satisfy both the IS and LM curves. Setting the equations for Y from the IS and LM curves equal to each other:
[tex](2,100 - 2.1r)/0.7 = 10r - 7,450[/tex]
Further simplifying and solving for r, we get:
[tex]r = 5.92[/tex]
Substituting r into the equation for Y from the IS curve, we get:
[tex]Y = 1,371.43[/tex]
Therefore, the equilibrium level of income is $1,371.43 and the equilibrium rate of interest is 5.92%.
d) If the money supply is increased by 75, the LM curve would shift to the right. We arrive at this conclusion because a higher money supply would increase the supply of money and lead to a decrease in the interest rate. The new equilibrium level of income and rate of interest would depend on the new intersection of the IS and LM curves.
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Austin Airlines paid an annual dividend of $1.18 a share last month. The company is planning on paying $2, $3, and $3.5 a share over the next 3 years, respectively. After that, dividends will be growing at 3% per year indefinitely. What is the market price of this stock if the market rate of return is 10 percent?
The market price of the stock is $45.62.
What is the market price of the stock?The market price of the stock is a function of the dividends paid, the growth rate and the market rate of return.
The dividend has two stages of growth. The fast growth rate and the constant growth rate.
The dividend in the constant growth rate = (3.5 x 1.03) / (0.1 - 0.03) = $51.50
The second step is to determine the present value of the dividends:
2 / 1.1 + 3 /1.1² + 3.5 / 1.1³ + 51.50/1.1³ = $45.62
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