Use the following list of factors that are related to the aggregate demand curve to answer the next question.
1) rea-balances effect
2) household expectations
3) interest-rate effect
4) personal income tax rates
5) profit expectations
6) national income abroad
7) government spending
8) foreign purchases effect
9) exchange rates
10) degree of excess capacity
which of the above factors best explain the downward slope of aggregate demand curve?

a) 7.9, and 10
b) 4.6, and 7
c) 1, 3, and 8
d) 2, 4, and 6

Mr. beautiful, an organization that sells weight training sets, has an ordering cost of $40 for the bb-1 set. (bb-1 stands for body beautiful number 1.) the carrying cost for bb-1 is $5 per set per year. to meet demand, mr. beautiful orders large quantities of bb-1 seven times a year. the stockout cost for bb-1 is estimated to be $50 per set. over the past several years, mr. beautiful has observed the following demand during the lead time for bb-1: demand during lead time probability40 0.150 0.260 0.270 0.280 0.290 0.1total 1.0the reorder point for bb-1 is 60 sets. what level of safety stock should be maintained for bb-1?