Business, 15.04.2020 23:38 silviarahnama
Neoclassical Model of Investment" (1 point): In class, we discussed the idea of net investment, and how it could change in response to changes in economic conditions. Consider the following potential changes in the economy and discuss what the immediate impact of these changes will be for the rental price of capital, the cost of capital, and net investment.
(a) Anti-inflationary monetary policy raises the real interest rate (r ↑)
(b) An earthquake destroys part of the capital stock (K ↓)
(c) Immigration of foreign workers increases the size of the labor force (L ↑)
(d) Advances in computer technology make production more efficient (A ↑)
Answers: 2
Business, 22.06.2019 10:30, karnun1201
Perez, inc., applies the equity method for its 25 percent investment in senior, inc. during 2018, perez sold goods with a 40 percent gross profit to senior, which sold all of these goods in 2018. how should perez report the effect of the intra-entity sale on its 2018 income statement?
Answers: 2
Business, 22.06.2019 14:50, QuarkyFermion
Pear co.’s income statement for the year ended december 31, as prepared by pear’s controller, reported income before taxes of $125,000. the auditor questioned the following amounts that had been included in income before taxes: equity in earnings of cinn co. $ 40,000 dividends received from cinn 8,000 adjustments to profits of prior years for arithmetical errors in depreciation (35,000) pear owns 40% of cinn’s common stock, and no acquisition differentials are relevant. pear’s december 31 income statement should report income before taxes of
Answers: 3
Neoclassical Model of Investment" (1 point): In class, we discussed the idea of net investment, and...
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