Answer: See explanation
Explanation:
First we will have to calculate the value of the firm before the debt issue. This will be:
= 25,000,000 × $10
= $250,000,000
We also calculate the value of the firm after after the proposed capital structure change. The value of equity will be:
= $250,000,000 - $160,000,000
= $90,000,000
Therefore, the value of debt will also be $160,000,000.
Agriculture allows for a higher carrying capacity (it can produce more and support more people) than other adaptive strategies. This gives rise to higher population density and can allow more easily for an elite supported by the labor of others.
A. True
B. False
Answer:
A. True
Explanation:
As we know that the agriculture is the main source i.e. important for generating or producing any type or any kind of the processed food also at the same time it became helpful for producing various employment opportunities
So as per the given statement, the statement is true
hence, the same is to be considered
The Bildge Trust is a simple trust. Crawford is its sole beneficiary. In the current year, the trust earns $11,025 in taxable interest and $27,563 in tax-exempt interest. In addition, the trust recognizes a $1,575 long-term capital gain. The trustee charges a fee of $6,891 for the year.
a. Compute trust accounting income, where the trust agreement allocates fees andcapital gains to corpus.
b. Same as (a), except that fees are allocated to income.
Answer:
b
Explanation:
Macmillan Toys Inc. is looking to expand internationally and wishes to develop a new product line that is highly localized while keeping their cost structure below that of their rivals. Macmillan Toys Inc. has been successful with implementing a blue ocean strategy in their main strategic business units and as such wishes to pursue a ________ strategy for their international operations. Multiple Choice transnational multidomestic international global standardization
Answer:
Multi domestic strategy
Explanation:
Blue Ocean strategy is one in which a company puts emphasis on having a product that had more quality than the competition.
This implies that the company can make more profit as consumers are willing not pay higher price for the product.
Macmillan Toys Inc. is looking to expand internationally and wishes to develop a new product line that is highly localized while keeping their cost structure below that of their rivals.
They can do this by adopting the multidomestic strategy.
This strategy is designed to get maximum local response by tailoring the product and marketing approach to the country in which they are selling.
So different countries will have their unique product specifications
Macmillan Toys Inc. has been successful with implementing a blue ocean strategy in their main strategic business units and as such wishes to pursue a Transnational strategy.
What is a Transnational Strategy?A transnational strategy is adopted by businesses that wish to conduct their affairs across various nations.
This strategy ensures that there is cooperation and synergy between all the operational branches of the nation across the world. This strategy will be adopted by Macmillan Toys Incorporated.
Learn more about Transnational Strategy here:
https://brainly.com/question/25629927
Suppose that there are two types of cars, good and bad. The qualities of cars are not observable but are known to the sellers. Risk-neutral buyers and sellers have their own valuation of these two types of cars
Types of Cars Buyers Valuation Seller Valuation
Good (50% probability) 5,000 4,500
Bad ( 50% probability) 3,000 2.500
When a buyer does not observe the quality, what is the highest price she will offer for a used car if she ignores adverse selection?
A. $2,500
B. $3,000
C. $4,000
D. $4,500
Answer:
C. $4,000
Explanation:
If he buyer does not have complete information about the car's quality, he/she will likely offer the expected value for a car = ($3,000 x 50%) + ($5,000 x 50%) = $4,000 car. In this type of scenarios, sellers of lemons (bad cars) are benefited since they are able to get a higher price, but sellers of goods cars are hurt because buyers assume their cars are bad.
Dukelow Corporation has two divisions: the Governmental Products Division and the Export Products Division. The Governmental Products Division's divisional segment margin is $41,300 and the Export Products Division's divisional segment margin is $93,700. The total amount of common fixed expenses not traceable to the individual divisions is $106,800. What is the company's net operating income (loss)?
a) $241,800
b) $135,000
c) $28,200
d) $135,000
Answer:
c) $28,200
Explanation:
Calculation for What is the company's net operating income (loss)
Governmental products division's divisional margin segment $41,300
Add Export Products Division's divisional segment margin $93,700
Total divisional segment margin $135,000
($41,300+$93,700)
Less Common fixed expenses not traceable to the individual divisions ($106,800)
Company's net operating income $28,200
($135,000-$106,800)
Therefore the company's net operating income is $28,200
On January 1, 2019, Sandhill Corporation acquired machinery at a cost of $1290000. Sandhill adopted the double-declining balance method of depreciation for this machinery and had been recording depreciation over an estimated useful life of ten years, with no residual value. At the beginning of 2022, a decision was made to change to the straight-line method of depreciation for the machinery. The depreciation expense for 2022 would be
Answer:
$94,354.29
Explanation:
Depreciation rate = 100/10*2 = 20%
2019 Depreciation = 1290000 * 20% = $258000
2020 Depreciation = 1290000 * 80% * 20% = $206400
2021 Depreciation = 1290000 * 80% * 80% * 20% = $165120
Accumulated depreciation (2019 to 2021) = $258000 + $206400 + $165120 = $629,520
Depreciation expense for 2022 = (1290000 - 629,520) / 7
Depreciation expense for 2022 = 660480 / 7
Depreciation expense for 2022 = $94,354.29
Serotta Corporation is planning to issue bonds with a face value of $390,000 and a coupon rate of 16 percent. The bonds mature in two years and pay interest quarterly every March 31, June 30, September 30, and December 31. All of the bonds were sold on January 1 of this year. Serotta uses the effective-interest amortization method and also uses a premium account. Assume an annual market rate of interest of 12 percent. (FV of $1, PV of $1, FVA of $1, and PVA of $1) (Use the appropriate factor(s) from the tables provided.)
1. Provide the journal entry to record the issuance of the bonds January 12. Provide the journal entry to record the interest payment on March 31, June 30, September 30, and December 31 of this year.3. What bonds payable amount will Serotta report on this year's December 31 balance sheet?
Answer and Explanation:
Before recording the journal entries following calculations need to be made
Maturity amount $390,000
Interest periods 8
The Market rate of interest 3%
Now Quarterly interest paid $15,600 ($390,000 × 16% ×3 ÷ 12) Annuity factor for 8 periods 7.0197
And, Present value factor for 8th period 0.7894
So,
The Present value of Interest $109,507
Add: And, the Present value of Maturity $307,866
Issue price $417,373
Amortization table
Date Interest paid Interest Premium Unamortized Carrying
Expense Amortized Premium Value
01.01 Yr1 $27,373 $417,373
31.03 Yr 1 $15,600 $12,521 $3,079 $24,294 $414,294
30.06 Yr 1 $15,600 $12,429 $3,171 $21,123 $411,123
30.09 Yr1 $15,600 $12,334 $3,266 $17,857 $407,857
31.12 Yr 1 $15,600 $12,236 $3,364 $14,493 $404,493
Now the Journal entries
For Jan 1
Cash account Dr. $417,373
To Bonds payable $390,000
To Premium on bonds payable $27,373\
(Being the bond payable is recorded)
On Mar 31
Interest expense Dr. $12,521
Premium on bonds payable Dr. $3,079
To Cash $15,600
(Being cash paid is recorded)
On Jun 30
Interest expense Dr. $12,429
Premium on bonds payable Dr. $3,171
To Cash $15,600
(Being cash paid is recorded)
On Sep 30
Interest expense Dr. $12,334
Premium on bonds payable Dr. $3,266
To Cash $15,600
(being cash paid is recorded)
On Dec 31
Interest expense Dr. $12,236
Premium on bonds payable Dr. $3,364
To Cash $15,600
(being cash paid is recorded)
Select the correct answer.
which of the following Involved a digital designer?
A The hardware that lets your hard drive work.
B. A computer animated movle
oc. An old cartoon from the 1930s
D. The evening news
A- graph A only
B graph B only
C graph c only
D graph B and C
Answer:
the answer is believe ably c
Zepol Company is planning to produce 600,000 power drills for the coming year. The company uses direct labor hours to assign overhead to products. Each drill requires 0.75 standard hour of labor for completion. The total budgeted overhead was $1,777,500. The total fixed overhead budgeted for the coming year is $832,500. Predetermined overhead rates are calculated using expected production, measured in direct labor hours. Actual results for the year are:
Answer:
Actual results are missing, so I looked for a similar question and found:
Actual results for the year are: Actual production (units) 594,000 Actual variable overhead $928,000 Actual direct labor hours (AH) 446,000 Actual fixed overhead $835,600
1. Compute the applied fixed overhead
2. Compute the fixed overhead spending and volume variances
1) budgeted labor hours = 600,000 units x 0.75 labors hours per unit = 450,000 labor hours
standard fixed overhead rate = $832,500 / 450,000 labor hours = $1.85 per labor hour
applied fixed overhead = actual labor hours x standard fixed overhead rate = 446,000 x $1.85 = $825,100
2) Fixed overhead volume variance = applied fixed overhead – budgeted fixed overhead = $825,100 - $832,500 = -$7,400 favorable
Fixed overhead spending variance = actual fixed overhead - applied fixed overhead = $835,600 - $825,100 = $10,500 unfavorable
total fixed overhead variance = -$7,400 + $10,500 = $3,100 unfavorable
A transformational leadership style would not work well with
a project designed by a team
someone who works best independently
those who appreciate regular feedback
employees who had a strong belief in the company that they work for
Answer:
someone who works best independently
Explanation:
A transformational leadership style is the leadership style in which the leader is involved with the team and works in tandem with them to achieve the set goal.
With this in mind, a transformational leadership style would not work well with someone who works best independently.
person who provides services directly to individuals
Answer:
I just need to respond answers LUL
Explanation:
REEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEE
REEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEE
Brizendine, Inc., manufactures and sells two products: Product R0 and Product B6. The production of Product R0 is 900 units and of Product B6 is 700 units. The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:
Estimated Expected Activity
Activity Cost Pools Activity Measures Overhead Cost Product R0 Product B6 Total
Labor-related DLHs $ 507,394 7,200 3,500 10,700
Product testing tests 9,464 300 500 800
Order size MHs 501,205 3,100 2,800 5,900
$ 1,018,063
The overhead applied to each unit of Product R0 under activity-based costing is closest to what?: (Round your intermediate calculations to 2 decimal places.)
a. $675.91 per unit
b. $292.61 per unit
c. $761.20 per unit
d. $636.29 per unit
Answer:
the overhead cost per unit is $675.91
Explanation:
The computation of the overhead applied to each unit is as follows:
Labour related ($507,394 ÷ $10,700 × $7,200) $341,424
Product testing ($9,464 ÷ 800 × 300) $3,549
Order size ($501,205 ÷ $5,900 × $3,100) $263,345
Total overhead $608,318
Divided by Units 900
Overhead cost per unit $675.91
hence, the overhead cost per unit is $675.91
Therefore the correct option is a.
Suppose that you are an economic-policy advisor. Environmental groups are pressuring you to implement the highest-possible carbon tax while industry groups are pressuring you to implement no carbon tax at all. Both argue that their position makes more sense economically. In fact, the most efficient tax level is: Group of answer choices a tax equal to the social cost. a tax equal to the external cost. the highest possible tax. no tax at all.
Answer: a tax equal to the external cost.
Explanation:
The most efficient taxes are those that will be equal to the external cost of production that a company is imposing on the environment. This means in effect that a company is paying for the pollution it is inflicting on the environment.
Companies polluting less would pay less and those polluting more would pay more. This is the logic of a tax equal to the external cost.
April's credit card has a balance of $483.42, but the amount that she needs to pay to bring the
card to a $0 balance is $726.18 because she missed a payment. What is April's interest rate?
The interest rate for April is 50.29%.
What is Interest ?In the fields of finance and economics, interest is the payment of a sum over and above the principal amount to a lender or depositor by a borrower or deposit-taking financial institution at a set rate.
It is not the same as a fee that the borrower might pay to the lender or another entity.
Given that April's credit card debt is $483.42 but that he needs to make a payment of $726.18, the interest rate for non-payment that he is subject to is as follows:
483.42 = 100
726.18 = X
((726.18 x 100) / 483.42) = X
= X
Consequently,
since 150.29 = 150.29 - 100 = 50.29 %
Learn more about Interest here
https://brainly.com/question/19260630
#SPJ1
Estes Park, Inc., has declared a dividend of $6.20 per share. Suppose capital gains are not taxed, but dividends are taxed at 30 percent. New IRS regulations require that taxes be withheld at the time the dividend is paid. The company's stock sells for $113 per share, and the stock is about to go ex-dividend. What do you think the ex-dividend price will be? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
Answer:
the ex-dividend price is $108.66
Explanation:
The computation of the ex-dividend price is shown below:
The Aftertax dividend is
= Dividend × (1 - tax rate)
= $6.20 (1 - 0.30)
= $4.34
Now the exdividend price is
= Selling price of a share - after tax dividend
= $113 - $4.34
= $108.66
hence, the ex-dividend price is $108.66
We simply applied the above formula so that the correct value could come
And, the same is to be considered
HII I've made about 3 give aways with points and still have a bunch, but this question is asking if anyone wants to be friends? send a request!! also the first person to send a request will get 20 points to continue the giveaway!! i will also probably make more giveaways so make sure to friend me to see when another one takes place!!
Answer:
ok I will send bro gg bye
Answer:
okays
Explanation:
Which of the following statements is true regarding the functions of culture in an organization? A) It hinders the generation of commitment to something larger than individual self-interest among employees. B) It conveys a sense of identity for organization members. C) It reduces the stability of the organizational system. D) It reduces distinctions between one organization and others. E) It does not affect employees' attitudes and behavior.
Answer:
B; It conveys a sense of identity for organization members
The correct option is B. It conveys a sense of identity for organization members that statement is true regarding the functions of culture in an organization.
How does culture influence a member of the organization?The culture shapes the working environment within the company and has an impact on the type of long-term goals that help the company achieve its vision. The rules and procedures that help the organization fulfill its mission on a daily basis are also determined by culture.
Members of the organization get a sense of identity from it. It encourages the development of commitment to goals greater than one's own self-interest. The stability of the social system is improved. It acts as a "sense-making" and control mechanism that directs and molds employees' attitudes and conduct.
Thus, The best choice is B. When a statement about the roles of culture in an organization is true, it gives members of the organization a sense of identity.
Learn more about Culture Influence here:
https://brainly.com/question/14470425
#SPJ6
Corbel Corporation has two divisions: Division A and Division B. Last month, the company reported a contribution margin of $44,300 for Division A. Division B had a contribution margin ratio of 40% and its sales were $232,000. Net operating income for the company was $32,600 and traceable fixed expenses were $55,800. Corbel Corporation's common fixed expenses were:________.
a) $48,700
b) $55,800
c) $104,500
d) $137,100
Answer:
a. $48,700
Explanation:
Contribution margin for Division A = $44,300
Contribution margin for Division B = 40% * Sales Value = 40% * $232,000 = $92,800
Total contribution margin = $44,300 + $92,800 = $137,100
Office Segment Margin =Total contribution margin - Traceable fixed expenses
Office Segment Margin = $137,100 - $55,800
Office Segment Margin = $81,300
Net Operating Income = Office Segment Margin - Common Fixed Expenses
Common Fixed Expenses = Office Segment Margin - Net Operating Income
Common Fixed Expenses = $81,300 - $32,600
Common Fixed Expenses = $48,700
Merger Co. has 10 employees, each of whom earns $2,000 per month and has been employed since January 1. FICA Social Security taxes are 6.2% of the first $128,400 paid to each employee. and FICA Medicare taxes are 1.45% of gross pay. FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to each employee.
Required:
Prepare the March 31 journal entry to record the March payroll taxes expenses.
Answer: Please see answer in explanation column
Explanation:
Journal To record the employer's payroll taxes Expense on March 31st by Merger Co.
Date Account Titles and Explanations Debit Credit
Mar. 31 Payroll Tax Expenses $2,730
FICA - Social Security Taxes Payable $1,240
FICA - Medicare Taxes Payable $290
Federal Unemployment Taxes Payable $120
State Unemployment Taxes Payable $1,080
Calculation:
FICA - Social Security Taxes Payable= 6.2 % x 2000 x 10 employees
= $1,240
FICA - Medicare Taxes Payable=1.45% x 2000 x 10 employees
=$290
Federal Unemployment Taxes Payable=0.6% x 2000 x 10 employees
=$120
State Unemployment Taxes Payable=5.4% x 2000 x 10 employees
=$1.080
Payroll Tax Expenses= FICA - Social Security Taxes Payable + FICA - Medicare Taxes payable + Federal Unemployment Taxes payable +State Unemployment Taxes= $1,240 + $290 + $120 + $1,080 =$2,730
How is environmental pollution market failure
Answer:
In the real world, pollution is served as an example of market failure. ... According to the diagram, in this case pollution, negative externalities occurs. At the output Qe , equilibrium output is achieved by the firm, at which the marginal private cost equals the price of the firm's output.
If you restate a quote in your own words but do not cite your source you can be rightfully accused of
Answer:
correct, you could be accused of plagerism
Jaguar Plastics Company has been operating for three years. At December 31 of last year, the accounting records reflected the following: Cash 23000 Accounts payable 21000
Investments (short-term) 34000 Notes receivable (long-term) 36000
Accounts receivable 4200 Accrued liabilities payable 5300
Inventory 26000 Additional paid-in capital 90900
Equipment 49000 Retained earnings 33900
Factory building 101000 Notes payable (current) 48,000
Intangibles 4100
During the current year, the company had the following summarized activities:
a. Purchased short-term investments for $8,400 cash.
b. Lent $5,600 to a supplier who signed a two-year note.
c. Purchased equipment that cost $23,000; paid $5,600 cash and signed a one-year note for the balance.
d. Hired a new president at the end of the year. The contract was for $87,000 per year plus options to purchase company stock at a set price based on company performance. The new president begins her position on January 1 of next year.
e. Issued an additional 1,400 shares of $0.50 par value common stock for $11,000 cash.
f. Borrowed $16,000 cash from a local bank, payable in three months.
g. Purchased a patent (an intangible asset) for $1,900 cash.
h. Built an addition to the factory for $30,000; paid $8,100 in cash and signed a three-year note for the balance.
i. Returned defective equipment to the manufacturer, receiving a cash refund of $3,100.
Required:
Post the current year transactions to T-accounts for each of the accounts on the balance sheet.
Answer:
Jaguar Plastics Company
Cash Account
Account Titles Debit Credit
Balance 23000
Short-term investments $8,400
Notes Receivable 5,600
Equipment 5,600
Common stock 700
Additional capital 10300
Notes payable 16000
Intangible (Patent) 1900
Equipment (refund) 3100
Investments (short-term)
Account Titles Debit Credit
Balance 34,000
Cash 8,400
Accounts Receivable
Account Titles Debit Credit
Balance 4200
Inventory
Account Titles Debit Credit
Balance 26000
Equipment
Account Titles Debit Credit
Balance 49000
Note payable 17400
Cash 5600
Cash (refund) 3100
Factory building
Account Titles Debit Credit
Balance 101000
Cash 8100
Note Payable (long-term) 21900
Notes receivable (long-term)
Account Titles Debit Credit
Balance 36,000
Cash 5,600
Intangibles
Account Titles Debit Credit
Balance 4100
Cash 1900
Notes payable (current)
Account Titles Debit Credit
Balance 48,000
Equipment 17400
Cash 16000
Common Stock (Calculated)
Account Titles Debit Credit
Balance 78200
Cash 700
Additional paid-in capital
Account Titles Debit Credit
Balance 90900
Cash 10300
Notes Payable (Long-term)
Account Titles Debit Credit
Factory building 21900
Explanation:
a) Data and Calculations:
Cash 23000 Accounts payable 21000
Investments (short-term) 34000 Accrued liabilities payable 5300
Accounts receivable 4200 Notes payable (current) 48,000
Inventory 26000 Additional paid-in capital 90900
Equipment 49000 Retained earnings 33900
Factory building 101000 Common Stock (Calculated) 78200
Notes receivable
(long-term) 36000
Intangibles 4100
a ____ is paid work that gives you experience to lead to a new job
A. Career
B. Job
C. occupation
D. Skill
Answer:
B. Career.
Explanation:
A Career is an Occupation where you can earn better jobs in any given field with progress and experience.
On December 31 of the current year, the unadjusted trial balance of a company using the percent of receivables method to estimate bad debt included the following: Accounts Receivable, debit balance of $98,900; Allowance for Doubtful Accounts, credit balance of $1,131. What amount should be debited to Bad Debts Expense, assuming 4% of outstanding accounts receivable at the end of the current year are estimated to be uncollectible
Answer:
the bad debt expense is $2,825
Explanation:
The computation of bad debt expense is shown below:
= Debit balance of account receivable × given percentage - credit balance of allowance for doubtful debts
= $98,900 × 4% - $1,131
= $3,956 - $1,131
= $2,825
Hence, the bad debt expense is $2,825
We simply applied the above formula so that the correct value could come
And, the same is to be considered
Why should a notary signing agent learn all about the closing documents in a loan package if they are not allowed to provide advice or counsel?
Answer:In American law, a signing agent or courtesy signer is an agent whose function is to obtain a formal signature of an appearer to a document. In common parlance, most jurisdictions require the appearer to sign before a notary public. From this, the practice of a notary public designating themselves as a signing agent has arisen. There are notaries public who specialize in the notarization of real estate transfer and loan document signings. Signing agents often have certification and training through private organizations, but is not a requirement in law, although it may be a requirement of the lender in the oversight of real estate transaction document signatures.
Explanation:
A notary signing agent learns all about the closing documents in a loan package if they are not allowed to provide advice or counsel :
A marking specialist or kindness endorser is an specialist whose work is to get a formal signature of an showed up to an archive. In common speech, most wards require the showed up to sign some time recently a public accountant public. They will be able to let the borrower know where to put his signature and other beginning lines the borrowers ought to fill. Also, to know when to coordinate the borrower to the credit officer or other designated agents when necessary. It is concluded that the Public accountant Marking Operator isn't permitted to guide the borrowers, but as it were to guarantee they sign the papers appropriately.Learn more :
https://brainly.com/question/16627450?referrer=searchResults
In the month of March, Ivanhoe Salon services 550 clients at an average price of $150. During the month, fixed costs were $26,880 and variable costs were 60% of sales. (a) Determine the total contribution margin in dollars, the per unit contribution margin, and the contribution margin ratio. Contribution margin in dollars $enter the contribution margin amount in dollars Contribution margin per unit $enter the contribution margin per unit amount in dollars Contribution margin ratio
Answer and Explanation:
The computation is shown below:
a. Total sales is
= 550 clients × $150
= $82,500
Variable costs is
= 60% of sales
= 60% × $82,500
= $49,500
Now
Contribution margin is
= total sales - variable costs
= $82,500 - $49,500
= $33,000
and, Contribution margin per unit is
= contribution margin ÷ total units
= $33,000 ÷ 550
= $60
And,
Contribution margin ratio is
= contribution margin ÷ total sales
= $33,000 ÷ $82,500
= 40%
Which item will appear on the credit side of ledger account?
a. Cash recived from a customer.
b. Services performed to a customer.
c. Purchases.
d. Rent Expanses.
I just looked it up and I think that it is a
The item that should appear on the credit side of the ledger account is the service performed to the customer.
The following information should be relevant:
The assets, expenses, and dividend account should always have the debit balance. The liabilities, revenues, and the stockholder equity contain the credit balance.Also, the purchase should have a debit balance.Therefore we can conclude that the item that should appear on the credit side of the ledger account is the service performed to the customer.
Learn more about the ledger here: brainly.com/question/14976010
Given the following history, use a three-quarter moving average to forecast the demand for the third quarter of this year. Note, the 1st quarter is Jan, Feb, and Mar; 2nd quarter Apr, May, Jun; 3rd quarter Jul, Aug, Sep; and 4th quarter Oct, Nov, Dec.
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
Last year 130 150 155 215 225 230 175 165 155 230 255 280
This year 155 155 205 220 245 250
Answer:
665
Explanation:
The computation fo the demand expected for the third quarter is as follows:
Oct 230
Nov 255
Dec 280 sum 765
Jan 155
Feb 155
March 205 sum 515
April 220
May 245
June 250 sum 715
Mow the third quarter moving average is
= (765 + 515 + 715) ÷ 3
= 665
If you have done everything correctly, you might realize that stagflation creates a dilemma for the Fed. Why? Choose one or more: A. If the Fed wants to reduce unemployment, it must be willing to accept more inflation. B. If the Fed wants to reduce inflation, it must be willing to accept higher unemployment. C. If the Fed wants to reduce unemployment, it must be willing to accept less inflation. D. If the Fed wants to reduce inflation, it must be willing to accept lower unemployment.
Answer:
A. If the Fed wants to reduce unemployment, it must be willing to accept more inflation.
B. If the Fed wants to reduce inflation, it must be willing to accept higher unemployment.
Explanation:
Stagflation is a situation in which there is a shift of the supply curve to the left that results in a high inflation due to which there is a high unemployement. Now if the fed wants to reduce the inflation so the demand would decline due to which the unemployment rises
Therefore A and B are correct
And C and D are incorrect
Answer:
The Federal Reserve seeks to control inflation by influencing interest rates. When inflation is too high, the Federal Reserve typically raises interest rates to slow the economy and bring inflation down.
Explanation: