southwestern supply company has an economic order quantity for item a of 200 units. the annual demand for the product is 5,000 units, and the cost of placing an order is $8. if the company operates 200 days a year and the lead time for the item is five days, what is the reorder point if a safety stock of 50 units is maintained? a.4 days b.25 units c.50 units d.175 units

Answers

Answer 1

The EOQ model is actively used by economists within companies to plan the operations because this quantitative model allows the significant decrease of costs.

What do you understand by economic order quantity?Economic order quantity (EOQ) is a calculation companies perform that represents their ideal order size, allowing them to meet demand without overspending. Inventory managers calculate EOQ to minimize holding costs and excess inventory.Economic order quantity is important because it helps companies manage their inventory efficiently. Without inventory management techniques such as these, companies will tend to hold too much inventory during periods of low demand while also holding too little inventory during periods of high demand.Also referred to as 'optimum lot size,' the economic order quantity, or EOQ, is a calculation designed to find the optimal order quantity for businesses to minimize logistics costs, warehousing space, stockouts, and overstock costs. The formula is: EOQ = square root of: [2(setup costs)(demand rate)] / holding costs.

Annual demand = 1,000

Working days = 250 days per year

Demand per day = 1000/ 250 = 4 units per day

Lead Time demand  = Lead time x Average sales per day

= 6 days lead time x 4 units per day = 24 units

reorder point= Lead time demand + Safety stpock

Safety stock = Reorder point - lead time demand

=  50 - 24 units

Safety stock= 26 units  

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Related Questions

A company that recently changed its slogan is hosting an optional company picnic. Some members of the marketing team are eating together at the picnic and sharing their thoughts on the new slogan. They find that 80\%80%80, percent of them like the new slogan.

Answers

Brand Mantra is a company that recently changed its slogan is hosting an optional company picnic

Slogans enhance marketing campaigns for particular goods, trying to boost revenue for the company. By communicating to the public what a company stands for and what it offers, a slogan can aid in fostering a relationship between a brand and the general public. Slogans employ emotion to express how a good or service might make customers feel.

Slogans help with brand awareness since they stick in people's thoughts and go beyond brand positioning. Effective slogans connect with customers, investors, employees, and other important stakeholders, fostering a sense of comfort and familiarity with a brand.

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28. A company manufactures and sells a product for $91 per unit. The company's fixed costs are $859,716 and its variable costs are $25 per unit. What is the company's break- even point in dollars? (Round all calculations to 2 decimal places.) A. $627,592.68 B. $1,177,693.15 C. $622,982.60 D. $1,091,839.30 E. $66.00
29. A company has fixed costs of $90,000. Its contribution margin ratio is 30% and the product sells for $75 per unit. What is the company's break-even point in dollar sales? A. $ 60,000 B. $128,571 C. $180,000 D. $210,000 E. $300,000
30. Lee Company manufactures and sells widgets for $2 per unit. Its variable cost per unit is $1.70. Lee's total fixed costs are $10,500. How many widgets must Lee Company sell to break even? A. 5,250 B. 6,176 C. 35,000 D. 52,500 E. 61,760
31. At Flint Company's break-even point of 9,000 units, fixed costs are $180,000, and variable costs are $540,000 in total. The unit sales price is: A. $20 B. $40 C. $60 D. $80 E. $100 32. Jet Company's break-even point is 5,000 units. The company's fixed costs are 240,000, and its total variable costs are $85,000. The unit sales price is: A. $20 B. $40 C. $60 D. S65 E. $100

Answers

A business creates and markets a product for $91 per unit. The business's variable costs are $25 per unit, while its fixed costs are $859,716. The break-even point for the corporation in units is 13,026.

When a company's total costs equal its total revenues, such situation is known as break-even. Simply said, it's the turning moment when a business is able to produce a profit.

A break-even analysis is used by businesses to determine how many products or services they must sell in order to turn a profit. The business hasn't turned a profit yet, but it hasn't lost money either at this point when total costs and total revenues match throughout the course of a certain amount of time.

Break-even point in units = Contribution margin per unit – Fixed costs.

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Which component of an enterprise platform focuses on supply chain management of the company's needs?

Answers

Core processing compo-nent of enterprise plat-form focuses on supply chain manage-ment. Technology used to over-see regular company operations, such as sup-ply chains, is a component of core processing.

Core processes are the strateg-ically important processes in the comp-any.  Back office tas-ks and inter-nal ope-rations may also be includ-ed. An enter-prise platform's features include man-aging customer inform-ation, scheduling, and order process-ing, among others.

SA-P, Micro-soft, Ora-cle, AW-S, Go-ogle, and Sales-force are the "Big Six" enterprise plat-form partners.

This model's top level con-tains five distinct processes, some-times referred to as supply chain manage-ment components: plan, source, make, del-iver, and return. Inventory manage-ment and process con-trol are both depend-ent on planning.

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What is purchasing power parity PPP and how can we use it to compare the economies of countries?

Answers

A price level of 0.5 shown for a country in this map means that for a given sum of US dollars you can buy twice as many goods and services in that country than in the US.

Why is PPP important?

PPPs control for the differences in price levels between economies and equalize the purchasing power of currencies. In this way, PPPs show the relative price of a given basket of goods and services in each of the economies being compared with reference to a base economy.

Is PPP better than GDP?

GDP comparisons using PPP are arguably more useful than those using nominal GDP when assessing the domestic market of a state because PPP takes into account the relative cost of local goods, services and inflation rates of the country, rather than using international market exchange rates, which may distort the real .

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Which of the following are true of the job outlook according to the 2020-2021 occupational outlook handbook?

a. Certain jobs in the medical field were expected to grow the most rapidly.
b. The highest-paying occupations require a college degree.

Answers

The highest-paying occupations require a college degree is not  true of the job outlook according to the 2020-2021 occupational outlook handbook.

The expected change in employment for specific occupations over a given time period is referred to as the job outlook. The Bureau of Labor and Statistics in the United States collects and analyses data to forecast the rate of change in employment in a given occupation over the next ten years. The term "job outlook" refers to the forecast of the expected change in a specific occupation. This forecast is typically estimated based on how many people are expected to work in a given occupation over a given time period, such as five or ten years.

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What are the main uses for a checking account?

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You may use an ATM with a bank account to control your daily spending, pay your bills, and have your paycheck transferred directly into your account.

What do you mean by account?

Account. 1 of 2 noun. ac count.: a summary of transactions within a fiscal period displaying the resulting balance.: a record of debit and credit entries to cover transactions concerning a specific item (as cash or notes receivable).

What are the 3 types of accounts?

Real, personal, or notional accounts are the many types of accounts used in accounting. The three categories of real account are then determined: tangible real account and intangible real account. Personal stories can come in three major subtypes: Organic, Authentic, and Artificial.

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How can Accenture use artificial intelligence AI to help improve the customer experience?

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Accenture invests in distinctive intellectual property as part of an effort to increase confidence in artificial intelligence (AI).Accenture use artificial intelligence AI to help improve the customer experience

Intellectual property includes both human inventions and creative works that are employed in trade.Because there is a law that protects all intellectual property in the nation, the development of this differentiated intellectual property aids Accenture in building trust.Accenture use artificial intelligence AI to help improve the customer experience.It is possible to define artificial intelligence as the simulation of human cognitive functions by machines.Computer systems are being employed as a machine with the assistance of specific applications of AI and the guidance of expert systems.It should be highlighted that Accenture would use responsible artificial intelligence concepts to make sure that the new creations do not harm the communities.

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as the inventory control manager for a group of shoe stores, xin-xu calls the bossie boots warehouse when he needs to restock this product because the manufacturer stores all of its products there. another name for this warehouse would be a

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As the inventory control manager for a group of shoe stores, xin-xu calls the bossie boots warehouse when he needs to restock this product because the manufacturer stores all of its products there. another name for this warehouse would be a distribution center.

What is distribution center?

Distribution center can be defined as a warehouse that tend to stock different product  and this product are been re-distributed to  the following :

WholesalersRetailersEnd or final user

Most customers tend to often visit this distribution center for the items or product they need because they believed that they will often get their desired product there instead of having to visit wholesalers or retailers for the same product.

Therefore this is called distribution center.

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What is better than keeping money in savings account?

Answers

Higher interest rates are available on high-yield checking accounts than on savings ones. In contrast to lower savings account interest rates, some of these checking accounts have yields of up to 2% annually.

What pays more than a savings account?

Generally speaking, certificates of deposit (CDs) offer higher interest rates than conventional savings accounts. Your money is safe in savings accounts since they are covered up to $250,000 by the Federal Deposit Insurance Corporation. A savings account gives you easier access to your money than other types of savings. Savings accounts do not aid in wealth accumulation, and over time, inflation may cause your purchasing power to decline.

The quick answer is yes, but there are a number of things you need to take into account in order to successfully do so. In this article, we'll go through how to live off interest income and how much you might need to save to do so. Many millionaires and billionaires gained their wealth by investing in the stock market or by holding shares in businesses they founded or were employed by.

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What are 2 features of a command economy?

Answers

Governmental control over salaries and prices, restricted property rights, government ownership of important companies and industries, and active black markets are all traits of the command economy.

What is command economy?

A central governmental authority that sets the maximum allowable levels of production and the maximum prices that can be paid for products and services is known as a command economy. Public ownership permeates most businesses.

In a command economy, the central authority sets the quantity produced, as well as how they are distributed and priced.

The fair distribution of commodities and services, according to advocates of command economies, can be secured by government control rather than private enterprise.

Private businesses set production and pricing levels in a free market economy depending on consumer demand.

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What was one result of the work of the Tennessee Valley Authority TVA in the 1930s?

Answers

Electric lighting and contemporary appliances made life easier and increased agricultural productivity.

What did the Tennessee Valley Authority perform throughout the 1930s?The Tennessee Valley Authority Act, which was signed in 1933, created a public corporation with the following objectives: "To improve the navigability and to provide for the flood control of the Tennessee River; to provide for reforestation and the proper use of marginal lands in the Tennessee Valley; to provide for the agricultural and industrial development."The biggest change in Valley life was brought about by the energy produced by TVA dams. Electric lighting and contemporary appliances made life easier and increased agricultural productivity. Additionally, the presence of power drew businesses to the area, resulting in the creation of much-needed jobs.

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When air warms up, it causes water vapor to form. The amount of water vapor in the atmosphere is called.

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When air warms up, it causes water vapor to form. The amount of water vapor in the atmosphere is called humidity.

Humidity is the measurement of the quantity of water vapor in the atmosphere. The temperature conditions are what determines how much water vapor or humidity is present in the air. Rain results from clouds forming, which requires humidity.

Clouds and other meteorological phenomena wouldn't exist without humidity. The ability of air to contain moisture fluctuates as a function of temperature; for example, at higher temperatures, the amount of water vapor rises, whereas, at lower temperatures, it falls. In relation to the atmospheric temperature, relative humidity measures the amount of water vapor. In other words, it measures the maximum quantity of water vapor that dry air can carry at a given temperature.

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suppose government imposes a consumption tax of 10% on the consumptiom of every citizen. citizen a has a yearly income of $10,000 and annual saving of $1000. how much does citizen a pay in taxes?

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Suppose government imposes a consumption tax of 10% on the consumption of every citizen. citizen a has a yearly income of $10,000 and annual saving of $1000.The amount that the  citizen a pay in taxes is:$900.

How to find consumption tax?

Using this formula to find the consumption

Income = Consumption + Savings

Consumption = Income - Savings

Consumption =$10,000 - $1,000

Consumption = $9,000

Now let find the  Consumption  tax

Consumption tax = $9,000 × .10

Consumption tax = $900

Therefore the consumption tax is $900.

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Gus tutors George in economics for 3 hours, and Gus values his time at $50 an hour. George is willing to pay up to $200 for a tutoring session. Instructions: Enter your answer as a whole number. If George pays only $180 for the tutoring session, consumer surplus will be If George pays only $180 for the tutoring session, consul res by $ V(Click to select producer surplus by $ less tharn greater than

Answers

Producer surplus by $10 less than greater.

What is a producer surplus?

The difference between the price the producer is capable of selling his goods for and the price he actually receives from the sale is known as the quantity supplied. A criterion of supplier pleasure is producer surplus.

Gus's capacity to accept for three hours P = 3*50 =$150

George is prepared to pay A=$ 200.

George did in fact pay E=$180.

So consumer surplus will be determined as

= A-E

=200-180

=$20

Producer surplus will be determined as

= E-P

=180-150

=$30

Consumer surplus is less by

= 30 -20

=10

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What advantage related to tags does QuickBooks Online Advanced have over other subscription levels?

QuickBooks Online Advanced allows for 300 ungrouped tags, whereas the other levels allow for 100

QuickBooks Online Advanced allows for sub-tags and sub-tag groups, whereas the other levels do not

QuickBooks Online Advanced offers unlimited tag groups, whereas the other levels allow for 40

QuickBooks Online Advanced offers 6 tag-based standard reports, whereas the other levels allow for 2

QuickBooks Online Advanced offers unlimited tag group colors, whereas the other levels allow for 16

Which 3 inventory reports are readily available in QuickBooks Online?

Physical Inventory Worksheet report

Inventory by Product Category report

Inventory Obsolescence report

Bill of Materials report

Inventory Valuation Detail report

Inventory Valuation Summary report

What 3 pieces of information does the Performance Center use to perform industry benchmarking?

Company name

Revenue

Credit score

Industry sector

Number of employees

Location

Which 2 of these statements about tagging are true?

Target lines can be tagged

Journal entries can be tagged

Tags are not visible on printed invoices

Billable expenses will transfer tags to an invoice

QuickBooks Online Payroll transactions cannot be tagged

Answers

QuickBooks Online Advanced offers unlimited tag groups, whereas the other levels allow for 40. The Inventory Valuation Detail report is readily available in QuickBooks Online. Revenue, Credit Score, and also the Industry Sector is being used by the Performance Centre to perform industry benchmarking.

What is the meaning of industry benchmarking?

Industry Benchmarking involves analyzing a company's key performance indicators but also comparing them to competitors, usually the market leader. A company may be using benchmarking to assess the performance of its systems, services, and products. In external benchmarking, a business contrasts its measurements with those of rivals or others operating in the same industry.

Internal, external, performance, as well as Industry benchmarking, are the four main categories.

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What are the four pillars of TCS enterprise agile transformation?

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One TCS IT company that has implemented a value-driven, outcome-based delivery strategy is Ultimatix.

TCS IT's foundations are people (culture), process, and technology, and it uses each of these to build acceptance for a new way of doing things and develop commercial value streams. TCS is one company that is participating in Enterprise Agile 2020 by promoting business agility and supporting rapidly changing requirements. The IT department created a solid and flexible infrastructure in light of TCS' Enterprise Agile 2020 vision to support the company's change initiative.

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Which of the following statements is incorrect about quality?
O a. Companies should focus more on preventing product failure than on fixing it.
O b. To ensure good quality, everyone takes responsibility for making sure the output meets specifications.
O c. Design quality of a product cannot be changed unless the product design is changed.
O d. Cost of quality can be calculated as the cost to manage defective products.

Who is considered the principal in an agency relationship in procurement?
O a. The sales manager
O b. The material user
O c. The supplier
O d. The purchasing manager

Answers

Option A is incorrect. Instead than resolving quality issues, businesses should put more of an emphasis on preventing product failure.

How well a product satisfies client needs, accomplishes its goal, and complies with industry norms is referred to as its quality. Businesses evaluate a number of critical elements when determining a product's quality, including whether it solves a problem, functions effectively, or serves the needs of customers.

Companies may also assess a product's quality using a range of viewpoints that illustrate how various audiences view a product's use. When evaluating a product's quality, one should take the viewpoints of the client, the manufacturer, the product, and the value of the product into consideration. The success of the business and the development of its reputation in target markets are both dependent on the quality of the products.

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Fill in the blanksF. Post-Audit of Investment Projects.1. Describe__________________________________________________________________________________________________________.2. Performing a post-audit is important for several reasons.a.b.c.3. A post-audit involves _________________________________________________________________________________________________.G. Internal Rate of Return (IRR).1. The internal rate of return method differs from the net present value method in that it finds the interest yield of the potential investment.a. The internal rate of return is the interest rate that will cause _______________________________________________________________b. The determination of the internal rate of return involves the use of a financial calculator or computerized spreadsheet to solve for the rate (if the cash flows are uneven).c. If the net annual cash flows are equal, an easier approach to solving for the internal rate of return can be used. This approach involves two steps:(1)(2)d. Internal Rate of Return Factor =e. Once managers know the internal rate, of return, they compare it to________________________________________________________f. The IRR decision rule is: ________________________________ ________________________________________________________.2. The two discounted cash flow methods differ as follows:a. Objective:(1)(2)b. Decision rule:(1)(2)H. Annual Rate of Return Method.1. The annual rate of return method is based directly on accounting data rather than on cash flows.a.b.c.d.e.f.g.

Answers

In financial analysis, the internal rate of return (IRR) is a statistic used to calculate the profitability of possible investments. IRR is a discount rate that, in a discounted cash flow analysis, reduces all cash flows' net present values (NPV) to zero.

The same formula is used for NPV calculations and internal rate of return IRR calculations. Remember that the project's true financial worth is not represented by the IRR. The yearly return is what brings the NPV to a negative value. Generally speaking, an investment is more favorable to make the greater the internal rate of return. IRR may be used to rate a variety of potential investments or projects on a pretty even basis because it is consistent for investments of all sorts. Generally speaking, the investment with the highest IRR would be regarded as the best when comparing choices with other similar attributes.

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How many hours of higher education are required to become a certified
public accountant?
A. 190
B. 200
C. 120
D. 150


Answer:
150

Answers

You wrote the answer??

Allie and sarah decided that they want to purchase renters insurance for the apartment they share. they made a list of all of the items to be covered by the insurance policy, along with their estimated values. if the items to be covered total more than $3000, the insurance company charges an annual premium of 23% of the total value of the items. if the items to be covered total $3000 or less, the insurance company charges an annual premium of 20% of the total value of the items. using the list of items allie and sarah provided, determine their monthly renters insurance premium.

Answers

The answer is b, or $74.75. The insurance provider charges an annual premium equal to 20% of the total worth of the covered products if the amount of the items is $3000 or less.

The data from the investigation must first be compiled.

Data:

Let x be the cost of the items that are covered.

They must if the items cost more than $3,000 to purchase.

suggests that x costs more than $3000 and

The annual premium will make up 23% of the entire amount. 2. If the items' combined retail worth is $3000 or less, it

shows that x is $3000. (or that x is)

not more than $3000)

We then determine the total value of everything. $3900 is the sum of all the values, which is higher.

The yearly insurance for the goods will be $897, or $23% times $3900.

But the premium is supposed to be paid every month. To locate Subtract 12 from the total premium.

$897/12 = $74.75

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What 4 types of plans are involved in financial planning?

Answers

A financial plan should have a retirement strategy, a risk management plan, a long-term investment plan, a tax reduction strategy, and an estate plan as its key components.

What are the four forms of financial data?

However, if you're trying to find investors for your company or are looking to apply for credit, you'll find that four different financial statements the balance sheet, the income statement, the cash flow statement, and the statement of owner's equity can be very helpful in assisting you in reaching your financing objectives.

What are financial management's four main pillars?

Assets, debts, income, and expenses are the four fundamental elements of everyone's financial framework. You can assess the health of your finances and present net worth by measuring and contrasting these.

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communication researchers who follow media ownership saw a consistent trend of characterized by mergers and buyouts through the 1980s and 1990s, resulting in fewer but larger media companies in the 2000s. a. commodification b. conglomeration c. concentration d. synergy

Answers

Communication researchers who follow media ownership saw a consistent trend of option C: concentration  through the 1980s and 1990s characterized by mergers and buyouts and resulting in fewer but larger media companies in the 2000s.

What does marketing concentration mean?

Market concentration gauges how tightly held together a select group of companies' market shares are. It is frequently used as a stand-in for the level of competition.

Therefore, the goal of a concentration strategy is to dominate one particular industry. Three strategies for industry expansion are product development, market development, and market penetration.

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See correct question below

Communication researchers who follow media ownership saw a consistent trend of _________ through the 1980s and 1990s characterized by mergers and buyouts and resulting in fewer but larger media companies in the 2000s. a. commodification b. conglomeration c. concentration d. synergy

How hard is data analytics?

Answers

Data analysis is a process that combines both "hard" and "soft" skills, not one of them specifically. Procedural programming like Python are among the technical knowledge a data analyst has to possess.

What really is data analysis?

In order to find relevant information, establish inferences, and help decision-making, data analysis is the act of looking at, purifying, manipulating, and modeling data.

What do data analysis skills entail?

As just a data scientist, you can communicate you findings in an understandable manner by using graphs, charts, maps, as well as other visual visualizations of information. Learning visualization tools like Tableau is frequently necessary to advance your data visualization skills.

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Field underwriting performed by the producer involves

A) assigning a risk classification to be insured
B) providing commission information to the applicant
C) approving or declining an applicant
D) completing the application and collecting initial premium

Answers

Field underwriting performed by the producer involves completing the application and collecting initial premium. hence, option (D) will be regarded as a relevant option choice.

Give a brief account on Field underwriting.

The first assessment an insurance agent or producer makes about a potential client's ability to meet the underwriting requirements of the insurer is known as "field underwriting." After first assessing the item or person, the agent makes a decision. A insurance advisor has many different responsibilities. On the one hand, they defend their clients' best interests, give advice about the coverage they need, explain the terms of the policy, and eventually help their clients find the coverage that is best suited to their needs and financial situation.

An insurance advisor, on the other hand, simultaneously represents the best interests of the insurance company. The advisor's job in this role include performing some field underwriting as well as effectively reporting the risks to the insurer.

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Question 20 (1.42 points) Which statement best describes an Institutional Review Board (IRB)?
O Subjects are told what the purposes of the study are, what participation in the study involves, what risks (if any) are involved in participating, and what the person can expect to receive in return for participation.
O Subjects must be told the true purpose of the study and the reason for the deception.
O Personal information will not be shared with anyone outside the immediate research group and any results from the research will not identify any of the participants by name.
O They usually comprise people who have research experience themselves and therefore have experience that enables them to judge whether the research being proposed follows reasonable ethical guidelines.

B Question 21 (1.42 points) Which is an example of a negative correlation? 1
O exercise and physical health
O study time and grades
O exposure to sunlight and plant growth
O gas prices and the rate of driving

Answers

Option A is correct. The statement best describes an Institutional Review Board (IRB) is Subjects are told what the purposes of the study are, what participation in the study involves, what risks (if any) are involved in participating, and what the person can expect to receive in return for participation.

Under FDA guidelines, an Institutional Review Board is bunch that has been officially assigned to audit and screen biomedical examination including human subjects. As per FDA guidelines, an IRB has the position to endorse, require adjustments in (to get endorsement), or object research. This gathering survey serves a significant job in the assurance of the privileges and government assistance of human examination subjects.

The purpose behind IRB audit is to guarantee, both ahead of time and by occasional survey, that fitting advances are taken to safeguard the privileges and government assistance of people partaking as subjects in the examination. To achieve this reason, IRBs utilize a gathering cycle to survey research conventions and related materials (e.g., informed assent reports and examiner handouts) to guarantee insurance of the privileges and government assistance of human subjects of exploration.

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Various nations have adopted policies designed to combat overfishing. Which of the following approaches is commonly used to combat the problem of overfishing?

A. Reducing the limits on the numbers of commercial fish species that can be caught
B. Banning the use of sonar as a means for capturing fish in open ocean waters
C. Promoting fishing in estuaries and breeding grounds rather than in the open ocean
D. Enforcing minimum-size requirements for the capture of some commercial species

Answers

Various nations have adopted policies designed to combat overfishing.  the approaches  which is commonly used to combat the problem of overfishing is

D. Enforcing minimum-size requirements for the capture of some commercial species

Why do nations combat overfishing?

One of the main causes of population decreases in ocean species is fishing. Except for overfishing, which occurs when fishing vessels take more fish than the ocean can replenish, taking fish is not necessarily detrimental for the ocean.

Bycatch, or the capturing of unwanted marine life while fishing for a different species, is directly related to overfishing. This is also a severe marine threat that results in the unnecessary extinction of thousands of sea turtles and cetaceans, as well as billions of fish.

Overfishing harms more than just the marine ecosystem.

Enforcing minimum-size requirements for the capture of some commercial species is an approach to curb overfishing

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What are the 3 main user interface types used to interact with a computer?

Answers

The 3 main user interface types used to interact with a computer are Graphical user interface (GUI), Command line interface (CLI) and Menu-driven user interface.

What are the characteristics of GUI?

A system of visual, interactive components for computer software is known as a GUI (graphical user interface). A GUI presents information-conveying and action-representative items for the user to interact with. When the user interacts with the items, they alter their color, size, or visibility.

Why do we utilize GUI?

The user will be given choice points that are simple to identify, comprehend, and employ. In other words, GUI enables you to use a mouse, pen, or even your finger to control your gadget. Because text command-line interfaces were complex and challenging to understand, GUI was developed.

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Does increasing the money supply cause inflation or deflation?

Answers

Inflation may occur when the Federal Reserve increases the money supply. If the Federal Reserve is attempting to boost the economy by increasing the money supply.

Inflation is likely to occur, as prices will rise and the cost of goods will fluctuate.

Deflation or an increase in the money supply?

Prices can also fall as a result of technological advancements and increased productivity, despite the fact that a decrease in the supply of money and credit is typically linked to deflation. The attractiveness of various investment options changes depending on whether the economy, price level, and money supply are expanding or contracting.

What happens when there is more money available?

Interest rates are typically lowered when there is an increase in the money supply. This leads to more investment and more money in the hands of consumers, which in turn encourages spending. As a result, more raw materials are ordered and production is increased.

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16. The CPI differs from the GDP deflator in that the CPI is a price index, while the GDP deflator is an inflation index. firms show up in the CPI but not in the GDP deflator show up in the CPI but not in the GDP deflator government show up in the CPI but not in the GDP deflator. (a) (b) increases in the prices of foreign produced capital goods that are sold to U.S. (c) increases in the prices of foreign produced goods that are sold to U.S. consumers (d) increases in the prices of domestically produced goods that are sold to the U.S.

Answers

. The CPI differs from the GDP deflator in that the CPI is a price index, while the GDP deflator is an inflation index  firms show up in the CPI but not in the GDP  deflator  increases in the prices of foreign produced capital goods that are sold to U.S.

The Measures price movements in products and services bought out of glove compartment by urban consumers, where as GDP price index and underlying price deflator measure price changes in goods and services bought by purchasers, businesses, government, and foreigners, but not importers. The CPI includes widely used products, whereas the GDP price index includes all goods and services. The CPI does not account for all goods and services. CPI measurements are based on a fixed basket of goods.

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What is the example of formal credit?

Answers

Banks and cooperative societies constitute the formal sector of credit.

Landlords, moneylenders, traders, relatives, friends and other sources of credit constitute the informal sector of credit.

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