Answer:
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A graphical view of balanced-budget fiscal policy Suppose the government enacts a "balanced budget" change in fiscal policy by increasing spending and raising taxes. Assume the tax increase affects both consumption and production spending. Use the slides in following exhibit to preview potential effects of this policy on aggregate supply (AS), aggregate demand (AD), and the market equilibrium (E) when the initial curves and equilibrium are given by AS1, AD1, and E1, respectively. Initial View View 1 View 2 View 3View View 5 PRICE LEVEL REAL GDP AD 1 AS 1 E 1 The total effect of the change in spending and taxation is best represented by . True or False: According to the principle of Ricardian equivalence, the effect of increased government spending on aggregate demand would be smaller if it were financed through borrowing instead of taxation. True False
Answer:
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Explanation:
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During 2022, Cheyenne Corp. reported cash provided by operations of $699000, cash used in investing of $604000, and cash used in financing of $167000. In addition, cash spent on fixed assets during the period was $243000. Average current liabilities were $572000 and average total liabilities were $1510000. No dividends were paid. Based on this information, what was Cheyenne free cash flow
Answer:
$456,000
Explanation:
Free cash flow = Cash flow from operating activities - Capital expenditure
Free cash flow = $699,000 - $243,000
Free cash flow = $456,000
So, based on this information, Cheyenne free cash flow is $456,000
Jack wants to build a business with a 42-foot sign on the top of his building. He believes that the sign will generate a lot of business. The city has an ordinance which limits the size of the sign to 30 feet and requires that it be on a sign post, independent of other structures. Jack's attorney tells Jack he had better check with the city before he builds anything. What can Jack do about the sign issue?