Since inventories can be costly to hold, firms' planned inventory investment should be zero, and firms should
Question:
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 75% (12 reviews)
False Although inventories are costly to hold many firms prefe...View the full answer
Answered By
Carly Cimino
As a tutor, my focus is to help communicate and break down difficult concepts in a way that allows students greater accessibility and comprehension to their course material. I love helping others develop a sense of personal confidence and curiosity, and I'm looking forward to the chance to interact and work with you professionally and better your academic grades.
4.30+
12+ Reviews
21+ Question Solved
Related Book For
The Economics of Money Banking and Financial Markets
ISBN: 978-0133836790
11th edition
Authors: Frederic S. Mishkin
Question Posted:
Students also viewed these Micro Economics questions
-
"If nominal GDP rises, velocity must rise." Is this statement true, false, or uncertain? Explain your answer.
-
"When the stock market rises, investment spending is increasing." Is this statement true, false, or uncertain? Explain your answer.
-
Foreign exchange rates, like stock prices, should follow a random walk. Is this statement true, false, or uncertain? Explain your answer.
-
Two positive charges, each with charge q = 2.5 nC, are placed as shown in the diagram. The distance d 0.42 m. Find the net electric potential at the point x = 0, y = 0.12 m.
-
Two infinite parallel grounded conducting planes are held a distance a apart. A point charge q is placed in the region between them, a distance x from one plate. Find the force on q. Check that your...
-
A charge of \(+2 q\) is enclosed inside a hollow copper sphere having a wall thickness of \(5 \mathrm{~mm}\). Compute the electric flux through the copper sphere.
-
Explain with the help of neat sketches, the working principle of four stroke petrol engine.
-
Qen and Associates wants to buy automated coffee roaster/grinder/ brewer. This piece of equipment would have a useful life of six years, would cost $218,500, and would increase annual net inflows by...
-
The Tom Corp wants to know its cost of capital. Its current capital structure calls for 4 5 % debt, 1 5 % preferred stock and 4 0 % common equity. Initially, common stock will be in the form of...
-
A loan of $2000 was repaid together with interest of $604.35. If interest was 8% compounded quarterly, for how many months was the loan taken out?
-
Why is inventory investment counted as part of aggregate spending if it isn't actually sold to the final end user?
-
If households and firms believe the economy will be in a recession in the future, will this necessarily cause a recession, or have any impact on output at all?
-
The lifetime of a certain light bulb in a certain application has mean 700 hours and standard deviation 20 hours. As each bulb burns out, it is replaced with a new bulb. Find the mean and standard...
-
Use the 2020 Federal Tax Rates for Individuals to calculate the estimated taxes for a taxable income of $31.000. Tax rate 10% 2020 Federal Tax Rates for Individuals Taxable Income Bracket SO to $9875...
-
A 47-kg pole vaulter running at 10 m/s vaults over the bar. Her speed when she is above the bar is 1.5 m/s. Neglect air resistance, as well as any energy absorbed by the pole, and determine her...
-
1.Changes in income can impact our consumption choices. As one's income fluctuates, they may also get more joy out of some goods and less from others. Respond to each of the following in 2-3 complete...
-
Consider the inverse demand function below for a market with 2 dominant firms: P=600-3(Q 1 +Q 2 ) Assume that both firms have identical marginal costs: $300, yet one of them, Firm 1, is the leader...
-
1. there are two different schools of thought on how to lower gasoline prices and reduce U.S. dependence on foreign oil. One is to increase supply of oil (drilling offshore), and the other is to...
-
The following terms pertain to the budgeting process: benchmarks..........................................bottlenecks budget...................................................budget committee...
-
Use integration by parts to evaluate the following. Check your answer by taking the derivative. x2e-xdx
-
In the mid- to late 1970s, the yen appreciated relative to the dollar even though Japans inflation rate was higher than Americas. How can this be explained by an improvement in the productivity of...
-
In the mid- to late 1970s, the yen appreciated relative to the dollar even though Japans inflation rate was higher than Americas. How can this be explained by an improvement in the productivity of...
-
Under fixed exchange rates, if Britain becomes more productive relative to the United States, what foreign exchange intervention is necessary to maintain the fixed exchange rate between dollars and...
-
Marea's Cakes sells its cakes for $30 each. Ingredients cost Marea on average $10 per cake and she pays her baker $10 per cake. For the upcoming year, Marea's fixed costs will be $50,000 and she...
-
The statement of cash flow consists of three main activities, as follows: Operating Investing Financing Each section provides the reader with details on where the cash came from and where the cash...
-
How would i calculate the desired ROI per unit based on this information: $65Per Unit Direct Materials $48.00Per Unit Direct Labour $16.00Per Unit Variable Manufacturing Overhead $12.00Per Unit...
Study smarter with the SolutionInn App