Economics Answers

1. Which of the following statements are correct?
a. Macroeconomics studies the determination of the level of output and income for a specific firm.
b. In macroeconomics we focus on the interaction between different markets, such as the goods market, the financial market, the labour market and the foreign exchange market.
c. Real GDP per capita is widely used as a measure of economic welfare or wellbeing of the residents of a country.
d. The main instrument of fiscal policy is the budget, while the main policy variable is the interest rate.
e. A contractionary monetary policy implies a decrease in government spending and an increase in taxation.
1. a, b and c
2. b, c and d
3. b, d and e
4. Only b and c
5. b, c and e

The Annual Report and Accounts for Copperbelt Energy Corporation Plc are on the website(https://cecinvestor.com/cec-2018-annual-report-erratum/).

e) Calculate the following ratios for 2018 and 2017:
Liquidity Ratios: - Current ratio
- Cash Ratio
- Acid test ratio
Profitability: - Gross Profit %
- Operating profit %
Investment ratios:
- Return on Total Assets(ROA) based on the formula Profit before
tax/Revenue
- Return on Equity(ROE) based on the formula Profit before tax/Total Equity
Efficiency ratios: Debtor collection period/debtors days
Stock days
Creditor payment period/creditor days
Financing/capital structure:
• Interest Cover Ratio
• Total liabilities to Total Equity Ratio

A company has $10,000 in variable cost per unit and $500,000 in fixed cost. The company faces demand: P = 30,000 - Q. What is the profit function in terms of Q?

Suppose TC = 480 + 10Q + 4Q^2. When Q = 10. What is Fixed Cost and Variable Cost?

BIT Bank (in millions)
Assets Liabilities
Reserves $48 Deposits $340
Loans $360 Bank Capital $68

NAT Bank (in millions)
Assets Liabilities
Reserves $48 Deposits $400
Loans $360 Bank Capital $8

Assume that both BIT Bank and NAT Bank have the same net profit after tax of $8 million.

a. Calculate for each bank, BIT Bank and NAT Bank, its: i. return on assets (ROA); ii. return on equity (ROE); and iii. leverage ratio. Show all your calculations.

b. With reference to your answers in (a), which Bank (Bank BIT or Bank NAT) is more attractive for shareholders? Show your calculations to explain your answers.

c. Which bank (Bank BIT or Bank NAT) is riskier in case of loan depreciation at $60 million? Explain. Show your calculations to explain your answers.

The use of spending and taxing to alter macroeconomics outcomes is knows as what policy?

List 10 leading global stock exchange market

travel and tourism
The article by Love2Travel also suggests that inbound tourists have concerns over safety and security
Assess how 'safety and security' influence the operations of travel and tourism organisations

what would happen if consumers did not have easy access to information about products and servises ?

2) An increase in autonomous consumer expenditure causes the equilibrium level of
aggregate output to _____ at any given interest rate and shifts the _____ curve to the
_____.
(a) rise; LM; right
(b) rise; IS; right
(c) fall; LM; left (d) rise; IS; left