The goods market of a closed economy obeys the following equation system: C = 50 + 0.9(Y −T) Z = C + I + G,
with the given exogenous values
I = 100, G = 600, T = 500.
a)Determine the equilibrium values for output at Y = Z, for C, and for disposable income Y −T = YD. Evaluate the fiscal multiplier.
b)This equilibrium is unsatisfactory, as government expenditures exceed revenues and thus public saving is negative. Determine the values for G and T that are required to fulfill the condition G = T and nevertheless keep output Y at the same level. Evaluate C and YD.
c)Suppose the government now increases G as well as T by the same amount, say by 100. By how much does Y change if at all? The corresponding value ∆Y/∆G is called the balanced-budget multiplier.
d)Now re-consider the original economy in (a), i. e. without assuming G = T, but assume that taxes T depend on output T = 0.2Y. Determine the fiscal multiplier for this modified model.

Vulcan flyovers offers scenic overflights of mount st. helens, the volcano in washington state that explosively erupted in 1982. data concerning the company’s operations in july appear below: vulcan flyovers operating data for the month ended july 31 actual results flexible budget planning budget flights (q) 56 56 54 revenue ($350.00q) $ 16,500 $ 19,600 $ 18,900 expenses: wages and salaries ($3,300 + $91.00q) 8,354 8,396 8,214 fuel ($31.00q) 1,904 1,736 1,674 airport fees ($870 + $35.00q) 2,730 2,830 2,760 aircraft depreciation ($11.00q) 616 616 594 office expenses ($240 + $1.00q) 464 296 294 total expense 14,068 13,874 13,536 net operating income $ 2,432 $ 5,726 $ 5,364 the company measures its activity in terms of flights. customers can buy individual tickets for overflights or hire an entire plane for an overflight at a discount. required: 1. prepare a flexible budget performance report for july that includes revenue and spending variances and activity variances.

Money from an allowance or job is known as .

The following are line items from the horizontal analysis of an income statement:increase/ (decrease) increase/ (decrease) 2017 2016 amount percent fees earned $120,000 $100,000 $20,000 20% wages expense 50,000 40,000 10,000 25 supplies expense 2,000 1,700 300 15 which of the items is stated incorrectly? a. fees earned b. supplies expense c. none of these choices are correct. d. wages expense