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Which best describes the economic effect that results when the government increases interest rates?
Borrowing money becomes more expensive and there is less investment in production.
What happens to a supply curve when there's a decrease in production?
Price will increase as less products are available.
What best describes the economic effect that results when the government increase interest rates and restricts the lending of money?
Borrowing money becomes more expensive and there is less investment in production.
What do investors who sell stocks for less than they paid for them experience?
capital loss
What happens when GDP decreases?
theres less money
Is short term borrowing a source of working capital?
Yes companies has two types of source of working capital available short term as well as long term borrowing. Short term borrowings has less percentage of interest due to less risk then long term borrowings.
Crowding out occurs when?
Crowding out occurs when increased government spending leads to a decrease in private investment due to higher interest rates and reduced funds available for borrowing. This results in less capital investment in the private sector, potentially hindering economic growth.
What happens when less carbon dioxide is available to a plant?
its cool
Which best describes the economic effect that results when the government increases interest rates?
Borrowing money becomes more expensive and there is less investment in production.
When borrowing is less than equity the company is said to be?
Trading equity
What happens to a supply curve when there's a decrease in production?
Price will increase as less products are available.
What happens to the amount of energy available to each successive trophic level in a food chain?
It decreases because there are less and less animals as you go up.
Does it hurt your credit to take out a second mortgage?
Taking out a second mortgage can affect your credit score, but it depends on how much of your available credit you are using. Like with a credit card, people who are closer to their borrowing limit are less favorable to banks than people with a lot of credit available.
What happens when a gas defuses?
When a gas diffuses, it merely spreads out through the volume available to it. It will accordingly become less intense.
Factors to be considered in the choice of a particular business?
The main two factors to be consider are the capital or labor. which may easily available and less expensive will have to be chosen.
When is a capital lease a better alternative than buying an asset?
When the asset depreciates (loses value) fast and you want it only for a short period of time it may be better to lease than to buy. Leasing may also be a less expensive or more available method of financing than borrowing, particularly for someone with poor credit or little credit history, if you cannot afford to pay cash.
What is current assets less current liabilities called?
Current assets minus current liabilities is called working capital and working capital is that free cash amount which is available for running day to day business functions.
