Foundations of Economics (8th Edition)
8th Edition
ISBN: 9780134486819
Author: Robin Bade, Michael Parkin
Publisher: PEARSON
expand_more
expand_more
format_list_bulleted
Question
Chapter 26, Problem 2SPPA
To determine
To calculate:
The net and gross investment during 2013 of the U.S.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
The Bureau of Economic Analysis reported that the U.S. capital stock was $44.1 trillion at the end of 2009, $45.0 trillion at the end of 2010, and
$46.4 trillion at the end of 2012.
Depreciation in 2010 was $2.4 trillion, and gross investment during 2012 was $2.9 trillion.
Calculate U.S. net investment and gross investment during 2010.
>>> Answer to 1 decimal place.
U.S. net investment during 2010 was $0.9 trillion.
U.S. gross investment during 2010 was $0.5 trillion.
Next
During 2016, Simon's Recording Studio spent $25,000 on new machines.
Simon's depreciation was $5,000.
What was Simon's net investment?
Net investment was $
Annie runs a fitness center. On December 31, 2018, she bought an existing business with exercise equipment and a building worth $500,000.
During 2019, business improved, and she bought some new equipment for $300,000. At the end of 2019, her equipment and buildings were worth $775,000.
Calculate Annie's gross investment, net investment, and depreciation during 2019.
Annie's gross investment during 2019 was $.
Annie's net investment during 2019 was $
Annie's depreciation during 2019 was $
Enter your answer in each of the answer boxes.
DII
F9
吕口
888
F8
F7
F 6
F5
F4
F3
esc
F2
F1
&
23
$4
4
1
E
R
Y
Q
tab
G
# 00
Chapter 26 Solutions
Foundations of Economics (8th Edition)
Ch. 26 - Prob. 1SPPACh. 26 - Prob. 2SPPACh. 26 - Prob. 3SPPACh. 26 - Prob. 4SPPACh. 26 - Prob. 5SPPACh. 26 - Prob. 6SPPACh. 26 - Prob. 7SPPACh. 26 - Prob. 8SPPACh. 26 - Prob. 9SPPACh. 26 - Prob. 1IAPA
Ch. 26 - Prob. 2IAPACh. 26 - Prob. 3IAPACh. 26 - Prob. 4IAPACh. 26 - Prob. 5IAPACh. 26 - Prob. 6IAPACh. 26 - Prob. 7IAPACh. 26 - Prob. 8IAPACh. 26 - Prob. 9IAPACh. 26 - Prob. 10IAPACh. 26 - Prob. 1MCQCh. 26 - Prob. 2MCQCh. 26 - Prob. 3MCQCh. 26 - Prob. 4MCQCh. 26 - Prob. 5MCQCh. 26 - Prob. 6MCQCh. 26 - Prob. 7MCQCh. 26 - Prob. 8MCQ
Knowledge Booster
Similar questions
- Michael is an Internet service provider. On December 31, 2017, he bought an existing business with servers and a building worth $200,000. During 2018, his business grew and he bought new servers for $500,000. The market value of some of his older servers fell by $100,000. What was Michael's gross investment, depreciation, and net investment during 2018? Michael's gross investment during 2018 was Sarrow_forwardOn January 1, 2016, Sophie's Internet Cafe owned 10 computer terminals valued at $8,000. During 2016, Sophie's bought 5 new computer terminals at a cost of $1,250 each, and at the end of the year, the market value of all of Sophie's computer terminals was $9,000. What was Sophie's gross investment, net investment, and depreciation? Sophie's gross investment during 2016 was Sarrow_forwardSee attached image. Identify the value of savings in the economy What is the value of tax revenue in the economy What is the value of investment spending in the economyarrow_forward
- An economy’s capital stock was $46.3 billion at the end of 2016, $46.6 billion at the end of 2017, and $47.0 billion at the end of 2018. Depreciation in 2017 was $2.4 billion, and gross investment during 2018 was $2.8 billion. a) Calculate the gross investment during 2017 b) Calculate the net investment during 2017arrow_forwardIn each part that follows, use the economic data given to find national saving, private saving, public saving, and the national saving rate. a. Household saving = 200 Business saving = 400 Government purchases of goods and services = 120 Government transfers and interest payments = 100 Tax collections = 175 GDP = 2,300 Instructions: Enter your response for the national saving rate rounded to one decimal place. If you are entering any negative numbers, be sure to include a () In front of those numbers. National saving Private saving Public saving National saving rate GOO b. GDP = 6,050 Tax collections = 1,225 Government transfers and interest payments - 400 Consumption expenditures 4,500 Government budget surplus 100 Instructions: Enter your response for the national saving rate rounded to one decimal place, If you are entering any negative numbers, be sure to include a () in front of those numbers. National saving Private saving Public savingNational saving rate 100 c Consumption…arrow_forwardConsider the following data (in billion $) for a country in a particular year: (assume this country has Zero Transfer Payment Personal consumption expenditure (C) 200 Exports (x) 10 Government Purchases of goods and services (G) 120 Imports (m) 15 Gross Domestic Product (Y) 1800 Taxes 20 d. What is the value of gross investment? e. What is the value of net export? f. Is the country lending to or borrowing from rest of the world? g. Dose the government has deficit, balance or surplus budget? h. What is the amount of investment financed by national saving? i. What is the amount of investment financed by borrowing from rest of the world? J. What is the meaning of transfer paymentarrow_forward
- Suppose GDP in this country is $1,540 million. Enter the amount for government purchases. National Income Account Value (Millions of dollars) Government Purchases (GG) Taxes minus Transfer Payments (TT) 455 Consumption (CC) 700 Investment (II) 490 Complete the following table by using national income accounting identities to calculate private and public saving. In your calculations, use data from the initial table. Private SavingPrivate Saving = = (t-g, y-t-i, c-t,y-c-t) = = million Public SavingPublic Saving = = (t-g, y-t-i, c-t, y-c-t) = = million Based on your calculations, the government is running a budget (surplus, deficit) .arrow_forwardSuppose GDP in this country is $480 million. Enter the amount for investment. National Income Account Government Purchases (G) Taxes minus Transfer Payments (T) Consumption (C) Investment (I) Value (Millions of dollars) 150 180 225 Complete the following table by using national income accounting identities to calculate national saving. In your calculations, use data from the preceding table. National Saving (S) Private Saving Public Saving Complete the following table by using national income accounting identities to calculate private and public saving. In your calculations, use data from the initial table. million 105 million million Based on your calculations, the government is running a budgetarrow_forwardLaurasia has $ 100 billion in Public Savings and $ 600 billion in Private Savings. What is Laurasia's National Savings? $ billionarrow_forward
- Annie runs a fitness center. On December 31, 2021, she bought an existing business with exercise equipment and a building worth $300,000. During 2022, business improved and she bought some new equipment for $50,000. At the end of 2022, her equipment and building were worth $325,000. Calculate Annie's gross investment, depreciation, and net investment during 2022. 946-56arrow_forwardSuppose GDP is 10.3 trillion, taxes are 1.8 trillion, private saving is 1.2 trillion and public saving is 0.2 trillion. Assuming this economy is closed, calculate: consumption, government purchases, national saving and investment.arrow_forwardEconomics Suppose GDP is $10 trillion, taxes are $2.5 trillion, private saving is $1.5 trillion, and public saving is $0.5 trillion. Assuming this economy is closed; calculate consumption, government purchases, national saving, and investment.[arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Principles of Economics (12th Edition)EconomicsISBN:9780134078779Author:Karl E. Case, Ray C. Fair, Sharon E. OsterPublisher:PEARSONEngineering Economy (17th Edition)EconomicsISBN:9780134870069Author:William G. Sullivan, Elin M. Wicks, C. Patrick KoellingPublisher:PEARSON
- Principles of Economics (MindTap Course List)EconomicsISBN:9781305585126Author:N. Gregory MankiwPublisher:Cengage LearningManagerial Economics: A Problem Solving ApproachEconomicsISBN:9781337106665Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike ShorPublisher:Cengage LearningManagerial Economics & Business Strategy (Mcgraw-...EconomicsISBN:9781259290619Author:Michael Baye, Jeff PrincePublisher:McGraw-Hill Education
Principles of Economics (12th Edition)
Economics
ISBN:9780134078779
Author:Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:PEARSON
Engineering Economy (17th Edition)
Economics
ISBN:9780134870069
Author:William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:PEARSON
Principles of Economics (MindTap Course List)
Economics
ISBN:9781305585126
Author:N. Gregory Mankiw
Publisher:Cengage Learning
Managerial Economics: A Problem Solving Approach
Economics
ISBN:9781337106665
Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-...
Economics
ISBN:9781259290619
Author:Michael Baye, Jeff Prince
Publisher:McGraw-Hill Education