Beginning inventory, purchases, and sales data for May for Ewert, Inc. are as follows:

May 1 Inventory 25 units at $10

       4   Purchase 20 units at $12

12 Purchase 15 units at $15

Assume 30 units were sold during the month for a price of $25 per unit.

Required:

Part 1) Determine the COST OF GOODS SOLD under each of the following methods:

First-in first-out (FIFO)

Weighted-average

Last-in first-out (LIFO)

Part 2) Determine the ENDING INVENTORY under each of the following methods:

A) First-in first-out (FIFO)

Describe a type of health care spending that you consider wasteful or services that you consider have little or no benefit. Explain why you find the spending wasteful, and if eliminated, what impact it may have on the American public.

5) Fill in the blanks in the table below. Assume that the MPC is constant over everyone in the economy.

Describe a type of health care spending that you consider wasteful or services that you consider have little or no benefit. Explain why you find the spending wasteful, and if eliminated, what impact it may have on the American public.

Explain and graphically illustrate, using the investment demand curve, what happens to investment spending in response to a decrease in the interest rate.

REVIEW: Graphically illustrate and explain, what happens to consumer spending in response to a decrease in the interest rate.

3. Does government intervention crowd out private education? Does government spending improve education outcomes? Explain.

4. Describe if there is a relationship between public spending and the quality of education and whether education increases earnings?

Which of the following will increase the aggregate demand curve?

An increase in consumer spending.

All of these items will increase aggregate demand.

The buying of government securities by the Federal Reserve Bank.

An increase in government purchases.

increase in corporate investment spending

Which of the following is an example of an automatic stabilizer?

• A. an increase in government military spending
• B. government stimulus checks due to the Corona virus
• C. an increase in consumption spending
• D. sales taxes
• E. progressive income taxes

Suppose growth in government spending in an economy permanently rises. Using the
AD-AS model, explain the effects of the permanent increase in government
spending growth on the inflation rate and the real growth rate in both the short run and the long
run.