Unlike households, governments are often able to sustain large debts. for example, in 2015, the u. s. government's total debt reached $18.1 trillion, approximately equal to 100.4% of gdp. at the time, according to the us treasury, the average interest rate paid by the government on its debt was 1.2%. however, running budget deficits becomes hand when very large debts are outstanding.
a. calculate the dollar cost of the annual interest on the government's total debt, assuming the interest rate and debt figures previously cited.
b. if the government operates on a balanced budget before interest payments are taken into account, at what rate must gdp grow for the debt-gdp ratio to remain unchanged?

Analyzing operational changes operating results for department b of delta company during 2016 are as follows: sales $540,000 cost of goods sold 378,000 gross profit 162,000 direct expenses 120,000 common expenses 66,000 total expenses 186,000 net loss $(24,000) suppose that department b could increase physical volume of product sold by 10% if it spent an additional $18,000 on advertising while leaving selling prices unchanged. what effect would this have on the department's net income or net loss? (ignore income tax in your calculations.) use a negative sign to indicate a net loss answer; otherwise do not use negative signs with your answers. sales $answer cost of goods sold answer gross profit answer direct expenses answer common expenses answer total expenses answer net income (loss) $answer