Consider the simplified national income model: AD = C + I…………(1)
Where AD is aggregate demand, C is consumption, and I is investment. Consumption is determined by a behavioral equation, which in this problem takes the form
C= 3,300 + .8 Y……..(2)
Y is national income.
Y and C are ENDOGENOUS VARIABLE and Investment is exogenous VARIABLE. initially we assume
I =1,500……………….(3)
The equilibrium condition requires that aggregate demand equals national income, that is,
AD = Y………………(4)
By using the matrix (Linear) algebra, not by using repeated substitution method,
i) Determine the equilibrium level of national income (Y) and consumption (C.)
ii) Show the overall change or the comparative statics of I increased by 500 on Y and C.
iii) Show your answers by using a graph.

The plastic flowerpots company has two manufacturing departments, molding and packaging. at the beginning of the month, the molding department has 2,100 units in inventory, 70% complete as to materials. during the month, the molding department started 18,500 units. at the end of the month, the molding department had 3,150 units in ending inventory, 80% complete as to materials. units completed in the molding department are transferred into the packaging department. cost information for the molding department for the month follows: beginning work in process inventory (direct materials) $ 1,300 direct materials added during the month 28,900 using the weighted-average method, compute the molding department's (a) equivalent units of production for materials and (b) cost per equivalent unit of production for materials for the month. (round "cost per equivalent unit of production" to 2 decimal places.)

Suppose an economy consists of three sectors: energy (e), manufacturing (m), and agriculture (a). sector e sells 70% of its output to m and 30% to a. sector m sells 30% of its output to e, 50% to a, and retains the rest. sector a sells 15% of its output to e, 30% to m, and retains the rest.

cranium, inc., purchases term papers from an overseas supplier under a continuous review system. the average demand for a popular mode is 300 units a day with a standard deviation of 30 units a day. it costs $60 to process each order and there is a five−day lead−time. the holding cost for a paper is $0.25 per year and the company policy is to maintain a 98% service level. cranium operates 200 days per year.what is the reorder point r to satisfy a 98% cycleminus−service level? a. greater than 1,700 unitsb. greater than 1,600 units but less than or equal to 1,700 unitsc. greater than 1,500 units but less than or equal to 1,600 unitsd. less than or equal to 1,500 units