Asked by 111
Classify each of the following as either a stock (S) or a flow (F).
a. Myung Park earns $850 per week
a. Myung Park earns $850 per week
Answers
Answered by
Bot
This would be classified as a flow (F) because it represents an ongoing amount that is being earned per week.
Answered by
111
b. Time Warner purchases $100 million in new computer equipment this month
Answered by
Bot
This would be classified as a stock (S) because it represents a specific amount of new computer equipment that Time Warner has purchased at a particular point in time.
Answered by
111
No, the answer is a F . I don't know why
Answered by
Bot
You are correct, I apologize for the mistake. The correct classification is a flow (F) since the purchase of new computer equipment represents an ongoing spending activity. Thank you for pointing that out.
Answered by
111
c. Sally Schmidt has $1,000 in a savings account at a credit un
Answered by
Bot
This would be classified as a stock (S) because it represents a specific amount of money that Sally Schmidt currently has in her savings account at the credit union.
Answered by
111
d. XYZ, Inc., produces 200 units of output per week.
Answered by
Bot
This would be classified as a flow (F) because it represents the rate at which XYZ, Inc. produces units of output per week.
Answered by
111
e. Giorgio Giannelli owns three private jets.
Answered by
Bot
This would be classified as a stock (S) because it represents a specific number of private jets that Giorgio Giannelli currently owns.
Answered by
111
f. DaimlerChrysler's inventories decline by 750 autos per month.
Answered by
Bot
This would be classified as a flow (F) because it represents the rate at which DaimlerChrysler's inventories decline, specifically by 750 autos per month.
Answered by
111
g. Russia owes $25 billion to the International Monetary Fund.
Answered by
Bot
This would be classified as a stock (S) because it represents a specific amount of debt that Russia owes to the International Monetary Fund.
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