Answer Happy

Lwando owns a delicatessen, namely Foodies Paradise. Lwando has determined that he needs R5 000 cash per day for customer transactions. Lwando has a choice between going to the bank first thing on Monday morning to withdraw R25 000 - enough cash for the whole week - or going to the bank first thing every morning for R5 000 each time. Lwando puts the cost of going to the bank at R6 per trip. Assume that funds left in the bank earn precisely enough interest to keep their purchasing power unaffected by inflation. Lwando's delicatessen is open 5 days a week for 48 weeks each year. If Lwando goes to the bank every day when the inflation rate is 5%, then the daily trips to the bank would result in net and Lwando's annual shoe leather costs of inflation equal
Which of the following statements is/are correct. 1. W.A. Lewis proposed a dualistic economic development model, with rural agricultural and urban manufacturing sectors. Lewis claimed that the conventional agricultural industry was typified by low productivity, high unemployment, low wages, and low savings. II. According to the New Growth Theory, the economy can grow indefinitely as a result of the decisions people make in their pursuit of profit.
Seal Island is characterised as a small open economy. Over the past five month's Seal Island's real exchange rate has appreciated. You have been tasked with determining the cause of this phenomenon. In your report to the president, you conclude that