In an economy investment increased by 1,100 and as a result of it income increased by 5,500. Had the MPS been 25 percent, what would have been the inc

Question

In an economy investment increased by 1,100 and as a result of it income increased by 5,500. Had the MPS been 25 percent, what would have been the inc

In an economy investment increased by 1,100 and as a result of it income increased by 5,500. Had the MPS been 25 percent, what would have been the increase in income ?

Monjur Alahi

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2025-01-04 04:42

1 Answers

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Salim Ahmed Kawsar · Accepted Answer · 2023-02-05T15:29:48+06:00

Salim Ahmed Kawsar

`DeltaY = DeltaI = (1)/(MPS)`
`5,500 = (1,100)/(MPS)`
`MPS = (1,100)/(5,500) = 0.20`
`Delta Y = (1,100)/(0.25) = 4,400`

7 views Answered 2023-02-05 15:29