Many Economists Argued Against Using Discretionary Fiscal Policy During the Great

question 10

True/False

Many economists argued against using discretionary fiscal policy during the Great Recession because interest rates were very low and fiscal policy is ineffective when interest rates are near zero.

Understand the accounting treatment of convertible debt under IFRS.

Calculate and interpret the debt to assets ratio.

Comprehend the use of GAAP and IFRS in bond amortization.

Prepare journal entries for the issuance, amortization, and redemption of bonds and mortgages.

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Definitions:

P/E Ratio

The price-to-earnings ratio is a valuation metric for a stock, calculated by dividing the market price of a share by the earnings per share, indicating how much investors are willing to pay per dollar of earnings.

Price-to-Sales Ratio

A valuation ratio that compares a company's stock price to its revenues, an indicator of the value placed on each dollar of a company's sales or revenues.

Dividend Discount Model

A method of valuing a company's stock price based on the theory that its stock is worth the sum of all its future dividend payments, discounted back to their present value.

Telecommunications

The transmission of signals, messages, words, writings, images, and sounds or information of any nature by wire, radio, optical, or other electromagnetic systems.