From Data Compiled Over a 10-Yr Period by Manpower, Inc

question 23

Essay

From data compiled over a 10-yr period by Manpower, Inc., in a statewide study of married couples in which at least one spouse was working, the following transition matrix was constructed. It gives the transitional probabilities for one and two wage earners among married couples. At the present time, 48% of the married couples (in which at least one spouse is working) have one wage earner, and 52% have two wage earners. Assuming that this trend continues, what will be the distribution of one- and two-wage earner families among married couples in this area 10 years from now? Over the long run?
Please round the answers to one decimal place.
Percentage of one-wage earner families among married couples 10 years from now is __________%
Percentage of two-wage earner families among married couples 10 years from now is __________%
Percentage of one-wage earner families among married couples over the long run is __________%
Percentage of two-wage earner families among married couples over the long run is __________%

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Definitions:

Adjusting Entries

Journal entries made at the end of an accounting period to allocate income and expenses to the period in which they actually occurred.

Income Statement

A financial statement that reports a company's financial performance over a specific accounting period, detailing revenue, expenses, and net income or loss.

Balance Sheet

A document detailing a firm's assets, liabilities, and owners' equity at a particular moment, offering an overview of its financial health.

Unearned Subscriptions

A liability account that represents payments received by a company for subscriptions that have not yet been earned because the service has not been provided.