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When did market capitalization begin?
Market capitalization begins at the start of any company. It is calculated by multiplying outstanding shares by the current market price of one share.
How does free trade work?
Free trade work is done with the acceptance of both parties one party offer and second offer accepted if both are agree then free tradework done.
How is the GDP deflator calculated and what factors are considered in its computation?
The GDP deflator is calculated by dividing nominal GDP by real GDP and multiplying by 100. It measures the change in prices of all goods and services produced in an economy. Factors considered in its computation include changes in the prices of consumer goods, investment goods, government spending, and net exports.
How do you calculate the annual holding cost for inventory?
The annual holding cost for inventory is calculated by multiplying the average inventory level by the cost to hold one unit of inventory for a year. This cost typically includes expenses such as storage, insurance, and obsolescence.
How is the GDP deflator calculated and what does it indicate about the overall price level in an economy?
The GDP deflator is calculated by dividing nominal GDP by real GDP and multiplying by 100. It indicates the overall price level in an economy by measuring the change in prices of all goods and services produced, showing how much of the change in GDP is due to price increases rather than actual growth.
