Given that Y= C+I, where C= 50+0.75 and I = N45m, what is the equilibrium level of income?

musayusufyunusa

5 years ago

Y=C+I
Where,C=50+0.75 and I=N45M
C=50+0.75+45M
Collect Like Terms
C=50+45M+0.75
C=95M+0.75
Y=(0.75)=95M
Y=(1-0.75)=95M
Y=0.25=95M
Y=380M
M stands for Million in the solution
N stands for Naira in the Solution

Mayor598mahn

3 years ago

I=investment
C= consumption
Y= Government expenditure
y = C + I
y= 50 + 0.75 + 45m
collect like times
y - 0.75 = 50+45
y(1- 0.75) 95
0.25\95 = 380

Dillion4real

4 years ago

Mpc is =0.75
l=investment
C=consumption
Y=government expenditure
Formula is k=1/1-mpc
So y=50+0.75+45m
So:y(1/1-mpc)=50+0.75+45m
Collect like terms, since our mpc is 0.75 meaning marginal propensity to consume, subtitle mpc value into it's provision in the formula
y(1/1-0.75)=50+45m
y/25/100=95m
y/1/4=95m
Take d left hand side reciprocal then we have
y/4=95m
Cross multiply
y=4*95m
y=380m

Gbabygifted

12 years ago

pls someone should solve dis for me

ategothotu

7 years ago

the options are incorrect