Answer:
When demand for the product is highly elastic and the supply is relatively inelastic.
Explanation:
Subsidy is an amount of money given to companies by the government to boost production. It is an intervention by the government when economic situation in the free market is unfavourable.
When firms recieve money to boost production their cost of production is reduced.
If demand is highly elastic a small change in price will result in large change in quantity demanded. Companies will sell more goods at a reduced cost.
Of the supply is relatively inelastic there will be a degree of scarcity of the good so prices will go up, and the company willake more money.
Answer:
It is $9,450 (A)
Explanation:
Return on Investment = 40% * $ 45,000
=$18,000
Minimum Required Return = 19% *$ 45,000
= $8,550
Hence, Residual Income = $18,000-$8,550
=$9,450
Minimum required return represents the amount of returns that must be generated on investment to satisfy the expectations of providers of funds.
Residual income is what is left after dividends and interest have been paid to the various investors which can be retained for future investment.
Answer:
The correct answer is letter "D": pertains to sub-units of the entity and may be very detailed.
Explanation:
Managerial Accounting is<em> internally-based accounting</em> that helps managers measure the results of their decisions. This is in contrast to financial accounting which emphasizes more general, higher-level financial results. One common managerial accounting tool is determining the <em>profit margin in each of the company's products</em>. This information helps managers set product prices and ensure that they are making appropriate profit margins.
Is it a multiple choice question? Anyway, this is the definition of a limited partnership:
<span>A Limited Partnership is a partnership consisting of a general partner, who manages the business and has unlimited personal liability for the debts and obligations of the Limited Partnership, and a limited partner, who has limited liability but cannot participate in management.</span>
