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2 years ago

What is the equilibrium price

1 answer:

7 0

The equilibrium price refers to the cost of goods and services for the consumer where the forces of market supply are equal to the forces of market demand.

<h3>What do you mean by Price?</h3>

A price refers to the money that needs to be paid for acquiring a particular good, product, or service.

When the supply of goods and services is equal to the demand of goods and services, it is known as an equilibrium price.

The market is in a state of equilibrium when the forces of supply and demand are equal.

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Maxwell Tax Planning Service bought communications equipment for $ 10 comma 800 on January? 1, 2019. The equipment has an estima

mestny [16]

<h2>Answer </h2>

Accumulated depreciation will be $1080 for 6 months.

<h3>Step by step explanation </h3>

Maxwell Tax Planning Service with a communication equipment has value on 1 Jan 2019 of $10,800 and has a useful life of 5 years.

We will depreciate 10,800/5 and will get depreciation charge for 1 year which is $2160.

10,800/5 = 2160

Hence, depreciation for 1 year is $2160

Obtained from the question is that we need depreciation till 30 June 2019.

Thereby, we will prorate 1 year depreciation $2160 by multiplying it with 6 months and dividing with 12 months. We will get the answer $1080.

2160 x 6 / 12 = 1080

Therefore, 6 months depreciation will be $1080

4 0

3 years ago

Your friend says that Company A is doing a great job for shareholders. He says that their ROA is high. You point out that shareh

Llana [10]

Answer:

Your friend says that Company A is doing a great job for shareholders. He says that their ROA is high. You point out that shareholders tend to like debt and the Company A has low debt. Furthermore, ROA is biased towards companies with low debt. You suggest that __ROE______ is a better measure of the job management is doing for shareholders.

Explanation:

Company A's Return on Equity (ROE) is a financial measure that investors use to gauge how their equity investments in the company are generating income. The Return on Assets (ROA) helps the same investors to measure how management is using Company A's assets or resources to generate more income. Company A's ROE is determined by dividing its net income by the equity, while its ROA is determined by dividing its net income by the assets. If the ROE equals the ROA, it shows that there is no leverage (debts) held by Company A.

5 0

3 years ago

Units-of-activity Depreciation A truck acquired at a cost of $180,000 has an estimated residual value of $9,500, has an estimate

tatiyna

Answer:

The depreciable cost is $170500

The depreciation rate is $3.1 per mile

The depreciation expense for the year is $13640

Explanation:

The depreciable cost is the cost of the asset that qualifies to be charged as depreciation expense over the estimated useful life of the asset. The depreciable cost is calculated as follows,

Depreciable cost = Cost - Residual Value

depreciable cost = 180000 - 9500 = $170500

The depreciation rate under unit of activity method is the amount of depreciation that will be charged per unit of the asset usage.

The depreciation rate = Depreciable cost / estimated useful life in units of activity

The depreciation rate = 170500 / 55000 = $3.1 per mile

The units of activity depreciation for the year can be calculated by multiplying the depreciation rate per unit by the activity for the year in unit terms.

Depreciation expense for the year = 3.1 * 4400 = $13640

5 0

3 years ago

Give examples of how ratios gleaned from the financial statements can be used as a tool in helping a firm plan for the future. W

Delvig [45]

Answer:

Evalute risk and return

Explanation:

Various financial and accounting ratios are used to evaluate firms future, and they play an essential part in developing the financial statement. Overall, the most important factor they play is to plan for the future by carefully analyzing the firm's risk and return by using different ratios such as Liquidity Ratios, Leverage Ratios and Activity Ratios. They help to understand and predict the outcomes of certain investments and they point out the right investment and operation techniques to achieve desired outcomes. The market can change or later the whole decisions, and that makes it unpredictable to a certain extent.

4 0

3 years ago

SMOLIRA GOLF CORP. 2018 Income Statement Sales $ 515,454 Cost of goods sold 365,628 Depreciation 46,713 Earnings before interest

Leona [35]

Answer:

Note: Find attach the other missing table of question

Particulars Amount$

<u>Cash flow from operating activities</u>

Income 62,855

Depreciation 46,713

Increase in AR (10,685)

Increase in inventory (39,202)

Increase in AP 3,540

Decrease in notes payable (3,258)

Increase in other CL <u>4,590</u>

Cash flow from operating activities A $64,553

<u>Cash flow from Investing activities</u>

Sale of invt

Purchase of PPE = ($102,771)

($522,333 + $46,713 - $466275)

Cash flow from Investing activities B ($102,771)

<u>Cash flow from Financing activities</u>

Issue of long term debt 66,525

Dividends Paid (25,000)

Cash flow from Financing activities C $41,525

Net change in cash & cash equivalents A+B+C $3,307.00

Opening cash and cash equivalents $36,185

Closing cash and cash equivalents $39,492

3 0

3 years ago