The answer is: D. Increasing the capacity of the bottleneck increases capacity for the whole system
Companies who use bottleneck management would stock large number of their products in their disposal before eventually release them to the consumers on a large scale.
Increasing the capacity of the bottle neck does not necessarily increase the capacity of the whole system because there are limits on how much the employees (specifically the sales department) could sell. There is always a huger risk of overstock that could resulted in a huge loss for the company.
Answer: $0
Explanation:
The cyclical deficit occurs when there is a different between the actual output and the potential output. This is why it is calculated by the formula:
= Tax rate * ( Potential output - Actual output)
As the economy here is at the potential output, it means that both the actual and the potential output are the same. In such a case, there would be no cyclical deficit.
This can be proven by the formula:
= Tax rate * ( Potential output - Actual output)
= 30% * (0)
= $0
A price regulation that put a price cap on the apartment rents a landlord is permitted to charge leads to underproduction. A monopoly leads to underproduction. The answer is both under productions in the monopoly leads and apartment rent leads.
Answer:
With the correcting entry method, the wrongly posted account will transfer the amount that was to be posted elsewhere to the place it was to be posted in. In this case the posting was to be to Accounts Receivable not Service fees so:
Date Account Title Debit Credit
May 23 Service Fees $1,270
Accounts Receivable $1,270
Answer and Explanation:
The Journal entry is shown below:-
Cash account Dr. $50,000
To Paid in Capital in Excess of Stated Value account $45,000
To Common Stock account $5,000
(Stated Value 1 × $5,000)
Being common stock issued is recorded)
For recording the common stock issued we simply debited the cash account as it is increasing assets while we credited the paid in capital in Excess of Stated Value and common stock as equity is increasing.
