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2 years ago

The entry and exit of firms in a purely competitive industry help to improve resource allocation because:_______

1 answer:

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The reason why the entry and exit of firms in a purely competitive industry helps to improve resource allocation is because the losses result in exit and release resources to flow to markers where there are profits.

<h3 /><h3>How can the purely competitve market be beneficial?</h3>

Purely competitive industries allow for easy entry and b which leads to many firms coming into the market.

As a result, there is too much supply which leads to losses when prices drop.

As the companies suffering losses leave the market, they then invest in other markets where there are profits thereby reallocating resources.

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The trial balance for Swifty Corporation appears as follows:

Shkiper50 [21]

Answer:

Explanation:

The adjusting entry for supplies is shown below:

Supplies expense A/c Dr $115

To supplies A/c $115

(Being adjusted entry recorded)

The trial balance show a supplies balance of $148 and the supplies on hand were $33, so the adjusted supply balance would be equal to

= Supplies balance - supplies on hand

= $148 - $33

= $115

8 0

3 years ago

Iaci Company makes two products from a common input. Joint processing costs up to the split-off point total $42,000 a year. The

eimsori [14]

Questions

Iaci Company makes two products from a common input. Joint processing costs up to the split-off point total $42,000 a year. The company allocates these costs to the joint products on the basis of their total sales values at the split-off point. Each product may be sold at the split-off point or processed further. Data concerning these products appear below: Product X Product Y Total Allocated joint processing costs $22,400 $19,600 $42,000 Sales value at split-off point $32,000 $28,000 $60,000 Costs of further processing $11,600 $25,300 $36,900 Sales value after further processing $44,800 $53,200 $98,000 Required: (a) What is the net monetary advantage (disadvantage) of processing Product X beyond the split-off point?

Answer:

Net advantage from further processing $1,200<u> </u>

Explanation:

A company should process further a product if the additional revenue from the split-off point is greater than than the further processing cost.

Also note that all the joint costs incurred up to the split-off point are irrelevant to the decision to process further any of the .

Net monetary advantage of product X

Sales revenue after the split-off point 44,800

Sales revenue at the split-off point <u> (32,000)</u>

Additional sales revenue 12,800

Further processing cost <u>(11,600)</u>

Net advantage from further processing <u> 1,200 </u>

Net advantage from further processing $1,200<u> </u>

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3 years ago

If c corporations retain their after-tax earnings, when will their individual shareholders be taxed on the retained earnings?

stepan [7]

When will shareholders of C businesses that retain their post-tax profits be subject to individual income tax on those retained profits. When shareholders sell their shares for a profit, they must pay taxes.

C corporations will pay tax at a corporate rate of 21% as of the 2020 tax year (down from 35 percent in 2017). Then, dividends are taxed at the owner's personal marginal tax rate, which is up to 37%. (depending on the tax bracket).

Distributions of money or other assets to shareholders will lower the corporation's earnings and profits (E&P), but they won't affect its taxable income. Taxes are paid by the corporation on its taxable income and by the shareholders on any dividends they receive.

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1 year ago

Geert Hofstede defines _____ as that component of our mental programming which we share with more of our compatriots as opposed

mylen [45]

Answer:

National Culture.

Explanation:

National Culture can be understood as a belief, customs, and traditions that are shared among the people of a sovereign nation. This may also include religious backgrounds and traditions, language and racial identity of the individuals. According to Geert Hofstede, National culture is very important while dealing with various cultural issues and processes. Therefore, he has identified national culture as the component of our mental programming, which we share with other citizens around the world. National culture acts as an identity proof as per one's nationality.

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3 years ago

On May 1, 2021, Ziek Corp. declared and issued a 10% common stock dividend. Prior to this dividend, Ziek had 200000 shares of $1

Alenkinab [10]

Answer:

B) did not change.

Explanation:

Stock dividend is the payment of dividend to stockholder in the form of stock/shares of the company. Stock are issued at the market price and the value of the dividend is transferred from the retained earning to the add-in-capital accounts.

Dividend Value = 200,000 x 10% x 25 = $500,000

Par Value of Stocks = $1 x 20,000 = $20,000

Add-in-capital excess of par common stock = ($25-$1) x 20,000 = $480,000

Following entry will be recorded

Dr. Retained earning $500,000

Cr. Common Stock $20,000

Cr. Add-in-capital excess of par common stock $480,000

As all of the accounts are equity accounts and decrease in one equity account and increase in another equity account will not change the total stockholders equity value.

3 0

3 years ago