Answer:
Trading.
Explanation:
In Business management, when a gain or loss is realized, it simply means that the owner of stock or other securities has sold it. Thus, these unrealized gains or losses are generally referred to as paper profits or losses.
Basically, when the value of a stock being bought by an investor reduces (falls) while he or she is yet to sell it, it is known as an unrealized loss.
However, when the value of a stock being bought by an investor rises (increases) while he or she is yet to sell it, it is known as an unrealized gains.
Hence, unrealized holding gains or losses which are recognized in income are from debt securities classified as trading.
Answer:
each policy will pay $25,000 of the loss
Explanation:
Based on the scenario being described within the question it can be said that the each policy will pay $25,000 of the loss. This is an equal share for each policy and is due to them having the pro rata liability clause. This clause states that a policy is only liable for an equal percentage of the loss if the insurer has other policies from other companies. As in this case.
When solving for the gross profit on a product use:
Gross profit = Sales - Cost of goods sold
Sales = $814,000
Cost of goods sold = $386,650
Gross profit = $814,000 - $386,650
Gross profit = $445,350
Answer:
d. the Circular Flow Model
Explanation:
Based on the information provided within the question it can be said that this statement is an example of the Circular Flow Model. This model (like mentioned in the question) illustrates the flow of cash from different people or company's in different industries. Where one person/company pays another, which takes it in as income and uses that to pay another company for what they need and so on.
