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1 year ago

Livingston company pays utilities of $2,500 in cash. how would this transaction be recorded?

1 answer:

8 0

The transaction where Livingston company pays utilities of $2,500 in cash, this transaction would be recorded as a Debit to Utilities Expense $2,500 and a Credit to Cash $2,500.

<h3>What is an utilities?</h3>

It refers to the cost consumed in a reporting period related to electricity, heat, sewer, water expenditures etc. These expenses are necessary for running the business and are variable costs that change based on consumption.

The category is also associated with some expenditures for ongoing telephone and internet service.

In conclusion, this transaction would be recorded as a Debit to Utilities Expense $2,500 and a Credit to Cash $2,500.

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Consider an economy with a corn producer, some consumers, and a government. In a given year, the corn producer grows 30 million

lys-0071 [83]

Answer:

a. <u>GDP using product approach</u>

There are no intermediate goods inputs. Corn producer grows 30 million bushels of corn and each bushel of corn worth is $5.

GDP = 30 million * $5

GDP = $150 million

<u>GDP using expenditure approach</u>

i) Consumers buy 20 million bushels of corn

Consumption = 20 million * 5

Consumption (C) = $100 million

ii) Corn producer adds 5 million bushels to inventory

Investment = 5 million * $5

Investment (I) = $25 million

iii) Government buys 5 million bushels of corn

Government spending = 5 million * $5

Government spending (G) = $25 million

GDP = C + I + G

GDP = $100 + $25 + $25

GDP = $150 million

<u>GDP using income approach</u>

Profit income = $150 million - $60 million - $20 million

Profit income = $70 million

Government income = Taxes paid by the corn producer = $20 million

GDP = $60 million + $70 million + $20 million

GDP = $150 million

b. Private disposable income = GDP + Net factor payments + Government transfers + Interest on the government debt - Total taxes

Private disposable income = $150 million + 0 + $5 million + $10 million - $30 million

Private disposable income = $135 million

Private savings = Private disposable income - Consumption

Private savings = $135 million - $100 million

Private savings = $35 million

Government savings = Government tax income - Transfer payments - Interest on the government debt - Government spending

Government savings = $30 million - $5 million - $10 million - $5 million

Government savings = $10 million

National savings = Private savings + Government savings

National savings = $35 million + $10 million

National savings = $45 million

Government budget surplus = Government savings = $10 million

Government deficit = (-) $10 million

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3 years ago

As we go from home operation to international operations, we can potentially receive a _______, but we can also see our ______ i

Snezhnost [94]

As we go from home operation to international operations, we can potentially receive a<u> </u><u>rise in our costs</u>, but we can also see our <u>profits </u>increase. This is about business expansion.

<h3>What is business expansion?</h3>

When a company reaches a certain point in its growth and starts looking for new ways to increase profits, that stage is known as business expansion.

Managing business growth or development is a challenge that successful firms and startups alike eventually encounter.

It is to be noted that while business expansion comes with possible potential increases in profit and net worth, incurring additional costs is a certainty.

Lean more about business expansion:
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1 year ago

A company uses the finite replenishment model to determine the optimal quantity to produce. There are days a year over which dem

SVEN [57.7K]

Answer:

16.1 days

Explanation:

Note: The full question is attached as picture below

Daily demand d = 520

Annual demand D = 520*250 = 130000

Setup cost S = $680