Answer:
TRUE
Explanation:
It is true that when an intercompany inventory profit resulting from a sale by a less than 100% owned subsidiary to its parent is eliminated, the full amount (100%) of the decrease in profit is deducted from consolidated net income available to the parent shareholders.
Unrealized profits are the profit element not earned because they were not sold to third parties, it was basically a transfer between one company in a group (for example subsidiary) and another company in the same group (for example to the parent company).
At the year-end, if the goods are still in inventory, any profit thereon cannot be recognized but eliminated. Therefore for consolidation purposes, this unrealized profit element is taken out of inventory value in order to reduce the inventory value back down to the lower of cost or net realizable value.
This is done by crediting the inventory amount and debiting consolidated retained earnings.
Answer and Explanation:
You will be charged credit card interest on the outstanding balance. Your credit card interest is added to your outstanding balance for each day past your due date of payment(after the month you didn't pay the full amount)
You made a purchase of $750 and paid $150 and so you have an outstanding balance of $600. This outstanding balance will be charged interest on daily basis. Let's assume your APR(your annual interest over 12 months) is 24%, your interest is broken down into months and then days. Your monthly interest is therefore 24/12= 2% and your daily interest = 0.02/30 = 0.00067= 0.0067% per day.
Based on this assumption, you will be charged 0.0067% interest on your outstanding balance each day till you make full payment(interest + outstanding balance)
A major advantage of the built-in or automatic stabilizers is that they require no legislative action by Congress to be made effective.
<h3>What are automatic stablizers?</h3>
Automatic stabilizers are stabilizers that adjust the economy automatically without the intervention of the congress. An example of an automatic stablizer is taxes.
In an expansion, progressive tax increases the tax paid by citizens and in a contraction, tax paid is reduced and this increases disposable income.
Here is the complete question:
A major advantage of the built-in or automatic stabilizers is that they:
(a) simultaneously stabilize the economy and reduce the absolute size of the public debt.
(b) automatically produce surpluses during recessions and deficits during inflation.
(c) require no legislative action by Congress to be made effective.
(d) guarantee that the federal budget will be balanced over the course of the business cycle.
Answer:
Monopolistic
Explanation:
The type of competition that occurs in a competitive market without identical producers is a monopolistic one.
