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Xelga [282]
2 years ago
14

An increase in the supply of grain will reduce the total revenue grain producers receive if.

Business
1 answer:
Bogdan [553]2 years ago
7 0

If the<u> demand curve is inelastic</u>, a rise in the supply of grain will result in a decrease in the overall income received by grain producers.

The ability of firms to enter and exit a market over time means that, in the long run, the supply curve is more elastic.

Two basic economic concepts are combined in the law of supply and demand to explain how shifts in the price of a resource, good, or service affect its supply and demand. As the price rises, supply increases while demand decreases. On the other hand, as the price falls, demand increases and supply becomes more limited.

The degree to which changes in price translate into changes in demand and supply is known as the product's price elasticity.

Basic consumer demand is comparatively inelastic, or less responsive to price changes.

Discover the long-term impact of population growth on supply and demand: brainly.com/question/13353440


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When appreciated property is distributed in a nonliquidating distribution, the net effect on the distributing corporation's E&am
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Answer:

True

Explanation:

"Nonliquidating corporate distributions are distributions of cash and/or property by a continuing corporation to its shareholders. At the shareholder level, a nonliquidating corporate distribution can produce a variety of tax consequences, including taxable dividend treatment, capital gain or loss, or a reduction in stock basis. [...]

The corporate-level tax consequences of a nonliquidating corporate distribution depend on whether the distribution consists of cash or property (other than cash). The corporation does not recognize gain or loss when it distributes cash to shareholders or when it redeems stock in exchange for cash payments."

Reference: Ellentuck, Albert  B. “Understanding the Effects of Nonliquidating Distributions on Corporations.” The Tax Adviser, 1 Jan. 2009

8 0
4 years ago
A company issues $100,000 of 6%, 5-year bonds dated January 1 that pay interest semiannually. The bonds are issued when the mark
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Answer:

To find the present value of the interest payments, multiply <u>$3,000</u> by the present value factor <u>8.1109</u>.

Explanation:

the market price of the bonds:

  • present value of face value = $100,000 / (1 + 4%)¹⁰ = $67,556.47
  • present value of coupon payments = $3,000 x 8.1109 (PV annuity factor, 4%, 10 periods) = $24,332.70

market price = $91,889.17

Since the market rate is higher than the coupon rate, the bonds will be sold at a discount.

8 0
3 years ago
The statement of cash flows shows the following information:
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Ambiance Inc. buys back 3,000 shares of its $10 par value common stock from investors at $45 per share. This stock repurchase wo
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8 0
3 years ago
Ahmed Company purchases all merchandise on credit. It recently budgeted the month-end accounts payable balances and merchandise
Ainat [17]

Answer:

Ahmed Company

a. Computation of the budgeted merchandise purchases:

                                    May              June             July            August

Cash payments    $1,400,000    1,550,000    1,400,000     1,500,000

Ending balance         150,000        130,000      300,000        120,000

Total                    $1,550,000   $1,680,000  $1,700,000   $1,620,000

less:

Beginning balance                        150,000       130,000        300,000

Purchases          $1,550,000   $1,530,000  $1,570,000   $1,320,000

b. Computation of the budgeted cost of goods sold:

                                             May            June            July            August

Beginning Inventory                              260,000     500,000      300,000

Purchases                        1,550,000   1,530,000   1,570,000    1,320,000                        

Goods available for sale 1,550,000    1,790,000 2,070,000    1,620,000

Ending Inventory               260,000     500,000     300,000      330,000

Cost of goods sold       $1,290,000 $1,290,000 $1,770,000 $1,290,000

Explanation:

a) Data and Calculations:

         Accounts Payable    Merchandise Inventory

31-May    150,000              260,000

30-Jun    130,000              500,000

31-Jul     300,000              300,000

31-Aug   120,000               330,000

b) Ahmed Company's purchases of merchandise can be obtained by reviewing the Accounts Payable beginning and ending balances and the cash payments made during the months.  Alternatively, monthly Accounts Payable can be prepared and the differences in the debit and credit side will be the purchases as the missing figure.

c) Once the purchases of merchandise have been computed, to compute the cost of goods sold becomes easier.  The cost of goods sold for Ahmed Company is the difference between the cost of goods available for sale and the ending inventories of merchandise.

8 0
3 years ago
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