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balandron [24]
3 years ago
13

If the demand increases by 100%, annual production will have to increase to jaw-breakers next year to meet the expected increase

. gummy land has two options:
Business
1 answer:
aleksklad [387]3 years ago
5 0
<span>If demand increases by 100% in one year, gummy land has two options. First, they could increase their staff and production hours to meet the increased demand. Second, if demand is increased by 100%, gummy land needs to take a look at a supply and demand chart and decide if increasing the price may slow demand by a little bit but will still increase profits. They need to look at an equilibrium price and decide which of the two options makes the most sense economically. If their demand increased by such a large number, it would be reasonable to assume that their demand would not decrease significantly with a slight increase in price.</span>
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On June 1, 2018, Blue Co. distributed to its common stockholders 180,000 outstanding common shares of its investment in Red, Inc
faltersainse [42]

Answer:

Blue Co. Shall report $396,000 as gain before income taxes on disposal of the stock.

Explanation:

Book value per share of Red Inc = $1.20 per share

As the value of share is revised just after the declaration but before distribution there will be gain on sale of investment.

Net gain = Sale price - Book value

= $3.40 - $1.20 per share = $2.2 per share

Total gain for the year end on June 30 will be

= $2.2 per share X 180,000 shares = $396,000 shares

Thus Blue Co. Shall report $396,000 as gain before income taxes on disposal of the stock.

8 0
3 years ago
You are interested in becoming a teacher or professor; the CTSO you wouldconsider joining isa.TSAb.FEAc.HOSAd.FFA
VMariaS [17]

Answer:

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Explanation:

4 0
2 years ago
LO 7.1What are the advantages and disadvantages of the bottom-up budgeting approach?
geniusboy [140]

Answer:

 The following are the disadvantages and the advantages of bottom-up budgeting approach are as follows:

<u>  Advantages of bottom-up budgeting approach:</u>

  • The bottom-up budgeting approach helps in making the decisions very quickly as compared to all other budgeting methods.
  • The main benefit of the bottom-up budgeting approach is that it helps in aligned the project goals in an organization by giving the specific direction.
  • It helps in understand the resources, needs, expenses and the cost of each department in an organization.

<u> Disadvantages of bottom-up budgeting approach:</u>

  • The bottom-up budgeting approach is complex as it sometimes cause misrepresent the budget figures in the given data.  
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4 0
3 years ago
What will happen to the current ratio if current assets increase, while everything else remains unchanged?
Nana76 [90]

The current ratio will increase if current assets increase, while everything else remains unchanged.

This is further explained below.

<h3>What is the current ratio?</h3>

Generally, A liquidity ratio that evaluates a company's capacity to pay short-term debts or those that are due within the next year is called the current ratio.

It explains to investors and analysts how a business may get the most out of the current assets that are shown on its balance sheet in order to pay off its current debt and any other payables.

A current asset is defined as any asset that a company can reasonably expect to sell, consume, or deplete through the normal operations of the business inside the current financial year or an operating cycle, or an economic year.

In other words, a current asset is an asset that will be sold, consumed, or exhausted.

In conclusion, If current assets continue to grow while everything else stays the same, the current ratio will continue to show an upward trend.

Read more about current assets

brainly.com/question/14287268

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5 0
1 year ago
In its first month of operations, Marigold Corp. made three purchases of merchandise in the following sequence: (1) 240 units at
trapecia [35]

Answer:

A= $1120

Explanation:

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