Answer:
The correct answer is d. Trade restrictions often provide benefits to highly visible special interest groups while imposing a less visible cost on the general populace.
Explanation:
A trade restriction is an artificial restriction to the exchange of goods and / or services between two countries. It is the byproduct of protectionism. However, the term is controversial because what a party can see as a trade restriction can be seen as a way to protect consumers from inferior, harmful or dangerous products. For example, Germany demanded that beer production adhere to its purity law. The law, originally implemented in Bavaria in 1516 and eventually converted into a law for the newly unified Germany in 1871, meant that many foreign beers could not be sold in Germany as "beer." This law was annulled in 1987 by the Court of Justice of the European Union, but remains voluntarily followed by many German breweries.
Answer:
d. 2750 units
Explanation:
The break-even point occurs when the make option cost equals the buy option cost. The number of units 'x' needed in order for both options to yield the same costs is given by:
The break-even point is 2,750 units
Answer:
A. an increase in the price level (inflation)
Explanation:
When there is an unanticipated increase in aggregate demand it usually result in the general increase in the price level of that good demanded (inflation). This is because when there is an unpredicted increase in demand for a good, the demand becomes higher than the supply for that good at that particular period. Because the supply is now less than the aggregate demand, the prices of the commodity is then increased to discourage demand. The increase in the price of the commodity (inflation) therefore is a direct result from the increase in the aggregate demand for that commodity.
Answer:
1. Income Statement for Digital Vibe Manufacturing company
For the Month ended January 31
Sales 875,000
Cost of goods sold 525,000
Gross Profit 350,000
Operating Expenses:
Selling expenses 125,000
Administrative expenses 80,000
Total Operating expenses <u>205,000</u>
Net Income <u>$145,000</u>
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B.
1. Ending material inventory = Material purchased - Used material in production
= 168,500 - 149,250
= $19,250
2. Ending work in Process inventory = Material used in production + Direct labor + Factory overhead - Transferred of work in process to finished goods
= 149,250 + 360,000 + 120,000 - 600,000
=$29,250
3. Ending finished goods inventory = Transfer from work in progress - Cost of goods sold
= 600,000 - 525,000
= $75,000
Answer:
Explanation:
The journal entry is shown below:
On January 1, 2017:
Unearned compensation A/c Dr $120,000
To Common stock (4,000 × $3) $20,000
To Paid-in capital in excess of par value $100,000
(Being restricted stock is issued and the remaining balance is credited to the paid-in capital)
On December 31, 2018:
Compensation expenses A/c Dr $30,000
To Unearned compensation $30,000
(Being compensation expenses are recorded)
The compensation expenses is computed below:
= (Fair value of stock) ÷ (number of years)
= ($120,000) ÷ (4 years)
= $30,000
