The management area of coordinating and directing from the top hierarchies is the where some ethically relevant questions may occur.
<h3>What is an Ethics?</h3>
This refers to some standards that imposes a reasonable obligations to refrain from fraud, slander, gossip etc in a firm.
Some example of an ethical behaviors in the firm are:
- obeying company's rules
- effective communication
- accountability & professionalism
- trust and mutual respect
Hence, the management area of coordinating and directing from the top hierarchies is the where some ethically relevant questions may occur.
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Answer:
2. An outward shift of the production possibilities curve.
Explanation:
Economic growth can be defined as an increase in the output of goods produced in an economy or increase in what an economy produces using its scarce resources.
Simply put it is an increase in production capacity.
The production possibility curve shows all possible combinations of two products that can be produced with a given level of resources.
When there is increase in capacity there is increase in number of goods that can be produced. For example if resources of 50 units can produce 15 units of A and 20 units of B. An increase of resources to 70 units will be able to produce more let's say 20 units of A and 23 units of B.
This results in shift of PPP outward as illustrated in the attached diagram.
Answer:
Journals :
Land $350,000 (debit)
Building $100,000 (debit)
Mortgage Payable $450,000 (credit)
Explanation:
The Land and Building is Initially measured at cost of acquisition not the fair market value. The cost of Acquisition in this case is the Present Value of the Mortgage Payable used to obtain the Property.
Step 1
Use the Time Value of Money Techniques to find the Present Value of the Mortgage.
Calculation of Present Value of the Mortgage
N = 20 × 12 = 240
P/YR = 12
PMT = - $3,488.85
I = 7 %
FV = $ 0
PV = ?
Using a Financial Calculator to Input the Values as above, the Present Value of the Mortgage will be $450,000.
Step 2
When Recording, apportion the Land and Building costs using their fair market value.
Land $350,000 (debit)
Building $100,000 (debit)
Mortgage Payable $450,000 (credit)