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4 years ago

In a free-market economy, a product that entails a negative externality (additional social cost) will be

1 answer:

5 0

In a free-market economy, a product that entails a negative externality (additional social cost) will be underproduced. A free-market economy is when the government has little or no restrictions and regulations on buyers and sellers in the market. They are essentially 'free' of all control and can base their inputs and outputs off of supply and demand. If there is a negative externality, then there too few items being produced in the economy.

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At the beginning of 2014, Sabrina Company had the following normal ledger balances: Accounts Receivable: $24,000 Allowance for U

zimovet [89]

Answer:

$10,300

Explanation:

Accounts receivable, beginning = $24,000

Credit sales = $450,000

Cash collections from customers = $460,000

Accounts receivables written off = $3,700

Accounts receivables, ending = Accounts receivable, beginning + Credit sales - Cash collections from customers - Accounts receivables written off

Accounts receivables, ending = $24,000 + $450,000 - $460,000 - $3,700

Accounts receivables, ending = $10,300

So, at the end of the year, the balance in the Accounts receivable is $10,300.

7 0

3 years ago

Invoro is a market leader in consumer electronics. If Finolo and Ethver, companies that manufacture televisions, develop the sam

Yanka [14]

Answer:

Invoro will have a resource that is valuable but no longer rare.

Explanation:

Invoro's competitive edge has been duplicated by Finolo and Ethics through their customer knowledge base and products that appeal to customers.

The resource that Invoro has is still valuable and can give the company a good market share, but it is no more rare.

5 0

4 years ago

Who is the Father of accounting

vovangra [49]

Answer:

Luca Pacioli

Luca Pacioli, was a Franciscan friar born in Borgo San Sepolcro in what is now Northern Italy in 1446 or 1447.

5 0

3 years ago

A construction company entered into a fixed-price contract to build an office building for $28 million. Construction costs incur

Radda [10]

Answer:

$3.2 million

Explanation:

The revenue and gross profit or loss which the company identify in the first and second year if it recognizes revenue upon contract completion is calculated below.

Total costs = Incurred costs + estimated costs to complete = $8 million + $12 million = $20 million

Revenue to recognize = $8m/$20m*$28m = $11.2 million

Gross Profit = Revenue recognized less costs incurred

= $11.2m - $8m = $3.2 million

4 0

3 years ago

What is a rental inventory and why is it a good idea to have one?

bearhunter [10]

A rental inventory is basically like people rent you things. Cars, and lots of stuff. its a good idea to have a rental inventory because you can rent people things in a business.

3 0

3 years ago