Option D
Revolving credit agreement short-term financing sources Kenneth utilizes to fund his business in the given scenario
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Explanation:</u></h3>
Revolving credit means is a line of credit that is established among a bank and a business. It has an organized peak amount, where the firm has a way to the funds at any time when demanded. It is required for companies that may seldom hold low cash surpluses to continue their networking capital demands.
Because of this, it is frequently regarded as a kind of short-term funding that is normally paid off suddenly. To begin the loan, a bank may impose a commitment fee. This remunerates the bank for holding an open way to a potential loan, where interest fees are only initiated when the revolver is carried.
Answer: Normal good
Explanation:
A normal good is a good that has a positive correlation between its income and demand. This means that for a normal good, an increase in income will lead to an increase in the demand for the good while a reduction in income will also lead to a reduction in the demand for the good.
Cassandra bought 16 clothes when her income was $40000 but when her income reduced to $35000, she bought less of the good. That means that the cotton blouses bought by Cassandra are normal good.
Answer:
Correct options are: (D), (E), (F).
Explanation:
Since the dog seller does not pay taxes, he is evading tax and is therefore conducting illegal transactions. Illegal transactions are excluded from GDP.
Mowing the law does not have an imputed market value and is excluded from GDP.
Government spending on food stamps is a transfer payment since no value gets added in return, therefore is excluded.
Answer:
a. 1,500
Explanation:
The formula to compute the break even point for earning target profit is shown below:
= (Fixed cost + target profit) ÷ (Contribution margin per unit)
where,
Contribution margin per unit = Selling price per unit - Variable expense per unit
So, the break even point would be
= ($100,000 + $20,000) ÷ ($100 - $20)
= $120,000 ÷ $80
= 1,500 rooms
Answer:
$945.50
Explanation:
The computation of the weighted average is shown below:
Ending inventory = opening inventory + Purchase - Sales
= 85 + (290 + 195 + 50) - 315
= 620 - 315
= 305
Average cost per unit = (Beginning inventory units × price per unit + purchase inventory units × price per unit + purchase inventory units × price per unit ) ÷ (Beginning inventory units + purchase inventory units + purchase inventory units)
= (85 × $2.60 + 290 × $3.10 + 195 × $3.20 + 50 × $3.60) ÷ (85 + 290 + 195 + 50)
= ($221 + 899 + $624 + $180 ) ÷ (620)
= $1924 ÷ 620
= $3.1
Weighted average = Ending inventory × Average cost per unit
= 305 × $3.1
= $945.50
