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3 years ago

9

Automobile insurance companies have a problem with people who buy insurance and then drive recklessly or take less care to avoid

losses after being insured. in other words, the automobile insurance market is subject to

1 answer:

Sergio039 [100]3 years ago

4 0

I think the proper term is "moral hazard"

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Which of the following is a source of insurance? *

emmasim [6.3K]

Answer:

Court ruling

Regulations

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2 years ago

Which of the following statements is true?

marissa [1.9K]

Answer: B) A)

Explanation:

This kind of method, direct write-off method is referring to your question and it is considering a method that is used for recognizing bad debts expenses that are coming from credit sales of someone's account. With this method there is no account that is considering allowance and receivable that is found on someones's account is written-off directly to expense when there is uncollectible account expense.

One of the greatest advantages is simplicity because those companies who are doing this method have to make only two transactions.

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3 years ago

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Runyon Inc. reported the following results from last year’s operations: Sales $ 16,800,000 Variable expenses 12,230,000 Contribu

Andre45 [30]

Answer:

Turnover is equal to 2.40

Explanation:

Consider the following equation to calculate the turnover

Turnover = Sales /Average operating assets

= 16.800.000/7000000=

2.4

<em />

<em>Turnover is an accounting concept that calculates how quickly a business conducts its operations.</em>

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3 years ago

1. Prepare a contribution format income statement segmented by divisions. 2-a. The Marketing Department has proposed increasing

AURORKA [14]

Answer: Hello your question is incomplete below is the complete question

answer :

1) attached below

2a) Increases by $25,176

Explanation:

1) Attached below is the contribution format income statement

<u>2a) Determine by how much the net operating income will change </u>

monthly advertising increment = $25,000

Assumed increase in division's sales = 16%

first step : determine increment in contribution margin of west division

= 313,600 * 0.16 = 50,176

change in net operating income = 50176 - monthly advert increment

= 50176 - 25,000 = $25,176 ( increases )

8 0

3 years ago

"Mrs. Smith operates a business in a competitive market. The current market price is $8.10. At her profit-maximizing level of pr

Molodets [167]

Answer:

Mrs.Smith should continue to operate the business in the short run but shut down in the long run.

Explanation:

According to the shut down rule, at the profit-maximizing positive level of output, a business in a competitive market should continue to operate in the short-term if the price equals to or is greater than the average variable cost, but should shut down in the long term if the price is less than or equal to total cost. Here,

price = $8.10

avg variable cost = $8.00

avg total cost = $8.25

Mrs.Smith should continue to operate the business in the short run but shut down in the long run.

6 0

3 years ago

Read 2 more answers