Answer:
shifts up the aggregate production function; moves the economy along the aggregate production function
Explanation:
An increase in the amount of physical capital per worker <u>shifts up the aggregate production function</u>, while technological progress <u>moves the economy along the aggregate production function</u>.
In the case of an increase in the amount of physical capital per worker, what is implied is that <u>at the same number of labor, output increases</u>; this will shift the aggregate production function outwards.
However in the case of technology, the scenario <u>does not say that technology is remaining at the same level</u> but is <u>progressing for output to increase</u>, hence the movement will not be a shift in the curve but a movement along the curve.
The right answer for the question that is being asked and shown above is that: "<span>c. Accounts Receivable will be overstated by $7,500. " </span>If an adjustment for $7,500 in accrued revenues is omitted, the affect that the financial statements is that a<span>ccounts Receivable will be overstated by $7,500. </span>
Answer:
Explanation:
Base on the description of the question, we can use the following method to solve the given problem
Prepare a retained earnings statement for the year ended May 31, 2018.
Beginning retained earnings 557000
Change in retained earnings
Add: Net income 191000
Less:Dividend -27000
Ending retained earnings 721000
Answer:
Cause of a "Prior Period Adjustment in 2025 Statement of Retained Earnings:"
A. Failure to Accrue Revenue at 12/31/24, but not 12/31/21 Depreciation Overstatement.
Explanation:
A company's failure to accrue revenue in accordance with the accrual concept and revenue recognition principle means that there is a "Prior Period Error" which must be corrected retrospectively in the financial statements (Retained Earnings). Retrospective restatement involves the correction of the error arising from the recognition, measurement, and disclosure of amounts of elements of financial statements. The restatement is done as if a prior period error had never occurred.
