Answer:
Consumption $
1900
Investment 0
Government Expenditures 0
Net Exports -$
1900
Change in GDP as a result of the transaction 0
Explanation:
Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year
GDP calculated using the expenditure approach = Consumption spending by households + Investment spending by businesses + Government spending + Net export
Net export = exports – imports
The purchase of the laptop is part of durable consumption. So, consumption increases by $1900
The purchase of the laptop is not by a business or by the government. Investment and government expenditure remains unchanged.
The purchase of the laptop from China constitutes an import activity. Import increases. But import is a negative function of import, so net export decreases.
Total change in GDP = $1900 + 0 + 0 - $1900 = 0
Answer:
Insurance $4,800 (debit)
prepaid insurance $4,800 (credit)
Explanation:
In order to find out adjusting entries. firstly, we need to calculate the difference between prepaid insurance account and Insurance account.
That could be done by subtracting $3,550 from $8,350.
Difference = 8350-3550= 4800
So we first need to find the profit per unit, which means we need to find the number of units sold
profit = (sales price* quantity) - variable cost*quantity - fixed costs
plug in what we know
300,000 = (20q) - 12q-25,000
275,000 = 8q
q= 34,375 units produced. Then take profit/units = 300,000/34375 = 8.73 profit per unit
Now if we sell 5,000 more units, we would have 8.73*5000 = 43,636.36 additional profit
Answer: $900
Explanation: LIFO inventory costing method.
This means Last In First Out method. Since the last stock for the year was bought in Nov and the company sold 150 units.
Using LIFO method, 150 * $6 = $900