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Liula [17]
3 years ago
8

12. What happens as a result of a shortage? a. There is downward pressure on prices. b. There is upward pressure on prices. c. C

onsumers begin to view the good as an inferior good because they have a hard time finding it. d. Supply of the good decreases.
Business
1 answer:
choli [55]3 years ago
4 0

Answer:

Option C There is upward pressure on prices

Explanation:

The reason is that the price and supply are inversely proportional to each other. If the supply increases the prices of the product will decrease. This means that the product will increase its value if the supply of the product gets lower. Also note that the price moves upward to reach equilibrium for a level of supply. It means if the product prices increases then the supply shortage will be lowered as a result nobody will buy the product. So the supplier will have to lower price that the consumer will be willing to pay to the supplier.

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When applying for a loan, the lending institution evaluates a potential borrower's ability to complete repayment on a loan, cash
viktelen [127]

Answer:

D. Capacity

Explanation:

In order to applying for a loan, the financial institution analyze the borrower information in terms of creditworthiness i.e. collateral property, cash on hand, repayment conditions, status of the job. These factors should be based on the capacity of the borrower whether he or she is eligible for a loan or not

Therefore according to the given situation, the option D is correct and the same is to be considered

6 0
3 years ago
Veronica Mars, a recent graduate of Bell's accounting program, evaluated the operating performance of Dunn Company's six divisio
anygoal [31]

Answer:

Effect on income= -$49,500

They lost the positive contribution margin increased by the fixed costs. Veronica is wrong.

Explanation:

Giving the following information:

Veronica made the following presentation to Dunn's board of directors and suggested the Percy Division be eliminated. "If the Percy Division is eliminated," she said, "our total profits would increase by $25,500.

Percy Division

Sales= $100,000

Cost of goods sold= 76,000

Gross profit= 24,000

Operating expenses= 49,500

Net income= (25,500)

In the Percy Division, the cost of goods sold is $59,000 variable and $17,000 fixed, and operating expenses are $29,000 variable and $20,500 fixed.

None of the Percy Division's fixed costs are avoidable.

Effect on income= -contribution margin - fixed costs

Effect on income= -(100,000 - 88,000) - 37,500= -$49,500

They lost the positive contribution margin increased by the fixed costs.

4 0
3 years ago
At Afterbadge, a chain of stores that sells computer accessories, all the marketing activities are planned at the company headqu
Anna11 [10]

Answer:

The correct answer is letter "B": Centralization of authority.

Explanation:

Centralization of authority takes place in companies where high-rank executives take most or all the decisions regarding the operations. Employees voice is not heard under this approach. Managers tend to implement this strategy when they pretend to minimize the percentage of mistakes incurred in the firm. The organization of the company tends to be bureaucratic.

8 0
3 years ago
How would a good recordkeeping system help during a tax audit?
cricket20 [7]
It would help keep the person organized
6 0
3 years ago
Read 2 more answers
Rushmore Company provided services for $45,000 cash during Year 1. Rushmore incurred $36,000 of operating expenses on account du
laila [671]

Answer:

The amount of the net income shown on the income statement is $9,000

Explanation:

The computation of the net income is shown below:

Net income = Services provided for cash =  operating expenses incurred

= $45,000 - $36,000

= $9,000

According to the matching principle, the revenues of a particular period should always be matched with the expenses that are incurred in that particular year

So, the net income that is to be reported on the income statement is $9,000

Note: Options are shown in the attachment

6 0
3 years ago
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