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3 years ago

A permanent decline in the market value of an asset is called

Business

1 answer:

antoniya [11.8K]3 years ago

7 0

Answer:

Impairment

Explanation:

When an asset's market price is lower than what is reported in the financial statements, it is referred to as an impaired asset. It is reduction in the market value of a fixed tangible or intangible asset permanently.

Such assets does not yield positive cash flow in future. If an asset is identified as impaired, then loss related to it, also called impairment loss should be recorded in the income statement.

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Before prorating the manufacturing overhead costs at the end of 2020, the Cost of Goods Sold and Finished Goods Inventory accoun

stiks02 [169]

Answer:

COGS will decrease by 2,597 dollars as will decrease by the proration of the factory overhead

Explanation:

we do cross mutiplication to solve for the COGS and FG based on actual overhead

applied actual

COGS 57,500 54,903 *A

FG 20,000 19,067 *B

Total 77, 500 74,000

*A) 57,500 x 74,000/77,500 = 54,903

*B) 20,000 x 74,000/77,500 = 19,097

Decrease in COGS 57,500 - 54,903 = 2,597

3 0

3 years ago

. As you start consuming potato chips, your marginal utility is very high, but it begins to fall slowly until you've eaten 10 ch

scoray [572]

Answer:

The correct answer is 10 chips.

Explanation:

A person is eating chips. Initially, the marginal utility is very high, but after 10 chips it starts declining. It declines till 49 chips and after that it becomes negative.

We see that the marginal utility derived from the consumption of chips start to decline after consuming 10 chips.

This implies that marginal utility is being maximized at the consumption of 10 chips.

So the utility-maximizing quantity of chips is 10 chips.

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3 years ago

Elegance Bath Products, Inc. (EBP) makes a variety of ceramic sinks and tubs. EBP has just developed a line of sinks and tubs ma

Arlecino [84]

Answer:

C) 410 tubs

Explanation:

the contribution margin for sinks is $70 (= $150 - $80) and the contribution margin for tubs is $150 (= $600 - $450).

the molding equipment has 4,050 hours of capacity per year, so it can produce either 2,025 sinks or 810 tubs.

we can determine what product is more profitable if we determine a contribution margin per molding equipment usage ratio:

sink = $70 / 2 hours = $35 per hour
tub = $150 / 5 hours = $30 per hour

It is more profitable to produce sinks than tubs, but we can sell only 1,000 sinks per year, so even after we product the 1,000 sinks we will have spare molding equipment capacity which we can use to produce tubs.

The spare molding equipment capacity after producing sinks = 4,050 total hours - 2,000 hours used to produce sinks = 2,050 spare molding hours

We can produce 410 tubs (= 2,050 molding hours / 5 hours per tub)

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4 years ago

Approximately what percentage of the jobs in the united states do small businesses provide?

Alchen [17]

Small business in the US provides 64% of new private-sector jobs, 49.2% of private sector employment and 46% of private-sector output. It can be seen clearly from this that small business is a major contributor to employment and output in the US.

7 0

3 years ago

Which statement best describes a pure market economy ?

grandymaker [24]

A pure market economy in a theoretical concept in that it has never really existed. In a pure market economy producers create what they want at a price consumers will pay. Consumers pay what they want. The key is no regulation.

8 0

3 years ago

Read 2 more answers