All categories

3 years ago

One of the primary advantages of using econometrics over typical results from economic theory is that

1 answer:

6 0

<span>Econometrics is much more mathematical in nature. In economic theory, only the theoretical part of economic aspect is highlighted but in econometrics, the theory is supported with a mathematical explaination. Econometrics provides a much more deep understanding and explaination of a concept than normal economic theory. it potentially provides you with quantitative answers for a policy problem rather than simply suggesting the direction of the response</span>

You might be interested in

Harrison Enterprises currently produces 8,000 units of part B13. Current unit costs for part B13 are as follows: Direct material

Yakvenalex [24]

Answer:

It is cheaper to make the part in house.

Explanation:

Giving the following information:

Harrison Enterprises currently produces 8,000 units of part B13.

Current unit costs for part B13 are as follows:

Direct materials $12

Direct labor 9

Factory rent 7

Administrative costs 10

General factory overhead (allocated) 7

Total $45

If Harrison decides to buy part B13, 50% of the administrative costs would be avoided.

To calculate whether it is better to make the par in-house or buy, we need to determine which costs are unavoidable.

Unavoidable costs:

Factory rent= 7

Administrative costs= 5

General factory overhead= 7

Total= 17

Now, we can calculate the unitary cost of making the product in-house:

Unitary cost= direct material + direct labor + avoidable administrative costs

Unitary cost= 7 + 5 + 5= $17

It is cheaper to make the part in house.

3 0

3 years ago

If you are in a car accident caused by someone else who also has insurance, which type insurance plan will not require you to pa

Romashka-Z-Leto [24]

A no fault insurance plan

3 0

4 years ago

Read 2 more answers

Goods that are excludable include both A. club goods and public goods. B. public goods and common resources. C. common resources

creativ13 [48]

The goods that are excludable are private goods and club goods. The correct answer to this question is option D.

The club goods are those goods that can be artificially scarce. These goods are non rival in nature but the excludability is quite high.

Private goods on the other hands are those goods that have their usage and consumption restricted to only one person or group.

Such goods can only be used by one party.

4 0

2 years ago

Which of the following indicates the financial position of a practice at a point in time and shows its assets and liabilities? A

adell [148]

Answer:

The correct answer would be C, Balance Sheet.

Explanation:

A balance sheet is a document, which contains information about the Assets, Liabilities and owner's Equity of a firm, company or an organization. There is a predetermined format to write a Balance Sheet. There are two sides in this statement. One side contains Assets and Liabilities of the Company, whereas the other side contains the Owner's Equity in a particular point of time. This statement summarizes the financial balances of an individual organization. There are other financial statements of the company as well like Income Statement, cash flow statement, etc, but Balance Sheet is considered most appropriate to have a look at the assets, liabilities and equity of the company at a specific point of time.

8 0

3 years ago

Assume that on January 1, 2019, after paying interest, Colaw Company calls bonds having a face value of $1,200,000. The call pri

ValentinkaMS [17]

Answer:

Journal entry

Explanation:

This question is incomplete

Kindly find the information related to the question

The following is taken from the Colaw Company balance sheet. line premisam amortization, COLAW COMPANY Balance Sheet (partial) December 31, 2017 and redemption of bonds LO 5) Current liabilities Interest payable (for 12 months from January 1 to December 31) 210,000 Long-term liabilities Bonds payable, 7% due January 1, 2028 Add: Premium on bonds payable $3,000,000 200,000 3,200,000 682 15 Long-Term Liabilities Interest is payable annually on January 1. The bonds are callable on any annual interest date. Colaw uses straight-line amortization for any bond premium or discount. From December 31, 2017, the bonds will be outstanding for an additional 10 years (120 months).

The journal entry is as follows

Bond payable $1,200,000

Premium on bond payable $72,000

To Cash $1,212,000 ($1,200,000 × 101%)

To Gain on redemption of bonds $60,000

(Being the redemption of the bond is recorded)

The premium on bond payable is

= ($200,000 - $20,000) × $1,200,000 ÷ $3,000,000

= $72,000

The $20,000 is come from

= $200,000 ÷ 10 years

= $20,000

4 0

3 years ago