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The city of Ann Arbor Michigan buys a police car manufactured in Germany. In the GDP accounts this transaction is included in a.

natima [27]

Answer:

A. In government expenditures and imports.

Explanation:

We are informed about how The city of Ann Arbor Michigan buys a police car manufactured in Germany.

In the case of this transaction, it is included in GDP accounts in government expenditures and imports.

GDP which is known as Gross Domestic Product can be explained as the total market value of domestic finished goods/service that are been produced in a particular period in a country. The net export, as well as consumption and government expenditures and investment are taking into consideration in GDP. It should be noted that social security payment is not accounted with GDP

8 0

3 years ago

Buffalo Inc reported sales revenue for 2017 and $906,000 their products are sold within nine months warranty .Members of Buffalo

erma4kov [3.2K]

Answer: Debit to warranty payable the actual amount paid out as a result of warranty claims

Explanation: Warranty payable is a provision for estimated warranty claims to be paid. It is a liability account that has a credit balance.

In recording a warranty payable, a debit is made to warranty expenses account and a credit to warranty payable account.

When the actual warranty claim is paid, the warranty payable account is debited while cash or bank account is credited to record the actual amount paid.

5 0

4 years ago

Listed below are a number of statements concerning relevant versus irrelevant costs and benefits. Complete each statement by pro

lord [1]

Answer:

1. Irrelevant costs

2. Capacity

3. Opportunity costs

4. Fixed Expense

5. Going concern

6. Coalition, Intuition, Escalation of Commitment, Risk Propensity, and Ethics

7. At full capacity

8. Differential Analysis

3 0

3 years ago

A cost incurred in the past that is not relevant to any current decision is classified as a(n):_________

inessss [21]

A cost incurred in the past that is not relevant to any current decision is classified as a(n): Sunk costs

This is further explained below.

<h3>What are Sunk costs?</h3>

Generally, A cost that has already been incurred but cannot be recouped is referred to as a "sunk cost" in economics and the process of making business decisions. In contrast to sunk costs, prospective costs are future expenses that might be avoided if action is done, while sunk costs have already been incurred.

In conclusion, A cost that was incurred in the past but is not relevant to any choice that is being made at this time is considered to be a(n): Incurred expenses

Read more about Sunk costs

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6 0

2 years ago

Perit Industries has $110,000 to invest. The company is trying to decide between two alternative uses of the funds. The alternat

professor190 [17]

Answer:

$-32,775.48

$185,710.69

Project B

Explanation:

Net present value is the present value of after-tax cash flows from an investment less the amount invested.

NPV can be calculated using a financial calculator

Only projects with a positive NPV should be accepted. A project with a negative NPV should not be chosen because it isn't profitable.

When choosing between positive NPV projects, choose the project with the highest NPV first because it is the most profitable.

Project A

Cash flow in year 0 = -$110,000

Cash flow in year 1 - 5 = $20,000

Cash flow in year 6 = $20,000 + $8,600 = 28,600

I = 16%

NPV = $-32775.48

Project B

Cash flow in year 0 = -$110,000

Cash flow in year 1 - 5 = $68,000

Cash flow in year 6 = $68,000 + $110,000 = $178,000

I = 16%

NPV = $185,710.69

Project B should be chosen because its NPV is positive

To find the NPV using a financial calculator:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.

3. Press compute

4 0

3 years ago