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3 years ago

What is the purpose of a budget ? Use in your own words.

1 answer:

6 0

Well, I don't know if you'll agree, but I think a purpose of a budget is to pace the amount of money that you spend and save. Everybody needs to have a certain amount of money saved in their bank account to take care of themselves when they retire, and a budget helps make that happen since you don't ending up spending almost all of your money. A budget also helps you decide how much to spend on each thing that you buy. For example, you wouldn't want to spend more on toys for your entertainment, but you would spend more on groceries to keep you healthy and alive so you don't starve.

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All of the following statements concerning shortage are true, EXCEPT: Group of answer choices

mariarad [96]

Answer:

The correct answer is letter "C": shortage costs increase as total carrying costs increase.

Explanation:

A shortage takes place when the quantity demanded is higher than the supply at the current price. Typically, shortages occur because of an increase in demand, a decrease in supply or due to government policies. Shortage costs are those costs a firm is responsible for because the is no enough stock in its inventory. When shortage costs increase, the carrying costs do not necessarily increase.

6 0

2 years ago

Total variable costs ________ with decreasing output. A) always increase B) always decrease C) initially increase and then decre

lbvjy [14]

Answer:

The answer is B.

Explanation:

Total variable cost always increases as output(unit of production) increases. And it also decreases with decreasing output(unit of production).

Variable cost is different from fixed cost in that it changes with output.

6 0

2 years ago

Carla Vista Company has the following information available for September 2020.

dmitriy555 [2]

Answer:

Carla Vista Company has the following information available for September 2020.

Unit selling price of video game consoles $410

Unit variable costs $328

Total fixed costs $36,900

Units sold 600

Compute the unit contribution margin.

Unit contribution margin enter the unit contribution margin

Prepare a CVP income statement that shows both total and per unit amounts.

Compute Carla Vistaâ€™ break-even point in units.

Break-even point in units enter Break-even point in units units

Prepare a CVP income statement for the break-even point that shows both total and per unit amounts.

7 0

2 years ago

Kate's Diner offers one breakfast item, a breakfast special. The market price for this meal is $5. At her profit-maximizing leve

bazaltina [42]

Answer:

keep producing in the short run but exit the industry or go out of business in the long run

Explanation:

A perfect competition is characterised by many buyers and sellers of homogeneous goods and services. Market prices are set by the forces of demand and supply. There are no barriers to entry or exit of firms into the industry.

In the long run, firms earn zero economic profit. If in the short run firms are earning economic profit, in the long run firms would enter into the industry. This would drive economic profit to zero.

Also, if in the short run, firms are earning economic loss, in the long run, firms would exit the industry until economic profit falls to zero.

A firm should shut down in the short run if price is less than average variable cost. But since the diner's price is greater than average variable cost, it should continue production.

A firm should exit the industry in the long run if price is less than average total cost. the diner's price is less than average total cost, so it should shut down in the long run

6 0

3 years ago

The Taffy Trust is a simple trust. Sean is its sole beneficiary. In the current year, the trust earns $12,000 in taxable interes

algol [13]

Solution and Explanation:

a. Accounting income is computed below:

Taxable interest 12,000.00

Rental income 30,000.00

Long term capital gain 0.00

Long term capital loss 0.00

Fees 0.00

Less: depreciation -2,800.00

Trust accounting income 39,200.00

b. One half of fiducary's fee = 6500 divided by 2 = 3250. This amount will be allocated to accounting income of the trust.

Taxable interest 12,000.00

Rental income 30,000.00

Long term capital gain 4,000.00

Long term capital loss -1,100.00

Fees -3,250.00

Depreciation -2,800.00

Trust accounting income 38,850.00

3 0

3 years ago

What is the purpose of a budget ? Use in your own words.​

What is the purpose of a budget ? Use in your own words.