Answer:
<u>Cowboy Law Firm</u>
<u>Income statement for the period ended December</u>
Amount in $
Service revenue 8,500
Utilities (1,000)
Salaries expense <u> (1,300)</u>
Net income/(loss) <u> 6,200</u>
Explanation:
An income statement is a part of the financial statements that shows how profitable the activities of an entity was for a given period of time. It is usually stated as the income statement for a period end.
The elements of the income statement include the revenue otherwise called sales, expenses including cost of goods sold, operating expenses etc and the profit or loss as well as the other comprehensive income/loss.
<span>The plantwide overhead rate method means </span>using overhead rate to allocate costs to products and includes <span>indirect costs (overhead cost) to cost allocation base (single plantwide overhead rate) to cost objects (products 1-3).
</span><span>The statement that the unit of product is the cost object when the plantwide overhead rate method is used is true. </span>
Answer:
2. elastic; inelastic
Explanation:
The price elasticity of demand, the amount consumers demand from a particular price are different for each good or service, and when the price changes, the response shown as the change in the quantity requested is different for each good (even at a different price level for one good).
In the face of price changes, the severity (or degree of sensitivity) of the reaction of consumers in the form of changing the amount they buy against this change is measured by the price elasticity of the demand, which is also called demand elasticity. This flexibility is expressed by a coefficient.
The price elasticity coefficient of demand is equal to the ratio of the percentage change in the quantity demanded to the percentage change in price in the face of a small change in price.
The Price elasticity will be elastic when it equals or more than 1, if not it will be inelastic with the amount of less than 1.
Answer:
D) Cash 45,540 Accounts receivable 45,540
Explanation:
The journal entry is shown below:
Cash A/c Dr $45,540
To Accounts receivable A/c $45,540
(Being cash is received in respect of goods sold)
The computation is shown below:
= Sold value of supplies - the sold value of supplies × discount percentage
= $46,000 - $46,000 × 1%
= $46,000 - $460
= $45,540
Since the net method is used so we debited the cash account and credited the account receivable account.
Answer:
The answer is A
Explanation:
Taxes on goods with INELASTIC demand curves will tend to raise more tax revenue for the government than taxes on goods with ELASTIC.
Goods with inelastic demand are insensitive to price. An increase price of the goods for example from an increase in tax on the goods will have no significant effect in the quantity demanded. Consumers will still buy it with an higher. So taxing this goods is a good source of revenue for the government.
Whereas goods with elastic demand are very sensitive to rice. Any slight increase in price will result in a significant decrease in quantity demanded. So government increasing tax on this good will be bad for its tax revenue because consumers won't be it
