Free market economies offer distribution methods for goods and services based on ''price''.
Answer: C) Price.
The accounting method under which revenues<span> are recognized on the income statement when they are earned.</span>
Answer:
Journal entries for the
Completion of Job 113
Debit Finished Good/Inventory Account $ 5000
Credit WIP JOB 113 Account $ 5000
(In words we will debit finished good account by shifting work in process related to the job 113 in it)
Journal entries for the
Completion and sale of Job 85
Debit Finished Good/Inventory Account $ 3000
Credit WIP JOB 113 Account $ 3000
For sales following two entries will be passed.
Debit Cost of Good Sold Account $ 3000
Credit Finished Good/Inventory Account $ 3000
Debit Cash (or Receivable if credit sale) $ 4500
Credit Sales Account $ 4500
Answer:
d. the firm will lose $750
Explanation:
marginal cost is the derivate of the cost function: It represent the cost of producting an additional unit
cost: 750 + 5q
dC/dQ = 5
We have determinate that marginal cost is $5 thus, we should price at the same value. The mistake from the goverment is to equalize marginal cost with price instead of marginal revenue.
This will make the firm loss the fixed component of the cost as will sale to pay up the variable cost.
The fixed cost is $750 so that is the loss from operations
Answer:
The interest rate is 7.83%
Explanation:
The winner price in the year 1895 = $190
The winner price in the year 2014 = $1490000
Time duration between, 2014 – 1895 = 119 years
Now we have to find the interest rate at which the winner price has been increased. Thus, use the below formula to find the interest rate.
Future value = present value (1+ r)^n
Future value = $1490000
Present value = $190
n = 119
Now insert the values in the formula.
1490000 = 190(1 + r)^119
1490000 / 190 = (1+r)^119
r = 0.07826 or 7.83%
