1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Dmitriy789 [7]
3 years ago
6

Suppose that Spain and Denmark both produce rye and wine. Spain's opportunity cost of producing a bottle of wine is 5 bushels of

rye while Denmark's opportunity cost of producing a bottle of wine is 10 bushels of rye. By comparing the opportunity cost of producing wine in the two countries, you can tell that_______has a comparative advantage in the production of wine and___ has a comparative advantage in the production of rye. Suppose that Spain and Denmark consider trading wine and rye with each other. Spain can gain from specialization and trade as long as it receives more than _______of rye for each bottle of wine it exports to Denmark. Similarly, Denmark can gain from trade as long as it receives more than_________ of wine for each bushel of rye it exports to Spain.Based on your answer to the last question, which of the following terms of trade (that is, price of wine in terms of rye) would allow both Denmark and Spain to gain from trade? Check all that apply. a. bushel of rye per bottle of wineb. 8 bushels of rye per bottle of winec. 9 bushels of rye per bottle of wined. 3 bushels of rye per bottle of wine
Business
1 answer:
34kurt3 years ago
6 0

Explanation:

By comparing the opportunity cost of producing wine in the two countries, you can tell that Spain has a comparative advantage in the production of wine and Denmark has a comparative advantage in the production of rye.

Spain can gain from specialization and trade as long as it receives more than 5 of rye for each bottle of wine it exports to Denmark. Similarly, Denmark can gain from trade as long as it receives more than 1/10  of wine for each bushel of rye it exports to Spain.

The terms of trade (that is, price of wine in terms of rye) would allow both Denmark and Spain to gain from trade :

9 bushels of rye per bottle of wine

8 bushels of rye per bottle of wine

You might be interested in
"The Carla Vista Boat Company's bank statement for the month of November showed a balance per bank of $8,500. The company's Cash
DaniilM [7]

Answer:

Explanation:

                                    The Carla Boat Company

                                     Bank Reconciliation Statement

                                     as at 30th November

Balance as per bank balance                                          $8,500

Add:  Uncredited payment                                              $6,480

Add:   Bank Charges                                                         $50

Add:  Returned Chq                                                           $700

Less:  Outstanding Chqs                                                  ($6,260)

Less:   Note received                                                         ($3,880)

Less: transposition error on payment                             ($54)

Balance as per cash book                                                 $5,536

Journal entries for transactions:

1. Debit : Bank Charges Expenses                         $50

  Credit: Bank Account                                            $50

Being bank charges expenses for the month of Nov

2. Debit: Cash in bank                                           $54

    Credit: Account Payable                                   $54

Being transposition error on Check No 138

3. Debit: Account payable                                      $700

   Credit: Bank Account                                           $700

Being NSF check returned

4. Debit: Bank Account                                           $3,880

   Credit: Notes Receivable                                   $3,748

    Credit: Interest on investment                          $132

Being note receivable and accrued int

4 0
3 years ago
The City of Ruth has been awarded a $1,000,000 federal expenditure-driven grant to improve bike trails. The federal government a
lidiya [134]

Answer:

correct option is a) $182,000

Explanation:

given data

federal expenditure = $1,000,000

advanced the city =  $600,000

city incurred qualifying expenditures = $418,000

solution

we get here Ruth recognize as unearned revenue for its fiscal year ending that is express as

Amount to be recognized unearned revenue = advanced the city  - city incurred qualifying expenditures   .......................1

put here value

Amount to be recognized unearned revenue = $600,000-$418,000

Amount to be recognized unearned revenue = $182,000

so correct option is a) $182,000

5 0
3 years ago
All of the current year's entries for Zimmerman Company have been made, except the following adjusting entries. The company's an
bearhunter [10]

Answer:

1) adjusting entries

a. On September 1 of the current year, Zimmerman collected six months' rent of $8,520 on storage space. At that date, Zimmerman debited Cash and credited Unearned Rent Revenue for $8,520.

Dr Unearned rental revenue 5,500

    Cr Rental revenue 5,500

b. On October 1 of the current year, the company borrowed $13,200 from a local bank and signed a one-year, 12 percent note for that amount. The principal and interest are payable on the maturity date.

Dr Interest expense 396

    Cr Interest payable 396

c. Depreciation of $3,000 must be recognized on a service truck purchased in July of the current year at a cost of $24,000.

Dr Depreciation expense 3,000

    Cr Accumulated depreciation 3,000

d. Cash of $3,600 was collected on November of the current year, for services to be rendered evenly over the next year beginning on November 1 of the current year. Unearned Service Revenue was credited when the cash was received.

Dr Unearned service revenue 600

    Cr Service revenue 600

e. On November 1 of the current year, Zimmerman paid a one-year premium for property insurance, $9,960, for coverage starting on that date. Cash was credited and Prepaid Insurance was debited for this amount.

Dr Insurance expense 1,660

    Cr Prepaid insurance 1,660

f. The company earned service revenue of $4,200 on a special job that was completed December 29 of the current year. Collection will be made during January of the next year. No entry has been recorded.

Dr Accounts receivable 4,200

    Cr Service revenue 4,200

g. At December 31 of the current year, wages earned by employees totaled $13,700. The employees will be paid on the next payroll date in January of the next year.

Dr Wages expense 13,700

    Cr Wages payable 13,700

h. On December 31 of the current year, the company estimated it owed $490 for this year's property taxes on land. The tax will be paid when the bill is received in January of next year.

Dr Property taxes expense 490

    Cr Property taxes payable 490

2) Assets     = Liabilities + Stockholders’     Revenues - Expenses = Net

                                          Equity                                                          Income

a.    na               -                    +                           +               na                +

b.    na               -                    -                           na              -                   -

c.     -               na                   -                           na              -                   -

d.    na               -                    +                           +               na                +

e.     -               na                   -                           na              -                   -

f.      +              na                   +                           +               na                +

g.    na              +                    -                            na             -                   -

h.    na              +                    -                            na             -                   -

5 0
3 years ago
WV Construction has two divisions: Remodeling and New Home Construction. Each division has an on-site supervisor who is paid a s
timofeeve [1]

Answer:

$258,000

Explanation:

Data given in the question

Salary paid on annual basis to onsite supervisor = $94,000

Salary paid on annual basis to one salaried estimator = $52,000

Two administrative assistant salaries $56,000 and $40,000

Salary of the president = $162,000

So, by considering the above information, the common fixed expense is

= Administrative salaries for one + administrative salaries for another + president salary

= $56,000 + $40,000 + $162,000

= $258,000

6 0
3 years ago
Six years ago, James Corporation sold a $100 million bond issue to expand its facilities. Each debenture has a $1,000 par value,
Sauron [17]

Answer:

present value = $848.29

so correct option is c) $848

Explanation:

given data

bond sold = $100 million

time = 6 year

future value = $1,000 par value

original maturity = 20 years

years to maturity left = 14 years

annual coupon rate = 11.5%

require return = 14%

to find out

what price would you pay today for a James bond

solution

we get here first interest amount that is

interest = future value × annual coupon rate  × 0.5

interest = 1000 × 11.5% × 0.5

interest = $57.50

and rate = \frac{0.14}{2}

rate = 7%

now we find present value by

PV(Rate,nper, pmt, FV)

PV ( 7%, 28, 57.50,1000)

present value = $848.29

so correct option is c) $848    

6 0
3 years ago
Other questions:
  • A company recorded 2 days of accrued salaries of $2,150 for its employees on January 31. On February 9, it paid its employees $8
    8·1 answer
  • Managers that must analyze data from 500 hotels to determine when to discount rooms based on occupancy patterns would be placed
    8·1 answer
  • Microsoft presently pays no dividend. You anticipate Microsoft will pay an annual dividend of $0.60 per share two years from tod
    6·2 answers
  • How can the government reduce the wealth gap in a mixed market economy
    11·1 answer
  • In Sheridan Company, the Cutting Department had beginning work in process of 9000 units, transferred out 24600 units, and had an
    6·1 answer
  • Paper Clip Company sells office supplies. The following information summarizes the​ company's operating activities for the​ year
    6·1 answer
  • Identify ten entrepreneur and classify them under the types of entrepreneur​
    15·1 answer
  • Choose the action that is supported by egoism, but might seem unethical. a.) Using skills you learned from your former job to ge
    9·1 answer
  • Using your economic knowledge and the information you learned about Oprah Winfrey compose a well-written three-paragraph biograp
    9·1 answer
  • A job applicant identifies preparing contract documents for construction managers as something the applicant considers
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!