All categories

3 years ago

If all other factors are equal, what will happen to the supply of a product if the price goes up?

2 answers:

4 0

B. The supply will decrease.

If all other factors are equal, supply will decrease as the prices go up. Why would this be the case? As prices go up, demand for the product will go down, because some purchasers will not be able to afford the product. As demand goes down, then also suppliers will reduce their production of that product.

In economics, the law of demand asserts that the higher the price of something, the less people will demand that thing. The law of supply asserts that producers will supply more a product when it is selling at a higher price and are less motivated to produce quantities of the product when it is selling at low prices.

ch4aika [34]3 years ago

4 0

The demand will increase

You might be interested in

Wagner Enterprises and Stone Services both disposed of an old asset. When completing the journal entry, Wagner Enterprises inclu

In-s [12.5K]

Answer:

Wagner Enterprises and Stone Services

Disposal of old asset:

It could be that Stone Services exchanged its old asset with a new one with a company. In that situation, the debit goes to New Equipment, while the credit is to the old Equipment. Another reason could be that Stone Services sold the old asset on account. In this situation, the debit goes to the Accounts Receivable account, while the old asset is credited accordingly.

Explanation:

When a company disposes of an old asset, it credits the asset account and transfers the amount to the Sale of Asset account. The same is done for the accumulated depreciation, in reverse. When cash is realized from the disposal, the Sale of Asset account is credited, while Cash account is debited. Then, the difference in the Sale of Asset account will be a gain or a loss, depending on the net book value and the cash realized from the sale.

3 0

3 years ago

Folsom Fashions sells a line of women's dresses. Folsom's performance report for November Year 1 follows.Actual : Dresses Sold:

ElenaW [278]

Answer:

(B) $5,000 favorable.

Explanation:

Variable cost flexible budget variance:

budget for 6,000 units total variable cost: $180,000

We divide the total cost by the activity in that budget:

$180,000/ 6,000 = 30

Now we multiply by the actual volume:

5,000 x 30 = 150,000

Now we do flexible budget - actual cost = variance

150,000 - 145,000 = 5,000 favorable

It is favorable, as the cost where less than expected.

4 0

3 years ago

In computations of weighted average of shares outstanding, when a stock dividend or stock split occurs, the additional shares ar

amm1812

Answer:

The correct option is 4

Explanation:

Weighted average shares outstanding, is the term which is described as the number of company shares evaluated after the adjustment for the variations in the share capital through the reporting year.

The shares of the company which are outstanding will not be constant and might change or vary through various times through the period.

While computing the weighted average of the shares outstanding, when the stock dividend happen, the extra shares are taken as outstanding at the starting of the earliest period.

8 0

3 years ago

A company has only two divisions: division a and division

Sloan [31]

Answer – Division A

EXPLANATION’

Given for last year,

Division A made 60% of the company's total revenue.

Let the company’s total revenue for last year be x

60% of x = 0.6x

Division A made 0.6x last year

Also given for last year,

Division B made 40% of the company's total revenue.

If the company’s total revenue for last year is x

40% of x = 0.4x

Division B made 0.4x last year

For this year,

We are told that division A's revenue has decreased by 35%

Last year’s revenue was 0.6x

Division A’s revenue for this year = 0.6x – (35% of 0.6x)

= (100% of 0.6x) – (35% of 0.6x)

= (100% * 0.6x) – (35% * 0.6x)

= (100% - 35%) * 0.6x

= 65% * 0.6x

= 65/100 * 0.6x

= 0.39x

Therefore this year, Division A’s revenue is 0.39x

Again for this year,

We are told that division B's revenue has decreased by 5%

Last year’s revenue was 0.4x

Division B’s revenue for this year = 0.4x – (5% of 0.4x)

= (100% of 0.4x) – (5% of 0.6x)

= (100% * 0.4x) – (5% * 0.4x)

= (100% - 5%) * 0.4x

= 95% * 0.4x

= 0.38x

Therefore this year, Division B’s revenue is 0.38x

If Division A’s revenue is 0.39x, and Division B’s revenue is 0.38x; then Division A had higher revenue this year.

4 0

3 years ago

Presented below is information related to Lexington Real Estate Agency.

Ber [7]

Answer:

Oct 1

DR Cash............................................................................$20,000

CR Common Stock.........................................................................$20,000

Oct 2. No entry required

Oct 3

DR Office Furniture .....................................................$2,300

CR Accounts Payable................................................................$2,300

Oct 6

DR Accounts Receivable.............................................$3,600

CR Service Revenue - Realty services...................................$3,600

Oct 27

DR Accounts Payable ..................................................$850

CR Cash .......................................................................................$850

Oct 30

DR Salaries Expense ....................................................$2,500

CR Cash ..........................................................................................$2,500

3 0

3 years ago