Answer:
The merchandise should be reported on the U.S. Company's December 31, 2020 balance sheet at:
b. $1,050
Explanation:
a) Data and Calculations:
November 30, 2020 Inventory purchase = CHF1,000
Exchange rate on this date = $1.05/CHF
Inventory worth = $1.05 * CHF1,000 = $1,050
b) The inventory should be reported on December 31, 2020 at $1,050. It does not need to be reported at a value above or below this. Even, the debt owed to the Swiss supplier will be reported at this price. It is when payment for the invoice is being made on February 1, 2021 that consideration will be given to the exchange rate at which payment is made.
Answer:
Debit Supplies $8,900; Credit Cash $8,900
Explanation:
Based on the information given the general journal entries that Specter Consulting will make to record this transaction assuming the companyâs policy is to initially record prepaid and unearned items in balance sheet accounts will be :
Debit Supplies $8,900
Credit Cash $8,900
Federal laws help promote fair competition by setting limits on what is acceptable to charge for something so that a price war also does not start. Federal laws allow necessities to be kept at prices that the average joe can afford. Also these laws allow for competing companies to still compete, but have pricing be more standard. If these laws were not in place, business demand would not be protected from unfair methods.
Answer:
Option (c) is correct.
Explanation:
We know that beef is used as an ingredient or input in making hamburgers. If the price of the input i.e beef increases then as a result supply of hamburgers decreases because of the higher cost of production. This will shift the supply curve leftwards, its shows that lesser supply with same level of demand will lead to higher prices of hamburgers.
Definitely by order of importance