Answer:
Output will be lower
Explanation:
Supply shock is an economic event that occurs because of sudden changes in the supply of goods and services within an economy.
A negative supply shock will shift the SRAS to the left and it will increase the price of the good and decrease the quantity, the new equilibrium will be at lower output and higher inflation.
When the economy suffers a permanent negative supply shock, the supply may keep on increasing or decreasing rapidly.
If the central bank does not respond by changing the autonomous component of monetary policy, then the output will be lower.
This is because permanent supply shock will lead to higher prices which disrupts the production and hence the output falls.
Answer:
Paid in capital excess of par is $$309,000
Explanation:
<u>Journal Entries</u>
Debt: Legal services (4,100 hours × $100 per hour) = $410,000
Credit: Common stock (101,000 shares × $1 par) = $101,000
Credit: Paid-in capital - excess of par (Remainder) = $309,000
To record the 101,000 shares compensated by 4,100 legal hours with $1 par value)
In the above transaction common stock issued in excess of par for legal services as compensation instead cash. Hence "legal services" have been debited as issuing company benefited for legal services. "Common stock" and "paid in capital in excess of par" has been credited as this issuing company issuing common stock.
Paid in capital excess of par is $$309,000
The answer to this question is F
!
Answer and Explanation:
The computation is shown below:
Marcus’s original Consumer surplus is
= Willing to pay - customer actually pay
= $45 - $35
= $10
Marcus’s producer surplus from the resale is
= Amount received by producer - the minimum amount to accept
= $55 - $45
= $10
Starling’s consumer surplus from the resale is
Willing to pay - customer actually pay
= $80 - $55
= $25
And, the Total surplus generated from the resale is
= Producer surplus + consumer surplus
= $10 + $25
= $35
Breakeven point in units=
Fixed cost÷[selling price-variable cost]
Breakeven point in units
=750÷(3.75−1.25)
=300 units
