<u>Answer:</u>
<em>A creation conceivable outcomes outskirts demonstrates the most extreme sum that an economy can deliver.</em>
<u>Explanation:</u>
The creation plausibility outskirts is a marginalist model that mirrors the most extreme amounts of merchandise and ventures that a nation or endeavour is fit for delivering in a given period and dependent on certain generation factors and innovative learning. Hence there are three circumstances in the profitable structure of a nation or endeavour:
- Inefficient beneficial structure: When it is underneath the PPF, that is, either all assets are not utilized (inactive assets), or the innovation isn't satisfactory.
- Efficient beneficial structure: It is situated before the fringe or near it. There are no inactive assets and the best innovation is being utilized.
- Unattainable beneficial structure: It is over the generation potential outcomes. It is hypothetical since no nation or endeavour can deliver past its ability.
Answer:
Short term loan
Explanation:
Lemonade stand can be regarded as a small business, Hence, the loan that suit the business is " Short term loan".
Short term loan can be regarded as loan that can be obtained to give support to ones personal as well as business capital. It is designed for the needs of small business capital with less interest compare to long term loan. The period of payment is usually within a year. It is of low risk and good profit.
Answer: (a) 6%
(b) 10.61%
(c) Yes
Explanation:
a) After tax cost of debt = Yield (1- tax)
= 8 ( 1 - 0.25)
= 8 × 0.75
= 6%
b) 
= 0.1061 or 10.61%
Note: Cost of preferred stock is not tax deductible
c),Yes the treasurer is correct ,The cost of debt is 5% less than cost of preferred stock [10.61 - 6 = 4.61%]
Complete Question:
Company uses the percent-of-sales method to estimate uncollectibles. Net credit sales for the current year amount to $500,000, and management estimates 2% will be uncollectible. The amount of expense to report on the income statement was $8,000. The Allowance for Uncollectible Accounts prior to adjustment has a credit balance of $2,000. The balance of Allowance for Uncollectible Accounts, after adjustment, will be
Answer:
The balance of Allowance for Uncollectible Accounts, after adjustment, will be
$10,000
Explanation:
a) Data and Calculations:
Net credit sales = $500,000
Uncollectible estimate = 2% of net credit sales
Uncollectible Accounts expense = $8,000
Allowance for Uncollectible Accounts = $2,000 before adjustment
Allowance for Uncollectible after adjustment = $500,000 * 2% = $10,000
