<span>The most probable thing that will happen if the pie maker keeps making additional pies is this: the marginal costs will continue to rise, increasing the total cost, while the marginal revenue remains the same, decreasing the profit. This is to assume that no buyer is interested in purchasing the pies at a certain period of time. </span>
Answer:
Date General Ledger Debit Credit
May 24 Accounts Receivable-Old Town Café $18,450
Sales $18,450
Cost of goods sold $11,000
Inventory $11,000
Sept. 30 Cash $6,000
Allowance for Doubtful Accounts $12,450
Accounts Receivable-Old Town Cafe $18,450
Dec. 7 Accounts Receivable-Old Town Cafe $12,450
Allowance for Doubtful Accounts $12,450
Cash $12,450
Accounts Receivable-Old Town Cafe $12,450
Answer:
Decrease by $1
Explanation:
Given:
Old data:
Q0 = 2,000 units
P0 = $20
Total revenue before change = 2,000 x $20 = $40,000
After change in Price.
Q1 = 2,100 units
P1 = $19
Total revenue After change = 2,100 x $19 = $39,900
Computation of Marginal Revenue:
Marginal Revenue = (P1 - P0) / (Q1 - Q0)
= ($39,900 - $40,000) / (2,100 - 2,000)
= -100 / 100
= $(-1)
Marginal revenue will decrease by $1
Answer:
petty cash fund 440 debit
cash 440 credit
--stablishment of the fund--
freight-in 46 debit
postage expenses 78 debit
miscellaneous expenses 111 debit
cash shortage loss 12 debit
Cash 247 credit
--reimbursement of the fund--
petty cash fund 50 debit
Cash 50 credit
--incerase of the fund to 490--
Explanation:
The petty fund will be stablish using cash, so we decrease cash and create the petty fund.
Then, the expenditures will be against cash, so we don't have to use the petty fund account.
Lastly, to increase the fund we take from the cash account the 50 dollars increase.