The BEST description of the economic system of the United States is <u>D. free-market capitalism.</u>
<h3>What is free-market capitalism?</h3>
Free-market capitalism is known for the following features:
- Private individuals control the factors of production.
- It is a purely capitalist economic system.
- The laws of supply and demand regulate production, labor, and the marketplace.
- An unregulated system of economic exchange reigns.
- Non-existence of or minimal presence of centralized economic interventions.
The best description of the economy of the United States is not:
- Marxism
- Command
- Socialism
- Closed economic system.
But the BEST description of the economic system of the United States is <u>D. free-market capitalism</u>.
Learn more about free-market capitalism at brainly.com/question/3369578 and brainly.com/question/600577
Answer:
The correct option is A
Explanation:
Transaction costs are the whole array of costs associated with selling, buying, transferring goods etc.
Transaction costs can be of different types which are:
- search costs
- monitoring costs
- Bargaining costs
- transfer costs etc.
<h2>Estimated losses on the overall contract are recognized before the contract is completed. </h2>
Explanation:
Revenue recognition cannot be done prior to the completion of contract.
But the asset can be created. Only after the contract gets completed the revenue recognition can be realized.
For a long-term project, the revenue can be recognized based on the percentage of completion.
Revenue recognition keeps financial transactions aligned.
Option A: valid
Option B Invalid, because expenses are also recognized
Option C: This process is acceptable.
Option D: Gains and profits are calculated in this type of method
Answer:
Vehicle registration
Explanation:
Vehicle registration reoccurs annually, the other costs are one time.
Answer:
4.71
Explanation:
Cash coverage is a financial tool to calculate the proportion of available cash to interest expenses. It is useful in that it gives a deeper insight into available cash to offset interest expense and guide towards proper investment of cash.
<u>Workings</u>
Cash coverage ratio = cash + cash equivalent / interest expenses.
To arrive at the cash equivalent , depreciation is added back to the net income
Cash equivalent = 15,585+ 2,525 = 18,110
Interest expenses = 3,846
Cash coverage ratio = 18,110 / 3,846 = 4.71
This seems high and it is advisable that cash should be used for some short term investments to earn other profit
