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SOVA2 [1]
3 years ago
14

Patrick Enterprises recently installed a parking lot. The paving costs were $38,750, and the lighting costs were $20,000. In add

ition, the company entered into a $1,000 annual agreement with Romero Cleaning to maintain the parking lot for 3 years. What is the total cost to be included in the Land Improvements account
Business
1 answer:
weeeeeb [17]3 years ago
5 0

Answer:

$58,750

Explanation:

Paving Costs             $38,750

Lighting Costs           $20,000

Total cost to be included in land improvement account $58,750

Please note that cleaning agreement cost is revenue expenditure,therefore should be charged to profit and loss account not in land improvement account.

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Answer:

Congruent triangles has the two angles of one of their sides equal

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"In the long run a company that produces and sells kayaks incurs total costs of $15,000 when output is 30 kayaks and $20,000 whe
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Answer:

b. constant returns to scale because average total cost is constant as output rises.

Explanation:

The question has options. Below is the complete question.

<u>Complete Question</u>

In the long run a company that produces and sells kayaks incurs total costs of $15,000 when output is 30 kayaks and $20,000 when output is 40 kayaks. The kayak company exhibits

a. diseconomies of scale because total cost is rising as output rises.

b. constant returns to scale because average total cost is constant as output rises.

c. diseconomies of scale because average total cost is rising as output rises.

d. economies of scale because average total cost is falling as output rises.

The correct answer is explained below.

In the long run a company that produces and sells kayaks incurs total costs of $15,000 when output is 30 kayaks and $20,000 when output is 40 kayaks. The kayak company exhibits  constant returns to scale because average total cost is constant as output rises.

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Check the image below.

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