Answer:
False
Explanation:
Most interest rates in the economy are not set by federal reserve. For example, banks decide what interests to pay different kind of deposits and charge loans of different risks on their own (with consideration for competition and profitability).
What the Fed does is set important rates (discount rate and funds rate) that influence other interest rates in the economy.
Answer:
$1,680,000
Explanation:
Based on the information given we were told that the fair value of the building was the amount of $1,680,000 which means that the amount that the company would record the building is the fair value amount of $1,680,000.
Therefore the amount that the company would record the building is $1,680,000.
Answer:
D. $109,000
Explanation:
The total selling expense which is an element of the income statement is the sum of the marketing expense and the sales commission.
The sales commission as given is a percentage of the number of units sold.
Total selling expense
= $65,000 + (10% * $40 * 11,000)
= $65,000 + $44,000
= $109,000
The answer is A, a saver.
He is putting money aside for later instead of spending it on anything else
Answer:
b) has sunk costs of exist6,000.
Explanation:
The cost which already been incurred and does not effect the decision being made. This cost is prospective cost. It can be avoided in decision making process.
Sunk Cost
Upgradation of Equipment = $6,000
Other cost are the routine costs which incur every year and future cost which is expected to be incur.
