Answer:
because they are able to create it at a lower price
Explanation:
Answer: Option A
Explanation: In simple words, elasticity refers to the change in demand for a product due to change in its price.
If the price for the gasoline remains high in the long run then at one point substitution effect will come into play and consumers will shift their demand to the alternatives available.
However the product like gasoline will not show decrease in demand in the short run due to price as it more of an essential good to daily life.
Thus, the correct option is A.
Answer:
Net capital spending = $2,985,000
Explanation:
There are two financial years in consideration
They are 2008 and 2009
Closing values of 2008 = Opening values of 2009
Now, closing value of net assets at 2008 = $4 million
Closing value of net assets for 2009 = $6.2 million
Net capital spending = Gross fixed assets at year end - Opening fixed assets
Gross fixed assets = Net Value + Depreciation
= $6.2 million + $785,000
= $6,985,000
Thus, Net capital spending in 2009 = $6,985,000 - $4,000,000
= $2,985,000
Answer:
A. Would be as useful to a business which makes sales only on a credit basis, as it is to a business making sales for cash.
Explanation:
A cash budget shows the cash flow for a business over a certain time period in which the budget determines if the business has enough cash to operate.
Solution:
The record entry in accounting is the reporting of a report in an accounting document that displays the company's costs and credit balances. The amount of the payments must be equivalent to the sum of the credits otherwise the journal submission must be treated as unbalanced.
Raw material: a fundamental substance in its natural, changed or semi-managed condition, used as a contribution to the cycle of production for the eventual modification or transformation into a finished decent substance.
Pass journal entry
Particular Debit ($) Credit ($)
Raw material inventory (WN1) 210,000
Cash 210,000
Work in process 186,000
Raw material inventory 186,000
Factory overhead 15,000
Raw material inventory 15,000
