Answer:
Lake's operating income is $120000
Explanation:
Operating income is the income generated by the operations of company less its operating cost. Another name that is used for operating income is Earnings before interest and tax (EBIT). The charges or income relating to non operating or financing activities is not included in the operating income and nor is the tax deduction included.
The formula for operating income = Sales - Cost of Sales - operating expenses.
The operating expenses here, are = Advertising + Salaries + Utilities
Thus, operating expenses = 60000 + 55000 + 25000 = $140000
The Operating Income = 440000 - 180000 - 140000 = $120000
Answer: The correct answer is "a. lower wage rate and hire fewer workers than will a purely competitive employer.".
Explanation: Monopsony is generated when there are many people looking for work and there are only a few employers, who can afford to offer a lower salary than they would have to offer if there was more competition for workers.
Answer:
B. $6,448,519
Explanation:
The computation of the present value of this growing annuity is given below:
PVA = [Cash flow at year 1 ÷ (interest rate - growth rate)] × {1 - [(1 + growth rate) ÷ (1 + interest rate)^number of years}
= [$675,000 ÷ (0.18 - 0.13)] × [1 - (1.13 ÷ 1.18)^15]
= $6,448,519
Hence, the correct option is b.
Answer and Explanation:
The journal entries are shown below;
On March 1
Cash A/c $303,500
To Common Stock $3 Par value (44,500 × $3) $133,500
To Paid in capital in excess of par value $170,000
(Being the common stock issued is recorded)
On April 1
Cash $74,000
To Common Stock, no par value $74,000
(Being the common stock issued is recorded)
On April 6
Inventory $43,000
Machinery $155,000
To Common Stock (2,400 ×$20) $48,000
To Notes payable $93,000
To Paid in capital in excess of par value $57,000
(Being the shares are issued)
The correct answer is C. The government
Explanation:
The key feature of a planned economy is the strong influence and control of government in the economy. Indeed, in a planned economy it is the government the entity that decides on trade and production, this includes the prices of goods and the types of products that should be manufactured. Moreover, this does not occur in market economies because in these customers, produces and the law of supply/demand determine factors of the economy. According to this, in a planned economy prices are controlled by government.
