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Assoli18 [71]
3 years ago
9

In the short run, the quantity of output that firms supply can deviate from the natural level of output if the ___________ level

in the economy deviates from the expected price level. Several theories explain how this might happen.
For example, the ___________ asserts that output prices adjust more quickly to changes in the price level than wages do, in part because of long-term wage contracts. Suppose a firm signs a contract agreeing to pay its workers $15 per hour for the next year, based on an expected price level of 100 Year.
Business
1 answer:
Zielflug [23.3K]3 years ago
4 0

Answer:

1.  Actual Price

2.  Misperceptions theory.

Explanation:

In the short run, the quantity of output that firms supply can deviate from the natural level of output if the ACTUAL PRICE level in the economy deviates from the expected price level. Several theories explain how this might happen.

For example, the MISPERCEPTIONS THEORY asserts that output prices adjust more quickly to changes in the price level than wages do, in part because of long-term wage contracts. Suppose a firm signs a contract agreeing to pay its workers $15 per hour for the next year, based on an expected price level of 100 Year.

The above explanations is the reason why the aggregate supply curve slopes upward in the short run

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Patrick, an attorney, is the sole shareholder of Gander Corporation, a C corporation. Gander is a personal service corporation w
Step2247 [10]

Answer:

Therefore, the Salary that Gander Corporation Pay Patrick during the Period without Negative Tax effects is $15,000.

Explanation:

Calculation of the Salary that Gander Corporation Pay Patrick during the Period:

December 1 through December 31 of the Current Year is One Month, They have to Pay 1/12 of the following year tax:

The salary for the deferral period (December 1 through December 31) must be at least proportionate to the employee’s salary received for the fiscal year.

Gander Corporation must pay the amount to Patrick during the Period December 1 through December 31, to permit the continued use of its fiscal year without negative tax effects is as follows,

$180,000 *1/12 = $15,000

4 0
3 years ago
An adjusting entry that increases an asset and increases a revenue is known as a(n):
quester [9]

<u>Answer:</u>

<em>An adjusting entry that increases an asset and increases a revenue is known as Accrued Revenue.</em>

<u>Explanation:</u>

when an organization has earned income yet hasn't yet gotten money or recorded a sum receivable For the<em> situation of gathered incomes</em>, we get money after we earned the income and recorded an advantage.

The modifying section for a collected income consistently incorporates a charge to an advantage account (increment a benefit) and an a worthy representative for an<em> income account (increment an income).</em>

7 0
3 years ago
Which of the following activities is an example of gathering data by observation?
s344n2d4d5 [400]
From the given options, the activity which exemplifies gathering data by observation is option D: Measuring how many parts workers assemble in an hour. This is the best answer as it uses senses to observe people in naturally occurring situation — according to the definition of observation as a data collection method.
5 0
3 years ago
Read 2 more answers
During the year, Trombley Incorporated has the following inventory transactions.
Furkat [3]

Answer:

a. Ending inventory = $162, Cost of Sales = $593, Gross Profit = $478

b. Ending inventory = $227, Cost of Sales = $528, Gross Profit = $543

c. Ending inventory = $492.30, Cost of Sales = $557.94 , Gross Profit = $513.06

d. FIFO

Explanation:

FIFO

Ending inventory = 18 units × $9   = $162

                                Total               = $162

Cost of Sales = 11 units × $13 = $143

                         16 units × $12= $192

                         21 units × $11 = $231

                           3 units × $9 = $27

                         Total              = $593

Gross Profit = Sales less Cost of Sales

                   = (51 units × $21) - $593

                   = $1,071 - $593

                   = $478

LIFO

Ending inventory = 11 units × $13    = $143

                                 7 units × $12   =  $84

                                 Total               = $227

Cost of Sales = 9 units × $12 = $108

                         21 units × $11 = $231

                         21 units × $9 = $189

                         Total              = $528

Gross Profit = Sales less Cost of Sales

                   = (51 units × $21) - $528

                   = $1,071 - $528

                   = $543

Weighted-average cost

First determine the average cost.

Average cost = Total Cost / Total units

                      = $ 755 / 69

                      = $10.94

Ending inventory = Units Remaining × Average Price

                             = 45 units × $10.94

                             = $492.30

Cost of Sales = Units Sold × Average Cost

                      = 51 units × $10.94

                      = $557.94

Gross Profit = Sales less Cost of Sales

                   = (51 units × $21) - $557.94

                   = $1,071.00 - $557.94

                   = $513.06

8 0
3 years ago
Bartoletti Fabrication Corporation has a standard cost system in which it applies manufacturing overhead to products on the basi
vazorg [7]

Answer:

Total of the variable overhead rate and fixed manufacturing overhead budget variances for the month = $9,096 Unfavorable

Explanation:

Actual variable overhead rate = \frac{Actual variable overhead}{Actual Hours} = \frac{66,170}{6,400}  = 10.34

Therefore variance with the budgeted standard variable overhead

= (Standard Overhead rate - Actual overhead rate) \times Actual Hours

= ($9.70 - $10.34) \times 6,400 = -$4,096

And Fixed Overhead variance = Standard Fixed Overhead - Actual Fixed Overhead = $69,000 - $74,000 = -$5,000

Total of the variable overhead rate and fixed manufacturing overhead budget variances for the month = -$4,096 + -$5,000 = -$9,096

Since the value of variance is negative it means the expense both variable and fixed are over absorbed, which means it is unfavorable.

Total of the variable overhead rate and fixed manufacturing overhead budget variances for the month = $9,096 Unfavorable

3 0
3 years ago
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