I've known rent to be considered a taxable income in the year received. It's taxable income that would get claimed on income tax returns.
Answer:
The answer is C. Some firms exiting the market
Explanation:
When there is a sudden fall in the market demand in a competitive industry(e.g perfect competition) some firms would making economic losses and it is best if they shut down operation and production. Once these happen, they exit the market.
Option A is incorrect . Same as option B.
Option D is also incorrect
Answer:
There exists a positive relationship between the price and quantity supplied and thus a supply curve is upward sloping
Explanation:
All things being equal, when the price of a good increases, the quantity supplied increases as there would be more suppliers in the market or existing suppliers would be willing to do more. The same is also the case if the price falls, supply would fall
When we plot a graph with price and quantity, we noticed that it slopes upwards as quantity increases as prices does
Answer:
$167,600
Explanation:
Net income:
Sales revenue $364,000
- COGS $220,000
- Salaries $28,300
- Interest $3,000
- Insurance $4,700
Net Income $108,000
Cash flow from operating activities:
Net income $108,000
adjusting entries:
- accounts receivable ($45,100)
- accounts payable $38,400
- prepaid insurance ($4,700)
Net cash flow from operating activities $96,600
Cash flow from financing activities:
capital invested $46,000
money borrowed $25,000
Net cash flow from financing activities $71,000
Cash balance $167,600