The US economic system is based on Consumer Sovereignty.
The basis for this is that the government does NOT regulate the economic system, rather it is done by economists, companies, banks, consumers, producers, etc. Freedom from tyranny is true but has nothing to do with the economic system, and the right to bear arms is the second amendment.
Answer:
Explanation:
Retention rate = 75%
Contribution to profit and overhead = 35%
Purchase laptop every 2,5 years (1/2.5=0.4 per year)
Average cost = $750
Value of loyal customer =
= Price * Purchase frequency * Gross margin * 1/(1-Retention rate)
Value of loyal customer = 750*0.4*0.35*1/(1-0.75) = 750*0.4*0.35*1/0.25 = $420
Answer:
$83,333
Explanation:
The sales dollars level required to break even are: $83,333
Answer:
The $30,000 will be posted to the debit side of the Cash account
The $30,000 will be posted to the credit side of the Common Stock account
Explanation:
The journal entry is shown below:
Cash A/c Dr $30,000
To Common stock A/c $30,000
(Being the cash is invested)
We simply debited the cash account and credited the capital account for $30,000 so that the correct posting can be done. So while preparing the ledger accounts we post the amount to the debit side of the cash account and credit side of the common stock account