Answer: a) increase in the demand for Kindles.
Explanation: the substitution effect for substitute goods gives that, if the price of good A rises, the demand for good B rises. Since a substitute good is a good that can be used in place of another, they are goods that a consumer perceives as similar or are comparable, in such a way that having more of one good causes the consumer to desire less of the other good. From the viewpoint of price, and given that consumers always prefer to spend less in instances where two goods are substitutes, it then means that Kindle can be used and preferred in place of Nooks given that the price of Nooks had gone up. Therefore, increasing the price of Nooks causes a corresponding increase in the demand for Kindles. 
 
        
             
        
        
        
Answer: False 
Explanation:
Intellectual capital simply refers to the intangible assets and the resources that helps in the contribution to the value of a particular company or enterprise and help such company to gain competitive advantage over its counterparts. 
It should be noted that these assets and resources aren't caught by the traditional accounting reports.
The above statement means that the statement in the question is wrong. Intellectual capital are not caught by traditional accounting reports. 
 
        
             
        
        
        
Answer:
(a) Belief that a company will remain in operation for the foreseeable future. 
Accounting assumption or principle: Going concern assumption
(b) Indicates that personal and business record-keeping should be separately maintained. 
Accounting assumption or principle: Economic entity assumption
(c) Only those items that can be expressed in money are included in the accounting records. 
Accounting assumption or principle: Monetary unit assumption
(d) Separates financial information into time periods for reporting purposes. 
Accounting assumption or principle: Periodicity assumption
(e) Measurement basis used when a reliable estimate of fair value is not available. 
Accounting assumption or principle: Historical cost principle
(f) Dictates that companies should report all circumstances and events that make a difference to financial statement users.
Accounting assumption or principle: Full disclosure principle
 
        
             
        
        
        
I believe this is the Sarbanes Oxley act