Answer:
Balance after adjustment will be a credit of $90,000
Explanation:
<em>Particulars Amount</em>
Non-collectible accounts $108,000
Credit balance <u>$18,000</u>
Balance Adjustment <u>$90,000</u>
Balance after adjustment will be a credit of $90,000
Note: Non-collectible accounts = 2% * $5,400,000 =$108000
Answer:
The correct answer is: the slope of the aggregate-demand curve.
Explanation:
The aggregate demand comprises consumption spending, investment expenditure, government purchases, and net exports. The aggregate demand curve is a downward-sloping curve indicating that the aggregate demand will be higher at lower prices.
The aggregate demand curve is downward sloping because of the wealth effect, interest-rate effect and exchange rate effect.
When the price level decreases, the real value of wealth held by individuals will increase. This will cause consumer spending and hence aggregate demand to increase. This is called the wealth effect.
At lower price levels, the demand for money will also be lower as less money will be required to pay in exchange for goods and services. This decrease in the demand for money will shift the money demand curve to the left decreasing the interest rate. At lower interest rate investment expenditure will be higher. This will cause the aggregate demand to increase, this is called the interest-rate effect.
A decrease in price will make goods cheaper for foreign consumers as well as domestic consumers. So at a lower price, the exports will be higher and the imports will be lower. The net exports will thus increase. This will further increase aggregate demand. This is called the exchange rate effect.
<u>Answer: </u>Supply decreases and the supply curve has shifted upwards.
<u>Explanation:</u>
Equilibrium price is the place where the supply and demand curves meet. It is the balance point above the point creates surplus and below the point creates shortages.Surplus occurs when the prices are lowered to increase the sales. When there is a shortage the prices will increase to make benefit out of the situation and meet high demand.
When the supply and demand curves shift upwards it affects the price and quantity. The equilibrium price of the product will increase and the quantity falls.
Answer:
False because sometimes lots in the same area look different.
Explanation:
If the Canadian consumers increase their demand for Mexican financial asset; the supply of Canadian dollar will increase, the value of the peso will increase and the Canadian net exports will increase.