Answer:
a. retained earnings statement, as a $630,000 addition to the beginning balance
Explanation:
Data provided in the question
Change in increase in inventory = $900,000
Income tax rate = 30%
By considering the above information, the cumulative effect is
= Change in increase in inventory - Change in increase in inventory × income tax rate
= $900,000 - $900,000 × 30%
= $900,000 - $270,000
= $630,000
This $630,000 is a addition to the beginning balance
Answer:
the labor efficiency variance is $35,244 favorable
Explanation:
The computation of the labor efficiency variance is shown below:
As we know that
Efficiency Variance is
= Standard rate × (Standard hours - Actual Hours)
= $13.20 × (9.4 ×1,050 units - 7,200 hours)
= $13.20 × (9,870 hours - 7,200 hours)
= $35,244 favorable
hence, the labor efficiency variance is $35,244 favorable
Capital gains representative select industrial
Scientific method involves ways in which you would solve something while the others are just assuming or wondering what could happen.
Answer:
In a large open economy, if political instability abroad lowers the net capital outflow function, then the real interest rate falls, while the real exchange rate rises and net exports fall. (D)
Explanation:
NX = EXPORTS – IMPORTS
If political instability abroad lowers the net capital outflow function that would mean that NX is reducing, which increasing imports and decreasing exports. This means that domestic goods are relatively more expensive due to a high exchange rate. In terms of the real interest rate, it falls because the demand for financial assets decreases.
