Answer:
The correct answer is option B.
Explanation:
A recessionary gap implies that the resources are not being fully utilized. This means resources are being wasted.
An expansionary gap, on the other hand, means that the economy is producing at more than potential level. The price level at this point is high. There is a tendency for inflation to develop in this situation.
To curb the recessionary gap the economy can adopt the expansionary fiscal and monetary policy. While to curb expansionary gap, contractionary monetary and fiscal policy can be adopted.
Answer:
Grouper Inc. is involved in a lawsuit at December 31, 2020
It is given that Grouper will be liable for $863,600 as a result of this suit. Therefore, the journal entry for this situation is as follows;
On December 31, 2020
Lawsuit loss A/c Dr. $863,600
To Lawsuit liability $863,600
(To record the lawsuit loss of the Grouper Inc.)
Answer: availability heuristic
Explanation: Heuristic is simply a mental strategy used to quickly form judgments, make decisions, and find solutions to complex problems.It describes an approach to problem solving, learning, or discovery that employs a practical method nit guaranteed to be optimal or perfect; not following or derived from any theory. A product specialist who bases a decision not to launch a new product based on her recent failure with another product offering is an example of availability heuristic. It relies on information that comes to mind quickly when it comes to making judgment or decision about relative risk or danger. our brains rely on a number of different strategies to make quick decisions. Availability heuristic is then, a mental shortcut that helps individuals make quick, but sometimes incorrect, assessments.
Answer:
the actual payroll is $189,630
Explanation:
<u>Calculation of Standard Payroll Cost</u>
Standard Payroll Cost (flexed) = 13,100 hours×$14 per hour
= $183,400
<u>Reconciling the Standard Payroll Cost to Actual Payroll Cost</u>
Standard Payroll Cost (flexed) $183,400
<em>Add</em> unfavorable direct labor efficiency variance $15,400
<em>Less </em>favorable direct labor rate variance ($9,170)
Actual Payroll Cost 189,630
Answer:
$24,820
Explanation:
Given:
Periodic amount = $3,650
Number of period = 6
Interest rate = 5% = 5/100 = 0.05
Future value of annuity = ?
Computation of Future value of annuity :
![Future \ value = Pmt[\frac{(1+r)^n-1}{r} ]\\\\Future \ value = 3,650[\frac{(1+0.05)^6-1}{0.05} ]\\\\Future \ value = 3,650[\frac{(1.05)^6-1}{0.05} ]\\\\Future \ value = 3,650[\frac{1.34-1}{0.05} ]\\\\Future \ value = 3,650[\frac{0.34}{0.05} ]\\\\Future \ value = 3,650[6.8]\\\\Future \ value = 24,820\\\\](https://tex.z-dn.net/?f=Future%20%5C%20value%20%3D%20Pmt%5B%5Cfrac%7B%281%2Br%29%5En-1%7D%7Br%7D%20%5D%5C%5C%5C%5CFuture%20%5C%20value%20%3D%203%2C650%5B%5Cfrac%7B%281%2B0.05%29%5E6-1%7D%7B0.05%7D%20%5D%5C%5C%5C%5CFuture%20%5C%20value%20%3D%203%2C650%5B%5Cfrac%7B%281.05%29%5E6-1%7D%7B0.05%7D%20%5D%5C%5C%5C%5CFuture%20%5C%20value%20%3D%203%2C650%5B%5Cfrac%7B1.34-1%7D%7B0.05%7D%20%5D%5C%5C%5C%5CFuture%20%5C%20value%20%3D%203%2C650%5B%5Cfrac%7B0.34%7D%7B0.05%7D%20%5D%5C%5C%5C%5CFuture%20%5C%20value%20%3D%203%2C650%5B6.8%5D%5C%5C%5C%5CFuture%20%5C%20value%20%3D%2024%2C820%5C%5C%5C%5C)
Therefore, future value is $24,820
