Answer:
a. The situation can be shown with a normal equilibrium supply and demand graph (as shown in the attached file).
b. There is a shift in demand from left to right due to the crowding out of the deficit budget.
Explanation:
If the government is running a deficit budget, there will be an increase in the total demand for loanable funds. This is because the government must borrow money to balance the situation. As a result, the interest rate will increase. However, the private demand will remain the same and investment will be less due to the high interest rate.
Answer:
(a) January 1
Dr Petty cash $200
Cr Cash $200
B. January
Dr Phone Expense $17.50
Dr Automobile Expense 33
Dr Joseph Levine, Drawing 56
Dr Postage Expense 12.50
Dr Charitable Contributions Expense 15
Dr Miscellaneous Expense 49
Cr Petty cash 183
January 31
Dr Petty cash $183
Cr Cash $183
Explanation:
(a) Preparation of the journal entry to establish a petty cash fund
January 1
Dr Petty cash $200
Cr Cash $200
b. Preparation of the journal entry to replenish the petty cash fund.
January
Dr Phone Expense $17.50
Dr Automobile Expense 33
Dr Joseph Levine, Drawing 56
Dr Postage Expense 12.50
Dr Charitable Contributions Expense 15
Dr Miscellaneous Expense 49
Cr Petty cash 183
($17.50+33+56+12.50+15+49)
January 31
Dr Petty cash $183
Cr Cash $183
($17.50+33+56+12.50+15+49)
<span>One composite commodity is produced.
</span><span>Output is regarded as net output after making allowance for the depreciation of capital.
</span><span>There are constant returns to scale. In other words, the production function is homogeneous of the first degree.
</span><span>The two factors of production, labor and capital, are paid according to their marginal physical productivities.
</span>
Answer:
1800
Explanation:
A company threw away a computer that originally costs $8,500
They accumulated depreciation of $6,700
Hence the company will loss money, they would experience a loss of
8500-6700
= 1800
Hence the company will be at a loss of 1800
Answer:
Explanation:
The journal entry to record the given transaction is shown below:
Cash A/c Dr XXXXX
To Common stock A/c XXXXX
(Being the issuance of the common stock is recorded)
The accounting equation is
Total Assets = Total liabilities + Stockholder equity
Cash Increased = No effect + Increased
Therefore, the cash account and the common stock is increased.
