Answer:
The goals of expansionary fiscal policies are to reduce unemployment rate, increase aggregate demand (rightward shift of aggregate demand curve), increase aggregate supply (rightward shift of aggregate supply curve), and as a result increase real GDP.
Expansionary fiscal policies can be either:
- increase government spending
- decrease taxes
Answer:
(a) $1,760
(b) $1,100
Explanation:
Given that,
Skysong, Inc. made three purchases of merchandise:
(1) 320 units at $5
(2) 420 units at $7
(3) 520 units at $8
Units on hand at the end of the period = 220
(a) Under FIFO method,
cost of ending inventory:
= Units on hand at the end of the period × $8 (From the last purchase)
= 220 × $8
= $1,760
(b) Under LIFO method (Comprise units from the first purchase),
cost of ending inventory:
= Units on hand at the end of the period × $8 (From the first purchase)
= 220 × $5
= $1,100
Answer: Cost per unit $15.2, cost of good sold $10,640
Explanation:
Weighted Average cost per unit = 15,200/1000
= $15.2
Ending inventory (400 × 15.2)
= 6,080
Cost of good available for sale = 15,200
Cost of good sold (700 × 15.2)
= $10,640
