Answer:
Business cycles
Explanation:
Business cycle is the correct answer because when the economy grows then the GDP of the country also grows. While the decrease in economic activities leads to slow down the economy and then GDP of the country falls. Therefore, the complete circle of GDP boost and then contract is called the business cycle.
Answer:
When it comes to capitalizing assets, all expenses that relate to the acquisition and installation of the asset will be capitalized.
Land
= Cost of land + razing cost + Legal fees + Title insurance - Salvaged lumber
= 400,000 + 42,000 + 1,850 + 1,500 - 6,300
= $439,050
Building
= Survey cost + Drawn up factory plans + liability insurance + Construction cost + interest cost
= 2,200 + 68,000 + 900 + 2,740,000 + 170,000
= $2,981,100
Answer:
The correct answer is (C) lines of credit accessible with credit cards.
Explanation:
It is important to recognize that demand deposits are not automatically part of the money supply by virtue of their own existence; they continue to be equivalent to money as long as the subjective estimates of the sellers of goods in the market think they are so equivalent and accept them as such in return.
All economists, of course, include standard money in their money supply concept. The rationale for including demand deposits is that people believe that these deposits can be exchanged in standard sight money, and therefore treat them as equivalent, accepting the payment of demand deposits as a substitute for payment. cash. But if demand deposits must be included in the money supply for this reason, it follows that any other entity that follows the same rules must also be included in the money supply.
Answer:
$ 925
Explanation:
Data provided:
Credit sales = $ 43,000
Collection of credits = $ 34,000
Amount written off = $ 675
Estimated uncollectible amount at the year end = $ 250
Now,
the bad debt expenses will be the total amount that has not be recovered back
i.e the amount written off + uncollectible amount
or
bad debt expenses = $ 675 + $ 250 = $ 925
Answer:
ROE = 20%
Explanation:
Given:
Common equity = $350,000
Net income = $70,000
Find:
ROE
Computation:
ROE = [Net income/Common equity]100
ROE = [$70,000/$350,000]100
ROE = 20%
