Answer:
0%
Explanation:
Given that,
Growth rate of money supply = 3% per year
Real GDP growth rate = 3% per year
Velocity = Constant
According to the quantity growth theory of money,
M + V = P + Y
where,
M = Growth rate of money supply
V = Velocity
P = Inflation rate
Y = Real GDP growth rate
M + V = P + Y
3% + 0 = P + 3%
3% - 3% = P
0% = P
Therefore, the inflation rate is 0%.
Answer:
Have no effect on net realizable value
Explanation:
Net realizable value is the value of accounts receivable less any allowance for bad debts. This amount is reported in the balance sheet. Under allowance method, if a particular receivable is uncollectible, then the amount is reduced from both accounts receivable and allowance for bad debts. As such, there is no effect on the net realizable value as both the accounts are reduced by the amount that is uncollectible.
Answer:
Profit (loss) 4611
Explanation:
Variable manufacturing cost per unit = Total variable manufacturing cost / Total number of units = 99750 / 15000 = 6.65.
Calculation of special order :
Sales (5300 * 7.80) = 41.340
(-) Variable manufacturing costs ( 5.300 * 6.65 ) = 35.245
(-) Export fees ( 5300 * 0.28) = 1.484
Profit (loss) 4.611