Answer: Maximize joint welfare in respective or the right owner.
Explanation: A coase solution to a problem of externality insures that a socially efficient outcome is to maximize the joint welfare, irrespective of the right of ownership.
The Coase theorem states that when transaction cost are low, two parties will be able to bargain and reach an efficient outcome in the presence of an externality.
The purchase amount that Icon Co. would record on April 2 would be: <u>c. $4,000</u>.
<h3>What is the purchase amount to be recorded?</h3>
The purchase amount that should be recorded on the date of purchase is the amount of the transaction. This does not take into account the return and discount which happened later.
This implies that Icon Co. will reduce the purchase amount on April 4 when half of the goods were returned with a contra entry. And discount will be based on the balance of $2,000 instead of $4,000.
<h3>Data and Calculations:</h3>
Purchase on April 2 = $4,000
Purchases Return on April 4 = $2,000
Thus, the purchase amount that Icon Co. would record on April 2 would be: <u>c. $4,000</u>.
Learn more about recording credit purchases at brainly.com/question/5651500
Answer:
Beau's decision to tell somebody about his company's actions is an example of: whistle blowing
Explanation:
Ethics is the study of moral human behavior. Ethical behavior usually varies with different areas. What is considered ethical is always subject to the cultural standards of that particular place. In a company environment, there are ethical standards that are supposed to be met on the part of the company and also individuals working in the company.
One major ethical standard that companies must maintain is environmental protection. This is more prevalent in manufacturing companies that have to release toxic waste to the environment in the form of fumes to the atmosphere or liquid waste to rivers and water bodies. The environment is used by all living beings and therefor it needs to be protected. Ethical standards dictate that industrial waste should be kept below toxic levels before being released into the environment.
It is also ethical for any individual working in a company and has information about unethical practices of a company to publicly expose the company so that they can be held accountable for their actions. This is referred to as whistle blowing. Beau's decision to inform a newspaper reporter about the actions of the company in destroying the environment is an example of whistle blowing. Her decision is a typical example of ethical behavior.
Answer:
a. $8,000 gain
Explanation:
The face value of the bonds purchased by Pluto Corporation are $120,000. The bonds are purchased at discount of $1,980. The bonds have carrying value of $126,019 at the time of purchase. The net gain or loss is calculated by the difference between two values.
$120,000 - $126,019 - $6,019
The discount amount of the bond was $1,980.
Total gain on the bonds approximately ($6,019 + $1,980) = $8,000
