Answer:
Loss on retirement of debt = $1,030,000
Explanation:
the company paid $7,070,000 in order to retire the bonds, and hte journal entry was:
Dr Bonds payable 7,000,000
Dr Loss on retirement of debt 1,030,000
Cr Cash 7,070,000
Cr Discount on bonds payable 960,000
Loss on retirement of debt = cash paid - carrying value = $7,070,000 - $6,040,000 = $1,030,000
This measures frequency, as it states that number of times the target gets to see the message
Small economy I think or up close economy
Answer:
When there is change in income level which determines the level of planned expenditures, there is a movement along the Aggregate expenditure curve but a shift towards the left or right on the Aggregate Demand curve.
Explanation:
Planned expenditures depicts the relationship between total spending, which is determined by income level in the economy; and the level of real GDP produced, with price level kept constant. Hence, an increase in income causes a movement along the Aggregate Expenditure curve.
Aggregate Demand depicts the relationship between price level and the level of real GDP produced, with income level kept constant. Hence, an increase in price level triggers a movement along the Aggregate Demand curve.
Therefore when income level changes which by extension means a change in planned expenditures, there is a movement along the aggregate expenditure curve but an left (inward) or right (outward) move on the Aggregate Demand curve; as long as price levels remain constant
Given:
projected revenue of each event: 90,000
cost of each event: 40,000
weekly events: 52 events per year
Profit = Revenue - Cost
P = 90,000 - 40,000
P = 50,000 per event
Annual Profit = 50,000 per event * 52 events per year = 2,600,000
