The answer is Inflation premium. Inflation Premium is a part of the interest rates that the result from the lenders compensation to the expected inflation by making the nominal interest rate to higher rates. It is also the investment returns that compensates for the expected increase of price levels of products.
Answer:
Organizational effectiveness
Explanation:
Organizational effectiveness is the process by which an organization is effective at achieving its required goals and objectives. The principles by which an organization can achieve its objective are:
1) Leadership: the manager must define key objective an execute them daily in other to achieve high productivity.
2) Communication: the manager must ensure that his or her message is understood consistently in other to achieve outstanding results.
3) Accountability: the manager must ensure that his or her employees are well disciplined and has the ability to learn new things.
4) Measurement: the manager must be able to measure the work progress to know if the organization is running at a profit or loss.
Answer:
(B) adding all of the debits, adding all of the credits, and then subtracting the smaller sum from the larger sum
Explanation:
While calculating the closing balance of any account,
There includes two possibilities that the account might have debit balance or the account might have credit balance. And for computing this:
All the debits shall be accumulated and then their total shall be computed.
Similarly, all the credits shall be accumulated and their total shall be done.
Which ever is more then the account will have that nature of balance, accordingly the smaller shall be deducted from the larger one and the larger one will decide the nature of balance whether debit or credit.
Answer:
Explanation:
The journal entry to record the bad debt expense is shown below:
Bad debt expense A/c Dr $11,181
To Allowance for doubtful debts $11,181
(Being bad debt expense is recorded)
The computation of the bad debt expense is shown below:
= (Accounts receivable × estimated percentage given
) - (credit balance of Allowance for Doubtful Accounts)
= ($206,300 × 7%) - ($3,260)
= $14,441 - $3,260
= $11,181
Answer:
The Kreidler Kids company has a producer surplus of $500.
Explanation:
Producer surplus can be described or calculated as the amount a producer is willing to supply or sell goods and the actual amount the supplier received.
For this question, the producer surplus can therefore be calculated as follows:
The amount Kreidler Kids company can produce swing sets = $1,000
The amount paid by Kendra for the the swing set = $1,500
Producer surplus = The amount paid by Kendra for the the swing set - The amount Kreidler Kids company can produce swing sets = $1,500 - $1,000 = $500
Therfore, the Kreidler Kids company has a producer surplus of $500.
