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never [62]
3 years ago
6

In both Gamma and Delta average labor productivity is $20,000 per worker per year. The population of Gamma is 200,000 and the po

pulation of Delta is 400,000. Sixty percent of the population in each country is employed. Total output in Gamma is _____ and total output in Delta is _____.
Business
1 answer:
cupoosta [38]3 years ago
8 0

Answer:

Total output in Gamma is $2,400,000,000 and total output in Delta is $4,800,000,000.

Explanation:

The population of Gamma is 200,000 and the population of Delta is 400,000. Sixty percent of the population in each country is employed.

The number of worker in Gamma = 60% x 200,000 = 120,000 people

The number of worker in Delta = 60% x 400,000 = 240,000 people

Total output = Average labor productivity x The number of worker

Total output in Gamma = $20,000 x 120,000 = $2,400,000,000

Total output in Delta = $20,000 x 240,000 = $4,800,000,000

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For each example, determine how the market for the good in the bolded text will respond to the described change.
Slav-nsk [51]

Answer:

a. Due to increases in hay prices, an input for raising cattle, the price of a gallon of 2% milk increases from $2.98 to $3.25.  QUANTITY DEMANDED DECREASES, as the price of a good or service increases, the quantity demanded decreases.

b. Groupon has a Groupon for $6 off the price of laser tag.  QUANTITY DEMANDED INCREASES, as the price of a good or service decreases, the quantity demanded increases.

c. Sharp increase in the price of wood causes increases in prices for dressers and desks.  QUANTITY DEMANDED DECREASES, if the price of a key input increases, the production costs will increase, resulting in a higher selling price ⇒ lower quantity demanded.

d. Week long special at the grocery store, where pork shoulder is on sale at $1.99 a pound, down from $3.99 a pound.  QUANTITY DEMANDED INCREASES, as the price of a good or service decreases, the quantity demanded increases.

e. Buy one get one free special for MP3 albums on Amazon. QUANTITY DEMANDED INCREASES, the buy one get one free promotion lowers the price of a good or service, resulting in higher quantity demanded.

7 0
3 years ago
Sleep Tight, Inc., manufactures comforters. The estimated inventories on January 1 for finished goods, work in process, and mate
liq [111]

Answer:

$950,000

Explanation:

<u>Particular                                     Amount    Amount</u>

Finish Goods                                                $39,000

W.I.P Goods                                  $34,000

Add: material                                $27,000              

material purchase                        $555,000

Direct labor                                   $248,000

<u>Factory Overhead                        $143,000</u>

                                                      $1,007,000

Less: material                               $20,000

W.I.P Goods at end                      $33,000

<u>Finish Goods                                $43,000                 </u>

<u>                                                                       $911,000</u>

<u>Total cost of goods sold                               $950,000</u>

6 0
3 years ago
Brief Exercise 259 Mintz Company issued $400,000, 10%, 10-year bonds on January 1, 2017, at 105. Interest is paid annually on De
Ira Lisetskai [31]

Answer:

Dr cash     $420,000

Cr bonds payable                        $400,000

Cr premium on bonds payable $20,000

Dr interest expense($40000-$2,000)       $38,000

Dr premium on bonds payable                  $2,000

Cr cash                                                                            $40,000

Explanation:

The bond price is the pv of all cash inflows promised by the bond which includes annual coupon and repayment of face value at redemption:

bond price=face value *105%

bond price=$400,000*105%=$420000

The cash proceeds from the issue would be debited to cash while bonds payable is credited with $400,000 and premium on bonds payable is credited with $20,000.

amortization of premium=$20,000/10=$2,000

interest payment=10%*$400,000=$40,000

8 0
3 years ago
A company's Inventory balance at the end of the year was $188,000 and $200,000 at the beginning of the year. Its Accounts Payabl
Aloiza [94]

Answer:

$704,000

Explanation:

As we know that

Costs of goods sold = Beginning inventory + purchase made - ending inventory

$720,000 = $200,000 + purchase made - $188,000

So, the purchase would be

= $708,000

Now the cash payment would be

= Beginning balance of accounts payable + purchase - ending balance of accounts payable

= $80,000 + $708,000 - $84,000

= $704,000

7 0
4 years ago
During 2019, Sigma Company earned service revenue amounting to $700,000, of which $630,000 was collected in cash; the balance wi
Kryger [21]

Answer:

$700,000

Explanation:

As we know that

The income statement is the statement that records the income and the expenditure for a company

The expenses should be shown on debit side while the income or revenue is shown on the credit side

Since the total service revenue earned is $700,000 and the same is to be shown in the income statement as it records all the cash and credit sales or service revenue

Therefore, the total amount i.e $700,000 is reported on the income statement

4 0
3 years ago
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