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My name is Ann [436]
3 years ago
14

Suppose a negative externality exists in a market. if transactions costs are low and parties are willing to bargain then, accord

ing to the coase theorem
Business
1 answer:
soldier1979 [14.2K]3 years ago
3 0

Under these conditions an efficient solution can be reached regardless of the initial assignment of property rights.

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The regulations restaurants must follow concerning restrooms
Hoochie [10]
Restaurants of any size are regulated by a variety of local, state and federal laws dealing with health and safety for customers and employees. A critical component of restaurant design is providing restrooms for customers and employees, and for both men and women in each category. This includes the physical facilities and signage, as well as provision for handicapped or wheelchair access. In most areas, a local health department is the key agency monitoring all regulations related to restaurant restrooms, and it should be consulted during the design phase. An inspection, including restrooms, normally is required before a restaurant can open.
3 0
3 years ago
Read 2 more answers
On January 1, 2011, Fox Corp. issued 1,000 of its 10%, $1,000 bonds for $1,040,000. These bonds were to mature on January 1, 202
Tju [1.3M]

Answer:

$8,000 gain

Explanation:

the carrying value of the bonds at the time of the redemption:

10 coupon payments were made, so amortization of bond premium = ($40,000 / 20) x 11 = $22,000

carrying value = $1,040,000 - $22,000 = $1,018,000

redemption price = $1,000,000 x 1.01 = $1,010,000

Fox's gain = carrying value - redemption price = $1,018,000 - $1,010,000 = $8,000

Since the carrying value was higher than the redemption value, Fox must report a gain.

4 0
3 years ago
Suppose the price of corn rises from $30 in January to $32 in February to $32.7 in March. What is the March inflation rate
Rzqust [24]
The inflation rate formula is ( CPI2 - CPI1 )
                                            --------------------  x100
                                                    CPI1
CPI2 = Price of the latter date
CPI1 = Price of the earlier date

So the latter price is $32.7 and the earlier is $32 (I'm assuming you mean the inflation from January to February)

Then plug in the numbers ( 32.7 - 32 )
                                          ---------------- x100
                                                 32
32.7 - 32 = .7/32 = .021875 x 100 = 2.1875

Which means the answer would be if you round 2.2%

3 0
3 years ago
Stellar Company borrowed $37,200 on November 1, 2020, by signing a $37,200, 9%, 3-month note. Prepare Stellar’s November 1, 2020
Fynjy0 [20]

Answer:

Explanation:

The journal entries are shown below:

(A) Cash A/c Dr $37,200

           To Notes payable A/c $37,200

(Being note is issued for cash)

(B) Interest expense A/c Dr $558

         To Interest payable A/c  $558

(Being accrued interest adjusted)

The interest expense would be

= Principal × rate of interest × number of months ÷ (total number of months in a year)  

= $37,200 × 9% × (2 months÷ 12 months)

= $558

The two months is calculated from November 1 to December 31

(C) Interest expense A/c Dr $279

    Interest payable A/c Dr $558

   Notes payable A/c Dr $37,200

                                      To Cash A/c $38,037

(Being cash is paid on maturity)

The computation is shown below

= Principal × rate of interest × number of months ÷ (total number of months in a year)  

= $37,200 × 9% × (1 months÷ 12 months)

= $279

The two months is calculated from the  December 31 to February 1

7 0
3 years ago
The Tony Hawk Skate Park has a 5-year installment loan with monthly payments of $5,000 including interest. Currently, the first
tensa zangetsu [6.8K]

Answer: b. Reporting the current portion of a long-term note as long-term debt is a misrepresentation of the financial position of the company.

Explanation:

According to US GAAP, the current portion of a long term liability (the portion that is to be paid in the current period) should be recorded as a Current Liability.

The Current portion of a long term liability thus shows us the amount is the current Liability that a company is due to pay in the current operating cycle.

To therefore put that amount that the company is supposed to pay in the current cycle as a long term liability is a misrepresentation of the books aimed at primarily deceiving lenders as the text shows.

8 0
3 years ago
Read 2 more answers
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