Most economists prefer real GDP growth as the best indicator of current economic performance. Real GDP is the gross domestic product in constant dollars. In other words, it is a nation's total output of goods and services, adjusted for price changes. The real GDP allows economists to make useful comparisons of a nation's output and services by eliminating the effect of price changes. It is also known as inflation-corrected GDP and constant-price GDP.
Answer:
D) increase at a faster rate than the costs associated with those sales.
Explanation:
If the break even point was reached during the 20th day of the month, then any revenue generated during the remaining 10-11 days will increase net profits. The amount of net profit increase will be determined by the contribution margin of each service provided. The contribution margin = net sales - variable costs. Since the fixed costs have already been covered, the contribution margin will be equal to the net profit.
Answer
The answer and procedures of the exercise are attached in the following image.
Explanation
Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in a single sheet with the formulas indications.
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Answer:
Current Assets = $85,000
Explanation:
Anson Corporation
Balance Sheet (Partial)
As at December 31, 2018
Assets
Current Assets:
Accounts receivable $12,000
Inventories 40,000
Treasury Bill 30,000
<u>Prepaid insurance 3,000</u>
Total current assets $85,000
Prepaid insurance $6,000/2 = $3,000 is for current years. Therefore, $3,000 is a current assets. Since treasury bill is an investment and for 3 months, it is a current assets.