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3 years ago

Demand curves intersect the quantity axis due to and intersect the price axis due to .

Business

1 answer:

igor_vitrenko [27]3 years ago

6 0

Answer:

time limitations in limited marginal utility; limited income and wealth

Explanation:

Demand curves intersect the quantity axis due to time limitations in limited marginal utility, which explains the second law of demand – the lower the price, the higher the quantity demanded. While it intersects the price axis due to limited income and wealth, which also explains the second law of demand – the higher the price, the lower the quantity demanded.

The marginal utility of a consumer is limited, because, the more of the goods consumed, the amount of satisfaction derived decreases. Hence, the demand curve intersects the quantity axis, indicating the point when the consumer derives no more satisfaction from the consumption of that good.

On the other hand, as a result of limited income of the consumer, it would come to a point when the consumer will not be able to purchase any quantity of the goods as the price increases. The point at which the demand curve intersects the price axis, indicates he point where the consumer income cannot purchase any quantity of the goods.

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Listed below are several transactions. For each transaction, indicate whether the cash effect of each transaction is reported in

Scilla [17]

Answer:

Transaction Type of Activity Cash Inflow or

Cash Outflow

1 Payment of employee salaries Operating Cash outflow

2. Sale of land for cash Investing Cash Inflow

3. Purchase of rent in advance investing Cash outflow

4.Collection of an account receivable Operating Cash inflow

5.Issuance of common stock Financing Cash inflow

6.Purchase of inventory Operating Cash outflow

7.Collection of notes receivable Investing Cash inflow

8.Payment of income taxes Operating Cash outflow

9. Sale of equipment for a note recei. Non cash No effect

10. issuance of bonds Financing Cash inflow

11. Loan to another firm Investing Cash outflow

12. Payment of a long term note pay. Financing Cash outflow

13. Purchase of treasury stock Financing Cash outflow

14. Payment of an account payable Operating Cash outflow

15. Sale of equipment for cash Investing Cash inflow

Explanation:

Statement of cash flows shows the cash generated and expended by an entity during an accounting period. The statement divides the inflow and outflow of cash into three sections: operating, investing and financing activities.

Operating activities contain activities relating to cash inflow and outflow of entity`s primary operation during a given year. Example of this inflow and outflow are cash receipt from customers and cash payment to vendors.

Investing activities contain activities relating to entity`s investment in assets. Example includes cash received from disposal of an asset.

Financing activities contain activities relating to entity`s relationship with provider of capital like equity owner and debt holder.

Cash inflow refers incoming of cash into the business. Example includes cash received from customers. Cash outflow refers to outgoing of cash from the business. Example includes cash paid to vendors.

3 0

3 years ago

Walker Clothing Store has a balance in the Accounts Receivable account of $390k at the beginning of the year and a balance of $4

lesantik [10]

Answer: The average collection period of the receivables in terms of days was 73 days.

Explanation:

Given that,

Accounts Receivable at the beginning of the year = $390,000

Accounts Receivable at the end of the year = $410,000

Net credit sales during the year = $2,000,000

Average collection period of the receivables in terms of days:

Average accounts receivables = $\frac{410000 + 390000}{2}$

= 4,00,000

Net credit sales = $\frac{2000000}{400000}$ = 5

∴ Accounts receivable days = $\frac{365}{5}$

= 73 days

The average collection period of the receivables in terms of days was 73 days.

4 0

3 years ago

Reedy Company reports the following information for 2012:

asambeis [7]

Answer:

Ending WIP= $13,500

Explanation:

<u>First, we need to calculate the factory overhead:</u>

Factory overhead= 25,000*0.75= $18,750

<u>Now, the ending WIP inventory:</u>

cost of goods manufactured= beginning WIP + direct materials + direct labor + allocated manufacturing overhead - Ending WIP

68,250 = 11,000 + 27,000 + 25,000 + 18,750 - Ending WIP

Ending WIP= $13,500

4 0

3 years ago

Years ago in the overnight delivery business, providing package tracking capability gave some firms a competitive advantage. Now

Morgarella [4.7K]

When a company gains a competitive advantage over an action that becomes mandatory in the line of business, such as providing package tracking capability, this is an example of profitability factors becoming productivity factors over time.

<h3 /><h3>What are profitability factors?</h3>

It corresponds to factors that enable a company to be positioned and competitive in the market in which it operates, determined by internal and external agents, such as:

Demand force
Advertsing
Substitute products
Economy of scale
Costs

Therefore, an organization's profitability factors became productivity factors by instituting new forms of work management that generated competitive advantages for the organization.

So, the correct answer is:

D. Profitability factors; productivity factors.

Find out more information about profitability here:

brainly.com/question/16755022

8 0

2 years ago

Many companies recognize three major categories of costs of manufacturing a product. These are direct materials, direct labor, a

abruzzese [7]

Answer:

Explanation:

a) is the overhead cost

b) are direct materials

c) is direct labor cost

d) is the overhead cost

7 0

3 years ago

Demand curves intersect the quantity axis due to​ ________ and intersect the price axis due to​ ________.

Demand curves intersect the quantity axis due to and intersect the price axis due to .