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3 years ago

Suppose electricity generates a negative externality in production. If so, then ____

Business

1 answer:

garik1379 [7]3 years ago

3 0

Answer:

The correct answer is option A.

Explanation:

A negative externality refers to the situation when the cost of production is borne by a third party which is not involved in the production process.

In case there is a negative externality present, the marginal social cost will be greater than the marginal private cost. The competitive price will be lower than the socially optimal price.

Since a third party partially bears the cost, the producer will be able to produce more than the optimal level. There will be a deadweight loss of social welfare.

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In its most recent financial statements, Del-Castillo Inc. reported $65 million of net income and $950 million of retained earni

tatiyna

Answer:

$52,000,000

Explanation:

The computation of the dividend paid to the shareholders during the year is shown below:

As we know that

Ending retained earnings balance = Opening retained earning balance + net profit of the year - dividend paid

$950 million = $937 million + $65 million - dividend paid

$950 million = $1,002 million - dividend paid

So, the dividend paid is

= $1,002 million - $950 million

= $52,000,000

5 0

3 years ago

Minstrel Manufacturing uses a job order costing system. During one month, Minstrel purchased $206,000 of raw materials on credit

neonofarm [45]

Answer:

$14,000 under applied

Explanation:

Given that

Material production = $203,000

Application rate = 150%

The computation of amount of overhead is shown below:-

Overhead = Material production × Application rate

= $203,000 - ($126,000 × 1.5)

= $203,000 - $189,000

= $14,000 under applied

Therefore, for computing the overhead we simply multiply the material production with application rate percentage.

3 0

3 years ago

How does a global economy impact you?

elena-14-01-66 [18.8K]

Answer:

it impact me because the global helps things to make me smart

Explanation:

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7 0

3 years ago

Number the following activities from 1 to 3 in the order corresponding to the typical flow of cost in a CPA firm.

LUCKY_DIMON [66]

Answer:

1. Record the time worked on a client project by professional staff.

The first thing is do is to record the time the client was worked on by a professional staff because CPAs should be charging by the hour.

2. Record the completion of a client project.

The record the completion of a client project so that the project can be considered finished. The total hours worked will be totalized here.

3. Record the application of office overhead.

After the completion of the project the overhead costs are now apportioned and recorded.

6 0

3 years ago

Determine the (a) working capital, (b) current ratio, and (c) quick ratio. Round ratios to one decimal place.The following data

kramer

Answer:

a. The working capital is $625,000

b. The current ratio is 2.82

c. The quick ratio is 2.08

Explanation:

In order to calculate the working capital first we need to calculate the Current Assets and the Current Liablities as follows:

Current Assets = Cash + Accounts receivable + Inventory + Prepaid Expenses + Temporary investments

= 154,000+210,000+240,000+15,000+350,000

=$969,000

Current Liablities = Accounts payble + Accrued liablities + Income tax payable + Notes payable,short term

= 245000+4000+10000+85000

=$344,000

a. Therefore, working capital = Current Assets - Current liabilities

= 969000 - 344000

= $625,000

b. To calculate the current ratio we have to use the following formula:

current ratio = Current Assets / Current liabilities

=969,000 /344,000

= 2.82

c. To calculate the quick ratio we have to use the following formula:

quick ratio = (Cash + Accounts receivable + Temporary investments ) / Current liabilities

= (154,000+210,000+350,000) / 344,000

= 2.08

7 0

3 years ago

Suppose electricity generates a negative externality in production. If​ so, then ____

Suppose electricity generates a negative externality in production. If so, then ____