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Which of the following is an example of irregular income?
A. A full-time job
B. A part-time job
C. A graduation gift
D. Both b and c
The answer is C
Answer:
The process cost summary is given below.
A-Total Material Cost = $22,500
B-Total Conversion costs = $95,625 (45,625+50,000)
C-Units transferred out = 40,000
D-Ending Inventory = 10,000
E-Equivalent units of material = 45,000
F-Equivalent units of conversion costs = 42,500
G-Equivalent cost per unit of material = $0.5 (A/E)
H-Equivalent cost per unit of conversion costs = $ 2.25 (B/F)
I-Equivalent cost per unit = $2.75 (G+H)
J-Cost of inventory transferred = $ 110,000 (I*C)
K-Cost Of Ending Inventory = $ 8,125 (H*(F-C) + (5000*0.5))
If the money supply increases, then at the old value of money there is an excess supply of money that will result in an increase in spending. The entire amount of money in circulation in an economy at any given time is referred to as the money market.
<h3>What is money market?</h3>
The money market is defined as dealing in debt with a maturity of less than one year. Investors use it to make a modest profit.
While governments and corporations use it to keep their cash flow constant. Long-term debt and equity instruments are sold and bought on the capital market.
Thus, excess supply of money that will result in an increase in spending.
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