Answer:
Increase spending and shift aggregate demand to the right in an effort to reach full employment output.
Explanation:
The goal of expansionary fiscal policy with respect to output is to reduce the problem of unemployment. In order to let this work, the government must increase its spending or Decrease the tax rate. This will make the Aggregate Demand Curve to the right which is a proof of increasing real Gross Domestic Product (GDP) as well as gradual reduction of unemployment.
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Answer:
The amount of Uncollectible Account Expense reported on the income statement will be: $ 64,800
Explanation:
Jumpin Corporation
Percent of Sales method
Net credit sales $ 2 100 000,
Un collectible estimated 3%
Un collectibles Accounts = 3% of $ 2 100,000, = $ 63,000
Unadjusted Allowance for Un collectible Accounts $ 1, 800 Dr.
Required Adjustment = $ 64,800
The amount of Un collectible Account Expense reported on the income statement will be: $ 64,800
In the percent of sales method emphasis is laid on the matching principle in the income statement and amount of bad debts expense is subtracted from the accounts receivables.
Answer: c. Debt Service Fund and General Fund
Explanation:
The Sinking fund is a Debt Service Fund as it was created to retire some general obligation bonds. Every transaction that had to do with the retirement of debt as well as contribution to the retirement of debt would go in this account.
The General fund is also needed because this is the main fund of a Government entity. Everything that does not go through special funds is recorded here. This Fund therefore would show that the city made a $550,000 contribution to the sinking fund.