Answer:
FIFO - $22,880
LIFO - $21,120
Explanation:
The FIFO inventory system means first in, first out. It means the initial inventory is the first to be sold. The ending inventory would consist of the last purchased inventory.
Ending inventory = 52 ×$440 = $22,880.
The LIFO inventory system means last in, first out. It means the last purchased inventory are the first to be sold . The ending inventory would consist of the initial inventories.
Ending inventory = (36 units × $400) + [(52-36) × 420] =$14,400 + $6,720 = $21,120
I hope my answer helps you
Answer:
c. $59,000
Explanation:
The cash flow statements shows the effect of the company's activities on cash. These activities are classed into operating, investing and financing activities.
When an asset is sold, the amount received from the sale is an inflow of cash to the company. This inflow is recognized in the investing segment of the cas flow statement.
Hence, the amount that should be reported as a source of cash under cash flows from investing activities is $59,000.
Answer:
- The journal to record the write-off is:
Debit Allowance for doubtful accounts $6,400
Credit Accounts receivable $6,400
- Cash realizable value of the accounts receivable (1) before the write-off is $670,300 (2) after the write-off is $670,300.
Explanation:
- The write-off would impact the allowance for doubtful accounts and the accounts receivable since Bramble Corp. uses the allowance method. See the journals as recorded above.
- The balance in the allowance for doubtful accounts would have reduced by $6,400 upon the write-off, so did the balance in the accounts receivable, so the effect of the write-off evens out. That led to the cash realizable value of $670,300.
Answer:
d) result in overproduction or underproduction of a good.
Explanation:
Market failure occurs when market forces fails to allocate goods and services efficiently.
The government usually intervenes to correct market failure.
Externalities usually lead to market failure.
Positive externality is when the benefits of economic activities to third parties exceeds its cost. Research and development usually yield postive externality.
Goods that yield postive externality are usually underproduced. Government can intervene by giving subsidies and grants which encourages production.
A negative externality is when the cost of economic activities to third parties exceeds the benefit. Pollution is an example of negative externality. Goods that yield negative externality are usually overproduced. Government can intervene by taxing companies producing negative externality. This would increase the cost of production and discourage production.
I hope my answer helps you
Natural monopolies <span>benefit from large economies of scale, in which the costs of goods decrease as output increases.
</span>A natural monopoly<span> is a distinct type of </span>monopoly<span> that may arise when there are extremely high fixed costs of distribution, such as exist when large-scale infrastructure is required to ensure supply.</span>
