Answer: The consumption schedule shows the amounts households intend to consume at various possible levels of aggregate income.
Explanation: Consumption function, in economics, the relationship between consumer spending and the various factors determining it. At the household or family level, these factors may include income, wealth, expectations about the level and riskiness of future income or wealth, interest rates, age, education, and family size.
A consumption schedule is a table of numbers showing the relation between consumption expenditures and income for the household sector. The income measure commonly used is national income or disposable income. Occasionally a measure of aggregate production, such as gross domestic product, is used instead.
Answer:
- Other Comprehensive income = $37,500
- Comprehensive income = $154,500
Explanation:
Other comprehensive income:
= Realized gain on sale of available-for-sale debt securities + Unrealized holding gain arising during the period on available-for-sale debt securities - Reclassification adjustment for gains included in net income
= 11,000 + 34,000 - 7,500
= $37,500
Comprehensive income = Net income + Other comprehensive income
= 117,000 + 37,500
= $154,500
Answer: Supplier selection process
Explanation: The process of selecting a supplier for the procurement of raw material for producing output is referred to as supplier selection process. In this process, the purchases analyzes deals from various alternatives of suppliers and choose the one that maximizes the purchasers profit.
Thus, from the above explanation we can conclude that the given case illustrates the supplier selection process.
Answer: Option C
Explanation:
A. Bonds can be called at discount or premium depending upon the interest rate availing in market and the coupon interest rate.
B. In case of bearer bonds no transactions and ownership records are maintained.
C. Indenture is the contract between issuer and holder specifying the duties and obligations of issuer and the rights of holders.
D. Collateralized bonds are backed by a pool of assets while debentures are unsecured bonds .
E. A bondholder can have the right to determine it only when he have the put option with him otherwise the right to call bond lies with the issuer.
The Cost of Good Sold is $36,000 lower than it should have been and the net income is $36,000 higher than it should have been.
There are two formulas that are important to know for this question. The first is Beg. Inventory + Purchases - Ending Inventory = COGS. The second formula is Sales - Cost of Good Sold = Gross Profit.
If you reported a higher ending inventory it is going to result in a lower value for Cost of Good Sold. In this case the company had too high of an ending inventory by $36,000, which mean that the COGS is $36,000 lower than actual.
When you have a COGS that is lower than it should be you are going to have a gross profit which is overstated. The Income is overstated by $36,000.
