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koban [17]
3 years ago
14

An accountant increases the price he charges for his services by 2 percent. In​ response, the demand for his services decreases

by 16 percent. Will the​ accountant's revenue from his accounting services​ increase, decrease, or remain​ unchanged?
Business
1 answer:
Rashid [163]3 years ago
4 0

Answer:

Decrease

Explanation:

The reason is that the price and demand are inversely proportional so if the price has been increased then the demand of the product will be decreased. Take the example of Bugatti Chiron, the price of the car is $19 million and total number of people that own is in tens this is because the buyers are less in quantity due to higher prices of the product. Same is the case here, if the accountant is going to charge high then his revenue will drop due to lower people are willing to buy its services.

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On January 1, 2021, the Excel Delivery Company purchased a delivery van for $153,000. At the end of its five-year service life,
I am Lyosha [343]

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

On January 1, 2021, the Excel Delivery Company purchased a delivery van for $153,000. At the end of its five-year service life, it is estimated that the van will be worth $15,600.

Annual depreciation= 2*[(book value)/estimated life (years)]

Year 1= (153,000/5)*2= 61,200

Year 2= [(153,000 - 61,200)/5]*2= 36,720

Year 3= (55,080/5)*2= 22,032

Year 4= 13,219

Year 5= 7,932

Total= $141,103

5 0
3 years ago
Charles Berkle is the manager of Nogain Manufacturing and is interested in doing a cost of quality analysis. The following cost
Georgia [21]

Explanation:

a. The classification is shown below:

Prevention cost: This cost incurred so that the faults, or defects could be minimized as compare to before. It includes the machine maintenance expense i.e $3,000

Appraisal cost: This cost incurred specially to meet the quality of the customer expectations. It is a quality control cost. It includes the inspection cost of $15,000

Internal failure: This cost is occurred before delivery the product from the factory. It includes  Scrap and rework of $8,600 and Machine breakdown cost of $4,000  

External failure: This cost is occurred after delivery the product. It includes the warranty expense of $21,000, product return due to defects of $6,000 and Estimated lost sales due to poor quality of $5,000

b. Now the percentage is

= (Prevention and appraisal cost) ÷ (Sales revenue) × 100

= ($3,000 + $15,000) ÷ ($250,000) × 100

= 7.2%

c. The percentage is

= (Internal and external failures) ÷ (Sales revenue) × 100

= ($8,600 + $4,000 + $21,000 + $6,000 + $5,000) ÷ ($250,000) × 100

= 17.84%

Below is the attachment for cost of quality report

7 0
3 years ago
The majority of new businesses formed in the coming years will be _______ or partnerships with two or three owners.
Eduardwww [97]

the answer is corporations

5 0
3 years ago
Overdraft protection means the bank will protect your funds from excessive taxation.
Varvara68 [4.7K]
The correct answer is (a.) True. Overdraft protection means the bank will protect your funds from excessive taxation. This protection is most likely to be offered by small business since it helps them to gain additional income fees.
5 0
3 years ago
Read 2 more answers
Summerdahl Resort’s common stock is currently trading at $36 a share. The stock is expect- ed to pay a dividend of $3.00 a share
Zigmanuir [339]

Answer:

<u>Cost of common equity is 0.1333 or 13.3%</u>

Explanation:

P= D1/(r-g)

D1=3.00

g= 0.05

P=36

Here we have ,

3.00/(r-0.05) = 36

r-0.05= 3/36= 0.08333

r= 0.1333= 13.33%

6 0
3 years ago
Read 2 more answers
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