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nataly862011 [7]
3 years ago
9

Consider a market with a negative externality. The market will tend to ________ the good because the market participants tend to

ignore the ________ of their decision. a. overproduce; external benefit b. underproduce; external benefit c. overproduce; external cost d. underproduce; external cost e. overproduce; internal benefit
Business
1 answer:
ikadub [295]3 years ago
3 0

Answer:

The correct option is C,overproduce, external cost

Explanation:

Externalities are benefits or disadvantages caused to third parties from the production of a product or rendering of a service.

Externalities can result from positive or negative production as well as positive or negative consumption.

Negative externality refers to harm not benefit, which stems from overproduction because the higher the level of production or consumption the higher the negative impact.

A typical example is the harmful substance released into the atmosphere from burning fossil fuels which impacts the life of peoplr in a negative way.The external cost in this instance is the cost medicare required to take of affected persons that is not included in the price of the good sold

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Last year Attic charged $2,334,667 Depreciation on the Income Statement of Andrews. If early this year Attic purchased a new dep
olga nikolaevna [1]

Answer:

Note: The correct option is a. Increase Net Cash from operations.

Explanation:

Note: This question is not complete as the options are omitted. The options are therefore provided to complete the question before answering the question as follows:

a. Increase Net Cash from operations

b. Decrease Net Cash from operations on the Cash Flow Statement

c. No impact on Net Cash from operations

d. Just impact the Balance Sheet

The explanation of the answers is now provided as follows:

Since the assets was purchased early in the year, depreciation will be charged on it in the income statement for the year at the end of the year. Since depreciation is a non-cash item, it will added back to the net income in the indirect Cash Flow Statement method as one of the adjustments to the net income under the Cash from operations. This adding back of the depreciation will therefore lead to an Increase Net Cash from operations.

Therefore, the correct option is a. Increase Net Cash from operations.

6 0
2 years ago
Flexible Budgeting At the beginning of the period, the Fabricating Department budgeted direct labor of $9,280 and equipment depr
andriy [413]

Answer:

$11,000

Explanation:

Fabricating Department budgeted direct labor = $9,280

Depreciation remains constant at any level of production.

Budgeted labor rate = Budgeted direct labor ÷ Hours of production

                                  = $9,280 ÷ 640

                                  = $14.5 per hour

Direct labor cost = completed hours of production × Budgeted labor rate

                            = 600 × $14.5

                            = $8,700

Budget for the Fabricating Department at 600 hours of production:

Budgeted cost = Direct labor cost + Equipment depreciation

                         = $8,700 + $2,300

                         = $11,000

4 0
3 years ago
For the year ended December​ 31, 2019, Davidson Mart had sales of​ $800,000 and cost of goods sold of​ $600,000. Davidson estima
Anit [1.1K]

Answer:

800,000/600,000=1.33

Profit percentage = 1.33-1=0.33=33%

0.02*800,000=16,000 worth of goods returned

Profit= 0.33*16,000=5280

COGS= 16,000-5280=10,720

Adjusting Entry

                                 Debit                  Credit

Goods returned         10,720

Profit                           5,280

Cash                                                    16,000

Explanation:

3 0
2 years ago
Which of the following sections of a business plan contains information about the different departments in the company and what
gogolik [260]

Answer:

A. Organization

Explanation:

The organization and management section outlines the hierarchy of the people involved in the business. It provides the company's organizational structure in a  chart format.  This section detail the management team, internal and any external human resources that the company uses or intends to use. It may list their names and remunerations paid to each of them.

The organization section also defines how the different roles relate to each other when executing the business mandate.

3 0
3 years ago
Katie can mitigate the problem without alerting the new owners or let them know about this new disclosure and possibly delay or
slava [35]

Answer:

Ethical

Explanation:

The ethical dilemma means the uncertainties form that developed due to violation of the moral standard that would be held in our life

It would be considered right when she tells to the client regrading the mice problem but she is discouraged as she know that if she do this than she would mess up with the sales that decrease the salary

So this given situation represent an ethical dilemma

7 0
2 years ago
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