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anzhelika [568]
3 years ago
8

A group of university students toys coconuts from farmers' markets. The students consume the meat of the coconuts for food and u

se the shells to make sculptures. These sculptures are placed in a public park that any student can visit. The park sustains itself through students' donations. Some individuals have no incentive to donate to the park and will instead depend on those who do donate. Which of the following is this is an example of?
The free-rider problem
A negative externally
Efficient allocation of coconuts
Overuse of coconuts
Business
1 answer:
Karo-lina-s [1.5K]3 years ago
7 0

Answer: The free- rider problem

Explanation:

 The free-rider problem is one off the type of economical issue that cause the market failure problem due to the unsystematic distributing of the various types of goods resources and also the services.

This type of problem is basically occur due to the overuse or degradation of the products and the resources.

According to the given question, the free rider problem is one of the example that best illustrating the given scenario. The main cause of the free rider problem is due to the unequal use of the resources and also the public goods without paying for their particular share.  

 Therefore, The free-rider problem is the correct answer.

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Explanation:

The Journal entry is shown below:-

a. Merchandise inventory Dr,       $4,700

          To accounts payable                 $4,700

(Being Purchase of merchandise is recorded)

b. Accounts payable Dr,                $1,600

           To Merchandise inventory       $1,600

(Being Return of merchandise is recorded)

c.  Accounts payable Dr,                $3,100

             To Merchandise inventory        $31

                                                           ($3,100 × 1%)

              To cash account                        $3,069

(Being the amount paid)

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3 years ago
Gwen deposits $5,000 with Home Bank on July 1, 2018. Home Bank promises to repay Gwen the $5,000 plus 1 percent annual interest
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Answer:

certificate of deposit

Explanation:

A certificate of deposit (CD) is a financial instrument sold by banks

The bank gives this CD to Gwen. She cannot withdraw the cash until July 1, 2023

The certificate of deposit are risk-free investment. The difference with savings account is that a certificate of deposit has a fixed term and fixed interest rate and it is create with the idea of holding the title until maturity. Not doing so, may inccur in penalties so a portion of the interest will be negate.

As this is a financial instrument, the bank issued a title to the investor to recognize his investment.

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. yes, because he didnt pay within the grace period 
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