Answer:
1. False
2. Shortage; Larger
Explanation:
1. A binding price ceiling is one that prevents the market from reaching its equilibrium. In this market, the equilibrium price is $25 therefore anything below $25 will be binding. A price ceiling below $25 per box is a binding ceiling.
2<em>. Assuming that the long-run demand for oranges is the same as the short-run demand, you would expect a binding price ceiling to result in a </em><em><u>shortage</u></em><em> that is </em><em><u>larger</u></em><em> in the long run than in the short run.</em>
In the long run, supply is more sensitive because farmers can decide to plant oranges on their land, to plant something else, or to sell their land altogether.
This means that a price ceiling in the long run will be less attractive to farmers so they might leave the market. If they do this then the shortage will be more as there are now less supplies in the market.
Answer:
The adjusting entry is:
Debit Depreciation Expense - Equipment $1,800
Credit Accumulated Depreciation - Equipment $1,800
To record depreciation expense.
Explanation:
The adjusting journal entry records the depreciation expense for the year and adds the expense to the accumulated depreciation account. The accumulated depreciation account is a contra account to the Equipment account. The purpose that this contra account serves is to keep the Equipment account at its cost value while the gradual write-off of its value is reflected in an opposite account.
Answer:
The correct answer is Provide job-related information support to users at all levels of a company
Explanation:
Business collaboration systems (ERP) are one of the most used types of information systems. They help the managers of a company to control the flow of information in their organizations.
It is one of the types of information systems that are not specific to a specific level in the organization, but provide important support for a wide range of users. These information systems are designed to support office tasks such as multimedia systems, emails, videoconferences and file transfers.
Answer:
ROI 15%
Residual Income $1,350,000
Explanation:
Residual Income is the difference between net income of the company and the required rate of return. It determines the excess of income generate than the minimum return. The formula to calculate the residual income is,
RI = Net operating Income - (Required rate of return * Cost of operating assets)
RI = $4,500,000 - (21% * $15,000,000 )
RI = $1,350,000
ROI = 
Capital Employed = Sales - Average operating assets
ROI = 15%
Residual income is positive when the department has meet the minimum return requirement. Minimum return is the return that is required by the company stakeholders. The particular projects and activities are selected on the basis of residual income.
Exponential could be a good strategy
