Answer:
Promotional allowance
Explanation:
Promotional allowance is a discount on aproduct or any compensation given by suppliers to trade partners in order to carry out more promotions of their products.
Seasonal discounts are usually given on seasonal goods to encourage buyers to purchase the product in off peak periods.
Cash discount is usually given for prompt payment.
Rebate is when a part of an amount paid is returned to a customer.
I hope my answer helps you.
Answer:
Leads the economy to the wrong mix of output
Explanation:
Market failure is the when there is an inefficient distribution of goods and services in the free market.
One of the types of market failure is externality
Externality is when the production or consumption activities of economic agents have effects on people not involved in the economic activity. Externality can either be positive or negative
A good has positive externality if the benefits to third parties not involved in production is greater than the cost. an example of an activity that generates positive externality is research and development. Due to the high cost of R & D, they are usually under-produced. Government can encourage the production of activities that generate positive externality by granting subsidies.
A good has negative externality if the costs to third parties not involved in production is greater than the benefits. an example of an activity that generates negative externality is pollution. Pollution can be generated at little or no cost, so they are usually overproduced. Government can discourage the production of activities that generate negative externality by taxation
Answer:
c. initially decreases the firm's taxes
Explanation:
Accelerated depreciation provides for a higher rate of capital allowance on the assets that is New and Unused and brought in the business for use in manufacturing for the first time. This allowance then lowers for the other years. The purpose of this is to encourage investment in plant and equipment as it initially decreases the firm's taxes.
Answer:
2nd January
Dr Machinery $178,000
Cr Cash $178,000
( to record the purchase of used machine)
3rd January
Dr Machinery $4,000
Cr Cash $4,000
(to capitalized the cost of wire electricity and installation to put the purchased machine in a ready-to-use stage).
Explanation:
- According to the information, all the expenses relating to the purchase of used machine are in cash. Thus, Cash is credited at the total amount of $182,000, in which $178,000 is credited in 2nd January to record the purchased price and the other $4,000 (2,840 + 1,160) is credited in 3rd January.
- Under GAAP, the recorded costs of a purchased fixed asset should included all the costs incurred which are necessary to bring the fixed asset to a ready-to-use stage. As wire electricity cost & cost for securing the machine in its position are all necessary for the machine's operation, these costs should be capitalized.
Answer:
No, Kamal's father, Mr.Kishanlal is not justified in his point of view because although it is true that money is needed to start a new business but money is not that much necessary as many other things. To start a new business and make it a success, passion, new idea and determination is much needed. If you are passionate to start something new and provide people value then it will be very easy to become successful. You should have a new idea to start a business. You should provide people with ease with the help of your new idea and new product or service. People will definitely but your products and services if it is something of value. You should have an urge to be determinant. There are many entrepreneurs, who have not much money when they started a business, but with their passion and handwork they became successful i,e, Jeff Bozos, Bill Gates, Steve Jobs etc.
