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asambeis [7]
3 years ago
12

Which of the following statements is correct?

Business
1 answer:
kherson [118]3 years ago
8 0

Answer:

c. There is an "opportunity cost" associated with using reinvested earnings, hence they are not "free."

Explanation:

When the reinvested earnings are invested that is basically the earnings associated with reinvestment would earn the same like that earned by the investment if not withdrawn and invested.

Let us say for example: Amount invested = $1,000

Return on such investment = $100

Now if such earnings are also reinvested then

Earnings = $110

Now if this $110 is used rather than investing again, then there is the opportunity cost of earning $11 on such reinvestment.

Thus, statement c is correct.

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Smythe Co. makes furniture. The following data are taken from its production plans for the year.
Pepsi [2]

Answer:

ii

Explanation:

Number of pounds remain same whether the expected production id 207,000 or 21,000 units. Direct labor hours vary with expected units of production. So, assignement based on direct labor hours is better for assigning costs to eact product

5 0
3 years ago
When paying your bills, it is most financially beneficial to make larger payments to:___________.
gulaghasi [49]

Answer:

to those outstanding payments which have highest interest rates.

Explanation:

If we pay and settle more outstanding bills now which have high interest rates it will save us from interest which will be charged in future for delayed payment as it will by multiplied by number of days or months for which it has been delayed.

So if we are not paying high interest outstanding bills it will cost us more in future by high interest amount added to the bill amount.

8 0
3 years ago
In December 2019, Todd, a cash basis taxpayer, paid $1,200 fire insurance for the calendar year 2020 on a building he held for r
77julia77 [94]

Answer:

D) Todd should include the $500 in 2020 gross income in accordance with the tax benefit rule.

Explanation:

Since Todd is a cash basis taxpayer, he included the $1,500 insurance premium in his 2019 tax return. Cash basis taxpayer report revenues or expenses when the cash is received or paid, not when the service is provided.

Since he received a $500 refund in 2020, he should include it in his 2020 tax return. As a cash basis taxpayer, any money received is considered income.

5 0
4 years ago
Tina's mother and father pay her car insurance as long as she makes good grades. This is an example of which economic concept? A
skelet666 [1.2K]
<span>Tina's mother and father pay her car insurance as long as she makes good grades. This is an example of which economic concept? Positive incentive. A positive incentive is a value that is given during the performance of a regular behavior. As long as Tina does what she is supposed to her parent's will continue to pay her car insurance. There is a reward for her doing what she </span>should be doing on her own which is motivating her to continue to do it. 
4 0
3 years ago
Read 2 more answers
You were planning to spend Friday working at your part-time job, but a friend asks you to go kayaking.
N76 [4]

The statement that applies are the rental of ant kayak equipment you need the wages that you forgo by going kayaking and the fee for accessing the river in a national park

Explanation:

The true cost for going to a particular place includes all that costs that are included from moving to a place that includes all the wages and the vehicle cost

Here the opportunity costs includes the fee to go to the national park by crossing the river and the amount that is needed to be spent on the equipment and the wages that must be forgo by going to kayaking all these statements best includes the true costs of going to kayaking

7 0
4 years ago
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