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3 years ago

If the money supply is high, interest rates will be

Business

1 answer:

Nutka1998 [239]3 years ago

4 0

A larger supply of money lowers market interest rates. Conversely, a smaller supply of money will raise interest rates

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On December 31, before the closing entries, the following information is available for Jones Company: Service Revenue $10,000 To

madreJ [45]

Answer:

$15,000

Explanation:

Closing retained earnings is the accumulated value of an entity`s profit reserve from its earnings from both current and past accounting periods.Closing retained earnings is calculated by deducting dividend paid from earnings after tax of the current year and adding the balance to opening retained earnings.

= Opening retained earnings + (Earnings after tax - Dividend paid)

Based on the information supplied, the closing retained earnings will be:

Service Revenue 10,000

Total Expenses (6,000)

Operating profit 4,000

Dividend (1,000)

Retained Earnings 3,000

Retained Earnings b/f 12,000

Closing Retained Earnings 15,000

Note: No information in regard of tax, so the operating profit is used as profit after tax.

8 0

3 years ago

Daniel has decided to open his own bakery using locally sourced ingredients and supplies. He provides income and jobs to local s

Svetllana [295]

Answer:

This is an example of Invisible Hand.

Explanation:

The invisible hand concept describes the individual effort in providing benefit to overall society by his untiring efforts. The market force that helps the demand and supply of goods in a free market to reach equilibrium automatically and providing benefits to its own people.

6 0

3 years ago

Division A manufactures an aircraft engine component with unit variable product cost of $38 and market price of $50. Division A

olya-2409 [2.1K]

Answer:

The maximum transfer price would be $50.

Explanation:

The maximum transfer price is nothing but the market price for the product , which is the most simple way to derive a transfer price . Here by selling the components of aircraft engines at market price, there are very good chances of high profits to be earned. So the maximum transfer price should be $50.

7 0

3 years ago

What are the major determinants of price elasticity of demand?

Greeley [361]

Explanation:

The four factors that affect price elasticity of demand are

(1) availability of substitutes

(2) if the good is a luxury or a necessity

(3) the proportion of income spent on the good

(4) how much time has elapsed since the time the price changed.

5 0

2 years ago

Gross billings for merchandise sold by lang company to its customers last year amounted to $11,720,000; sales returns and allowa

Alborosie

Calculation of Net sales last year for Lang Company:

It is given that Gross billings for merchandise sold by Lang Company to its customers last year amounted to $11,720,000; sales returns and allowances were $370,000, sales discounts were $175,000.

Net sales can be calculated using the following formula;

Net Sales = Sales –Sales Returns –Allowances

= $11,720,000-$370,000-$175,000

= $11,175,000

Hence the Net sales last year for Lang Company is $11,175,000

Hence the correct asnwer is c. $11,175,000.

5 0

3 years ago