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Sliva [168]
3 years ago
7

The original capacity of the equipment is 10,000 units per year. After paying $2,500 to replace an important part, the company i

ncreases the capacity of equipment to 12,000 units per year. How does the company deal with the $2,500 expenditures
Business
1 answer:
Sauron [17]3 years ago
7 0

Answer:

The firm must increase the value of the equipment account by $2,500.

Explanation:

In this case, the repair expense must capitalize the asset account and not be considered an expense, instead it should be considered an additional investment. The $2,500 should be depreciated along with the normal depreciation of the equipment since it increased the productive capacity significantly.

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Priscella pursued a hobby of making bedspreads in her spare time. Her AGI before considering the hobby is $40,000. During 2019 s
Nastasia [14]

Answer:

With respect to Adjusted Gross Income we can not deduct anything. She will claim $10,000 in itemized deductions, subject to 2% deductions.

Explanation:

8 0
3 years ago
Pete the Pizza Man produced $87,000 worth of pizzas in the past year. He paid $39,000 to employees, paid $11,000 for vegetables
Ne4ueva [31]

Answer:

$133,000

Explanation:

We can find Pete's total contribution to GDP by adding up the following numbers:

$87,000 worth of pizzas - because finished goods are part of GDP

$39,000 paid to employees - because wages are part of GDP

$5,000 paid in taxes - taxes are part of GDP because they are government revenue

$2,000 of inventories at the end of year - end-of-year inventories are included in GDP

Therefore: $87,000 + $39,000 + $5,000 + $2,000 = $133,000

the $11,000 worth of ingredients are not included in GDP because GDP only accounts for finished goods and services.

5 0
3 years ago
Consider the following information: Rate of Return If State Occurs State of Probability of Economy State of Economy Stock A Stoc
kicyunya [14]

Answer:

a) The expected return of equally weighed portfolio is 14.23%

b) The expected return of equally weighed portfolio is 16.45%, hence Variance = 1.596457%

Explanation:

See workings of a and b attached in a form of spreadsheet.

7 0
3 years ago
They are themselves always, and without any exception, the greatest spendthrifts in the society. Let them look well after their
mojhsa [17]

Answer: to protect the economic freedom of all of its citizens

Explanation:

The above quote by Adam Smith was him criticizing the common practice in those days of nations trying to control the spending habits of their citizens by passing restrictive laws and limiting the importation and production of certain goods and services.

It would therefore support the U.S. policy of protecting the economic freedom of her citizens such that they may trade whatever it is that they want - so long as it is legal - without restrictions by the government.

3 0
3 years ago
Challenges that has made some of them go into liquidation with takeovers all over the country. Examine the processes for the acq
xxMikexx [17]

Answer:

The given statement is true, that can be defined as follows:

Explanation:

They continue always to have a supervisor unless the financial are all, which collapses to regulation is criticized in constructing practices and regulations for the divestiture lock, so if the international banks repatriate throughout a nation, which results in monetary uncertainty in the world, they take the required measures to cope with both the problems faced by the moon inside the economic system.

The financial and monetary system of a nation is controlled and corrective actions are taken to resolve moon-facing financial problems through the liquidation of banks. Its national economy is collapsing with just a regulator, but any money problems emerge in a difficult area unit to control.

5 0
3 years ago
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