Answer:
Required a. Record the general journal entries for the preceding transactions:
cash 12,000 debit
common stock 12,000 credit
--to record issuance of stocks --
inventory 5,600 debit
cash 5,600 credit
-- to record purhcase of inventory--
cash 5,712 debit
sales revenue 5,712 credit
COGS 3,360 debit
Invenotry 3,360 credit
--to record sale and subsequent cost--
advertizing expense 650 debit
cash 650 credit
Explanation:
We will post baed on the accounting principles:
debit = creidt
1)we debit cash and credit how we obtain the cash
2) we debit inventory and credit cash which is how we acquire the inventory (if it was o naccount it will be account payable)
3) we recognize the gain and the cash which was obtain for it.
also we recognize the expenses, which are the cost of the goods used so decrease inventory
4) we recognize the expense and decrease the cash used to pay for it.
<span>This is, in fact, true. Smith believed that private individuals who were left free to seek out their own interests in a free market would eventually be led to further the public welfare by an invisible hand, this was his defense of free markets on the grounds of utilitarianism.</span>
The term by which individuals and businesses choose between the different use of available resources is called <u>allocating </u>and it is due to the concept of <u>scarcity</u>.
<h3>
What is Scarcity?</h3>
According to economics, Scarcity signifies that the demand for a product or service exceeds the supply of that product or service.
It is the underlying truth of existence that there is only a finite number of human and nonhuman resources for each economic product.
Therefore, Individuals and business corporations must choose between several uses for the available resources they have from the idea of <u>allocating </u>resources and due to the concept of <u>scarcity.</u>
<u></u>
Learn more about scarcity here:
brainly.com/question/1088553
Answer:
<u></u>
<em>The margin of safety for April,</em> expressed as a difference and as percent:
<u></u>
<u></u>
Explanation:
The <em>margin of safety</em> is the how much the sales exceed the breakeven volume of sales.
<u>1. Calculate the breakeven volume:</u>
Equation:
- Variable costs + fixed costs = Revenue
↓ ↓ ↓
21x + 63,000 = 63x
Solve for x:
<u>2. Margin of safety:</u>
- Margin of safety = Actual sales - Breakeven volume
- Margin of safety = 3,100 units - 1,500 untis = 1,600 units
You can report the margin of safety as the difference, 1,600 units, or as a percent of the sales:
- Percent = (1,600 units / 3,100 units) × 100 = 51.6%
<span>THE EFFICIENT ALLOCATION OF LIMITED RESOURCES MOSTLY BEING FACTORS OF PRODUCTION TO COMPLETE A TASK. SO ALLOCATION EFFICIENCY PLAYS A VITAL ROLE TO ACHIEVE AND BY EQUALIZING CONSUMER SURPLUS AND PRODUCER SURPLUS . IT IS TRUE THAT ALLOCATION EFFICIENCY IS ACHIEVED BY EQUALIZING CONSUMER SURPLUS AND PRODUCER SURPLUS.</span>