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3 years ago

In reviewing a bank's balance sheet, the liabilities are greater than the assets. What is the best explanation that could

Business

2 answers:

Alex777 [14]3 years ago

6 0

Answer:

cash

Explanation:

The top line, cash, is the single most important item on the balance sheet. Cash is the fuel of a business. If you run out of cash, you are in big trouble unless there is a "filling station" nearby that is willing to fund your business

Nat2105 [25]3 years ago

5 0

Yes your answer should be Cash i agree

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Assume lawyer services are priced by the hour and elasticity of demand for a particular lawyer is 0.6. If she were to increase h

Dmitry [639]

Answer:

C. Fall, 30%, Rise

Explanation:

Price Elasticity of Demand is responsive change in demand, due to change in price.

P.Ed = % change in demand / % change in price.

Given : Price rise by 50% , P.Ed = 0.6

So, % change in demand = P.ed x % change in price

% change in demand = 0.6 (50)

% change in demand = 30%

Law of demand states negative relationship between price & demand, so P.ed is negative. Price rise 50% reduces demand by 30%.

P.Ed can be : Elastic ( > 1 ), or Inelastic ( < 1 ). If P.Ed is Elastic, price & total revenue are inversely related. If P.Ed is Inelastic, price & total revenue are directly related.

So, Given PEd = 0.6 (i.e < 1 ) : Inelastic Demand implies price & total revenue are directly related related to each other. So, price fall lead to TR fall & price rise lead to TR rise.

6 0

3 years ago

General Snacks is a typical firm in a market characterized by the model of monopolistic competition. Initially, the market is in

Harrizon [31]

Answer:

Firms will leave the market in the long run.

Explanation:

Firms will leave the market in the long run.

Generally, the new firms enters in the market because the incumbent firms makes super normal profit. So in the long run, the continuous entry of firms will make the profit zero. Thus, when there is zero profit in the long run then the firms will start leaving the market and the demand for remaining firms will start rising because when firms start leaving the market then supply falls.

7 0

3 years ago

Martinez Co. borrowed $75,600 on March 1 of the current year by signing a 60-day, 9%, interest-bearing note. Assuming a 360-day

guajiro [1.7K]

Answer:

Note payable 75,600 debit

Interest expense 1,134 debit

Cash 76,734 credit

Explanation:

NOTE: it semes you paste possible answer for a differnt questions.However it is possible to determiante a correct answer:

interest will be calculate as follows:

principal x rate x time = interest

we should match rate and time in the same metric, in this case portion of a 360 days years:

75,600 x 0.09 x 60/360 =<em> 1.134‬</em>

As we take the debt, this interst are expense.

To record this, we will write-off the note principal, post the interest expense and credit the total amount of cash disbursements to pay up the debt.

Note payable 75,600 debit

Interest expense 1,134 debit

Cash 76,734 credit

4 0

3 years ago

CM Company manufactures a component used in the production of one of its main products. The following cost information is availa

denpristay [2]

Answer:

NPV = 661468 – 728000 = -66532

Explanation:

Direct Material 410

Direct Labour 100

Variable manufacturing O/H 90

Variable cost to manufacture 1 unit 600

Loss on purchase component from outside supplier

(630 – 600) * 3000 units 90000

(-) Contribution from released facility 10000

Operating Income would Decrease by 80000

Present Value of Future cash flow from Proposal X :-

PVAF for 5 years at 10% = 3.791

PVIF for 5th year at 10% = 0.621

PV of annual cash inflow (164000 * 3.791) 621724

PV of Residual value (64000 * 0.621) 39744

Present Value of Future cash flow 661468

NPV = 661468 – 728000 = -66532

8 0

4 years ago

Why does price discrimination improve the efficiency of the market compared to monopoly or monopolistic competition?

svetoff [14.1K]

Why does price discrimination improve the efficiency of the market compared to monopoly or monopolistic competition? P<span>erfect price discrimination allows us to be at a point where MC = D. Monopolistic competition equals demand for the product in the equation above. Because price discrimination relates to the price of an item changing based on the demand for it, it is ideal for demand to align with the market competition.
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6 0

3 years ago