<span>Given:
check written year 1 year 2 year 3
yes 225 175 125
no 275 325 375
</span><span>The expected number of shoppers who pay by check in year 1 if there is no difference in the proportion of shoppers who pay by check among the three years is 175.
Each year has 500 customers, and its proportion of customers paying in check gradually decreased from 45% to 25%. If there is no difference in proportion, I am assuming that the data is averaged. Thus, (225+175+125) / 3 = 525 / 3 = 175.</span>
Answer:
The use of the allowance method of accounting for bad debts.
Explanation:
We use the allowance method to match the expected ad debt with the sales or account receivables which generates.
As sales of a givne month can be declared uncollectible after several month using a direct method we are putting the burden of the uncollectible in another accounting period while leaving the one which did that sale untouched.
The allowance makesthe expense in the same time period thus, it follows the recognition principle.
Answer:
b. Sales promotion
Explanation:
Sale promotions are activities that a company engages in to persuade a potential customer to buy its products. Sale promotions are short-term tactics to boost sales. Although a business may get long-term customers through sales promotions, there are designed to entice new customers in the short-run.
Sales promotions encourage customers to switch brands or try out a different product. They are ideal when introducing new products in the market. Howerver, they are costly, and sometimes have a short term effect on sales.
This case uses a free sample technique ( free dog biscuits) as the promotion method. Other ways of conducting sales promotions include discount vouchers, free money coupons, and competitions.
Answer:
D. equal to MR, MC, and minimum ATC.
Explanation:
Long run equilibrium is the equilibrium of a perfect competitive market occurs, when there is the Marginal Revenue is equal to the marginal cost and average total cost of the company product. It is the sum of all the market short run supply curve's series. So the correct option is D. equal to MR, MC, and minimum ATC.
