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notka56 [123]
3 years ago
8

When a firm prepares financial reports by using absorption costing,

Business
1 answer:
Yanka [14]3 years ago
8 0
When a firm prepares financial reports by using absorption costing, <span>profits may decrease with increased sales even if there is no change in selling prices and costs. When you absorb costs that means all of the manufacturing costs are absurd by the units produced. The final cost of the inventory will include direct matters, labor and both variable and fixed overhead to product the units. </span>
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Go to the internet and find a news article published within the last month that discusses changes in demand and supply of partic
Setler79 [48]

Answer: The explanation is provided below

Explanation:

Below article is the summary of the acceleration of inflation in the emerging markets that was published in 2018.

According to the article, inflation in an economy is caused by an adverse supply shock or as a result of the expansionary fiscal policy or the expansionary monetary policy.

In an adverse supply shock, total quantity of basic goods will reduce drastically causing the aggregate demand to rise exponentially and therefore, push prices higher and then gradually lead to inflation.

Also, the continous and eventual implementation of the expansionary fiscal or monetary policy through continous tax cuts or by increasing government spending or reducting interest rates, lead into significant increase in the aggregate demand and as a result, prices rise eventually resulting in hyperinflation in the economy. This will also lead to increase in the real GDP of the economy.

Different tools in the monetary policy framework can be used to control inflation such as government securities,

the cash reserve ratio, interest rates. To reduce recession, government utilize automatic stabilizer in order to boost the economy.

8 0
3 years ago
On hot summer days, electricity-generating capacity is sometimes stretched to the limit. At these times, electric companies may
anygoal [31]

Answer:

b. excludable and rival in consumption

Explanation:

For categorizing the goods as private or public, the two terms we need to understand i.e.  rivalry and excludability

The rivalry refers only one person could consume it no other has the right to consume the same thing

While on the other hand, the excludable arise when you stop someone from using a particular thing

So here in the given case, the option b is most appropriate as it is fit to the scenario

8 0
3 years ago
Requirement 3. The company marketing vice president believes a new sales promotion that costs $ 140 comma 000 would increase sal
gregori [183]

Answer:

Revenue = 240000×49= 11,760,000

Variable manufacturing expense = 240000×20 = 4,800,000

Sales commission expense = 240000×8 =1,920,000

Fixed manufacturing overhead = $2,400,000

Fixed operating expenses = 245,000

Sales promotion = 140000

Profit = 2,255,000

8 0
3 years ago
The purpose of a statement of retained earnings is to: __________.
marusya05 [52]

Answer:

To determine the closing balance of retained earnings

Explanation:

First and foremost, retained earnings are an important part of the shareholders' equity. In a bid to ascertain the correct position of total shareholders' equity at year-end, it is important that a statement of retained earnings reconciling the opening retained with net income and dividends declared during the year is prepared.

The balance at the end of the year is the total accumulated earnings which have not been distributed to shareholders as dividends or which may be used to finance projects that increase shareholders' wealth

4 0
3 years ago
Here and After Corporation plans a new issue of preferred stock. Similar risk stock currently offers an annual return to investo
Musya8 [376]

Answer: d. $133.74

Explanation:

The dividend paid to preferred shareholders is constant and based on the annual rate of return on the stock. If they plan to sell at a price of $743 per share, the dividend will be:

Dividend = Annual rate of return on stock * Price of stock

= 18% * 743

= $133.74

8 0
2 years ago
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