When you make a decision means that you take an action course and leave othe free. You take advantage of some oportunities but "lose" other oportunities. Those opportunities that you let go are the opportunity cost in which you incurr any time that you choose. Your economical analysis (and probably in all life dimensions) must include the opportunity costs to make a decision that leaves you better than you would be if you had taken a different decision, this is your expected benefit should overcome the opportunity cost.
Based on the fact that the Euro will appreciate, the best thing for Johnson Co. to do is to e.purchase euros forward.
<h3>What should Johnson Co. do?</h3>
The fact that the Euro is going to appreciate in value means that Johnson Co. will have to pay more in future.
They should therefore lock in a favorable Euro rate now by purchasing Euros at a forward rate.
Find out more on purchasing forward at brainly.com/question/14090802.
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The correct answer is drawing account
The trial balance would disagree. It seems that the cash should be credited instead as the situation seems to me that the cash is being expended to pay for the equipment, and the remaining 3500 is liabilities. Therefore, the error should be corrected.
Answer:
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