Dumping is the ILLEGAL selling goods in a foreign market at a price that is far below the cost of production
I think you’re referring to the competitive equilibrium price
Answer:
18,500 WIP balance at September 30th
Explanation:
Job A3B
3,500 direct materials
5,000 direct labor
10,000 Overhead (200% of labor = 5000 x 200%)
18,500 WIP balance at September 30th
The cost added during October will be part of October calculation, on September we should work with September values.
Answer:
Lake's operating income is $120000
Explanation:
Operating income is the income generated by the operations of company less its operating cost. Another name that is used for operating income is Earnings before interest and tax (EBIT). The charges or income relating to non operating or financing activities is not included in the operating income and nor is the tax deduction included.
The formula for operating income = Sales - Cost of Sales - operating expenses.
The operating expenses here, are = Advertising + Salaries + Utilities
Thus, operating expenses = 60000 + 55000 + 25000 = $140000
The Operating Income = 440000 - 180000 - 140000 = $120000
Answer:
c. fall in the short run, and fall even more in the long run.
Explanation:
The aggregate demand shifts to the left in recession or contractions, in consequence the level of prices falls. For this analysis we consider the shor-run supply curve with a positive slop.
As we know, the economy in the long run tends to equilibrium, where the the production level is fixed and equal to the potential of production of the economy. The initial reduction of prices incentives the consumption in the long run, stabilizing with the long run quantites in a minor level of prices.
In the attached image you can observe the process described previously.
