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ser-zykov [4K]
3 years ago
12

The practice of setting the selling price below cost with the intent to drive competitors out of business is: 28) A) target pric

ing. B) predatory pricing. C) peak-load pricing. D) target costing.
Business
1 answer:
Dmitrij [34]3 years ago
5 0

Answer:

The correct answer is letter "B": predatory pricing.

Explanation:

Predatory pricing refers to companies setting prices below the average level in an attempt to wipe out competition. In the beginning, consumers may benefit from the low prices but after the competition has disappeared, the predatory company raises the prices, but, in this scenario, consumers do not have substitutes from where to choose. The predatory company became a monopoly.

Predatory pricing practices are forbidden by the Federal Trade Commission (FTC) in the U.S.

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Tony and Suzie are ready to expand Great Adventures even further in 2022. Tony believes that many groups in the community (for e
Lera25 [3.4K]

If on Jan. 24 Great Adventures purchases outdoor gear such as ropes, helmets, harnesses, compasses, and other miscellaneous equipment for $6,000 cash. The adjusting entry for uncollectible accounts and the accrued interest revenue are:

a. The adjusting entry for uncollectible accounts are:

Jan. 24, 2022

Debit Equipment $6,000  

Credit Cash  $ 6,000

(To record purchase of equipment and other materials)  

Feb. 25

Debit Account Receivable $4,000  

Credit Service Revenue        $4,000

(To record service revenue on account)

Feb. 28

Debit Cash $3,840

($4,000-$160)

Debit  Cash Discount $160

(4%×$4,000)

Credit Account Receivable  $4,000

(To record cash receipt and discount)

 

Mar. 19

Debit Account Receivable $5,000  

Credit Service Revenue  $5,000

(To record service provided on account)

Mar. 27

Debit Cash $4,800

($5,000-$200)

Debit Cash Discount $200

(4%×$5,000)

Credit Account Receivable  $5,000

(To record cash receipt and discount allowed)

April 7

Debit Cash $8,500  

Credit Unearned Service Revenue  $8,500

(To record cash receipt for providing service in future)

 

April 14

Debit  Unearned Service Revenue $8,500  

Credit Service Revenue  $8,500

(To record unearned revenue being earned)

 

April 30

Debit Account Receivable $7,000  

Credit Service Revenue  $7,000

(To record service provided on account)  

May 31

Debit Note Receivable $7,000  

Credit Account Receivable $7,000

(To record a 3 months, 7% Note Receivable)

 

Jun. 15

Debit Account Receivable $29,000  

Credit Service Revenue $29,000

(To record service provided on account)  

b. The journal entries to record the accrued interest revenue are:  

Jun. 30

Debit Interest Receivable $40.83  

Interest Revenue  $40.83

($7,000×7%× 1/12)

(To record accrued interest for 1 month)  

Learn more here:

brainly.com/question/16940377

5 0
2 years ago
Growth of specialization in the kinds of jobs people hold __________. has slowed dramatically since the 1970s, along with the de
artcher [175]

Answer:

has continued right up to the present

Explanation:

Specialization refers to workers focusing on a single task and perfecting that task alone instead of doing various tasks at the same time. Growth of specialization in the kinds of jobs people hold has continued right up to the present. One of the reasons for this is that companies prefer individuals that are highly skilled on the specific task that they need done and that will be able to do it in the most efficient way possible.

3 0
3 years ago
How does the federal government spend its income?
Ugo [173]
All U.S gov. spending can be divided into 3 categories. 1) Mandatory spending. 2) Discretionary spending & 3) Interest on federal debt. Hope this helps you! :)
8 0
3 years ago
Selling and administrative expenses consist of $400,000 in annual fixed expenses and $2 per unit in variable selling and adminis
IgorLugansk [536]

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

Selling and administrative expenses consist of $400,000 in annual fixed expenses and $2 per unit in variable selling and administrative expenses. The company's product cost of $30 per unit is computed as follows. Direct materials $ 4 per unit Direct labor $ 16 per unit Variable overhead $ 4 per unit Fixed overhead ($600,000 / 100,000 units) $ 6 per unit.

We don't have the information of selling price and units sold.

Income statement:

Sales

Variable costs:

Direct material

Direct labor

Variable manufacturing overhead

Total variable cost (-)

Contribution margin

Fixed costs (-)

Net operating income

3 0
3 years ago
To complete your degree and then go through graduate school, you will need $95,000 at end of each of the next 8 years. Your Aunt
VARVARA [1.3K]

Answer:

PMT = $95,000

Rate = 4%

Life = 8 years

a. Amount to be deposited today

= PV(Rate, N, -PMT)

= PV(4%, 8, -95,000)

= $639,610.76

b. Amount in account after 3rd withdrawal

= PV(Rate, N, -PMT)

= PV(4%, 5, -95,000)

= $422,913.12

c. Balance in account after 8th withdrawal

= = PV(Rate, N, -PMT)

= PV(4%, 0, -95,000)

= $0

d. How much would you have at the end of 8 years?

= FV(4%, 8, -639610.76)

= $875,351.49

5 0
3 years ago
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