Answer:
Experience an inward shift of its production possiblity curve.
Explanation:
Production possiblity curve is a graphical representation of the maximum number of products that a company can produce, if it produce only two product using all the resources efficiently. The maximum production possiblity of one product is shown on one side graph and another product on other side to compare which product can be produced to reduce cost and wastage while maximizing the profit. This also help the management to know the effecient use of resources or factor of production; Land, labour, capital and entrepreneurship. Therefore, lack of resources to Cuba have lead it´s economy to decline.
Answer:
Instructions are listed below
Explanation:
Giving the following information:
For each of the following, indicate the possible effects on demand, supply, or both as well as equilibrium price and quantity of chocolate ice cream.
a. A severe drought in the Midwest causes dairy farmers to reduce the number of milk-producing cattle in their herds by a third. These dairy farmers supply cream that is used to manufacture chocolate ice cream.
Demand: decreases (because of the higher price)
Supply: restrains.
Equilibrium price: rises
Equilibrium quantity: decreases
b. A new report by the American Medical Association reveals that chocolate does, in fact, have significant health benefits.
Demand: increases
Supply: increases
Equilibrium price: rise
Equilibrium quantity: increases
c. The discovery of cheaper synthetic vanilla flavoring lowers the price of vanilla ice cream.
Demand: decreases
Supply: decreases
Equilibrium price: decrease
Equilibrium quantity: decrease
d. New technology for mixing and freezing ice cream lowers manufacturers' costs of producing chocolate ice cream.
Demand: remains
Supply: increase
Equilibrium price:
Equilibrium quantity:
Answer:
The Sammy and Monica’s medical expense deduction for regular income tax purposes is $17,750.
Explanation:
For the purpose of regular income tax, the deduction pertaining to medical expenses are available up to the extent it exceeds 10% of AGI.
Deduction available = excess expenses incurred - 7.5% of AGI
= ($16,000 + 4,000 + 2,500
+5,000) - 7.5%*130000
= 27500 - 9.750
= $17,750
Therefore, The Sammy and Monica’s medical expense deduction for regular income tax purposes is $17,750.
Answer:
At year-end, factory overhead is $21,000
Explanation:
Predetermined overhead rate = (Estimated overhead costs/Estimated direct labor costs)
Predetermined overhead rate = ($404000 / $2020000) = 20%*Direct labor costs
Hence, Applied overhead costs= (20% * $1,810,000)
Applied overhead costs=$362000.
Hence balance in factory overhead account at year end = $383,000 - $362,000
=$21,000.
Answer and Explanation:
The preparation of the cash flow from the operating activities is presented below:
Marion Company
Cash flow statement
Cash flow from operating activities
Net income $170,000
Adjustment made
Add: Depreciation expenses $50,000
less: Increase in account receivable -$8,000 ($40,000 - $32,000)
Add: Decrease in inventory $8,000 ($50,000 - $58,000)
Less: Decrease in account payable -$7,000 ($11,000 - $18,000)
Add: Increase in salaries payable $4,000 ($10,000 - $6,000)
Net cash provided by operating activities $217,000
The cash inflow represents in a positive sign and the cash outflow represents in a negative sign
