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3 years ago

A competitive market produces the economically efficient outcome if the following conditions are met, except Multiple Choice

Business

1 answer:

jarptica [38.1K]3 years ago

5 0

Answer:

The correct answer is (a)

Explanation:

In a competitive market, numerous producers compete to provide homogeneous goods to the customers. As many producers produce homogeneous goods which is why they are price takers, and they produce goods as long as it equals the marginal cost. So, in a competitive market, units are produced for which benefits are equal to the cost.

Marginal cost = Marginal revenue

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Use the information in the adjusted trial balance presented below to calculate current assets for Jones Company: Account Title D

liberstina [14]

Answer:

the current asset for Jones company is $80,800

Explanation:

The computation of the current asset is shown below

Current Assets = Cash + Accounts Receivable+ Prepaid Insurance

= $47,000 + $24,000 + $9,800

= $80,800

hence, the current asset for Jones company is $80,800

We simply applied the above formula so that the correct value could come

And, the same is to be considered

5 0

3 years ago

Susan deposits $1,200 in an account that earns 8% simple interest annually.

zheka24 [161]

Fourteen Months. So, a year and two months.
This was a challenging question if you don't have a calculator (which I didn't use)

6 0

3 years ago

Government spending will not crowd out private spending if:

yuradex [85]

There is an inflationary gap

I hope that helped

4 0

4 years ago

Financial Planning Partners Inc., employs 12 full-time CPAs and 10 paraprofessionals. Direct and indirect costs are applied on a

Nikolay [14]

Answer:

At the year end the accounting records will show that the indirect cost are over allocated.

Explanation:

First of all let us see what information has been given to us in the question,

Budget Actual

INDIRECT COST $3,00,000 $309,000

LABOR HOUR 50,000 dlh 56,000 dlh

For us the salary of both attorney and paraprofessional is not of use to calculate the indirect cost for the year end.

So first step here would be to calculate the cost per hour of each professional, which can be taken out by using the formula

\frac{BUDGETED INDIRECT COST}{TOTAL BUDGETED WORKING LABOR HOUR}

\frac{\$3,00,000}{50,000} = \$6

so the cost per hour for each professional is $6,

next step is to multiply the cost per hour by the actual labor working hours ,

$6 x 56,000 = $3,36,00

but we the budget given in the question is $3,00,000 and the indirect cost that we have calculated is $3,36,000, so from this observation we can say that the indirect cost at the end of the accounting records would be over allocated.

4 0

3 years ago

The 2008 balance sheet of Maria's Tennis Shop, Inc., showed $2.9 million in long-term debt, $770,000 in the common stock account

Naddika [18.5K]

Answer:

OCF = -$1,670,000

Explanation:

To calculate this, the following are first calculated:

Cash flow to creditors = Interest expense - (Long-term debt in 2009 - Long-term debt in 2008) = $230,000 – (3,500,000 – 2,900,000) = -$370,000

Cash flow to stockholders = Dividends paid – ((Common stock in 2009 + Additional paid-in surplus in 2009) - (Common stock in 2008 + Additional paid-in surplus in 2008)) = $550,000 – (($985,000 + $8,250,000) – ($770,000 + $6,000,000)) = -$1,915,000

Cash flow from assets = Cash flow to creditors + Cash flow to stockholders = -$370,000 - $1,915,000 = $2,285,000

The the firm's 2009 operating cash flow, or OCF can now be calculated as follows:

Cash flow from assets = OCF - Net working capital investment - Net capital spending

-$2,285,000 = OCF - (-$165,000) - $780,000

-$2,285,000 = OCF + $165,000 - $780,000

OCF = -$2,285,000 - $165,000 + $780,000 = -$1,670,000

3 0

3 years ago