Answer:
c
Explanation:
depend on the scenario.. all costs that are directly related to that decision all relevant cost.
It is not encouraged to rely on estimates of the intercept when a person is making analysis because intercept is the mean of variable Y when all predictors have become zero.
<h3>What is economic analysis?</h3>
This is the term that is used to refer to the analysis that is done with the given data that has been established in a statistical test. The economic analysis helps to make the predictions that would be used to bring about new policies in government.
Economic analysis is not done with the the intercept because it would require all the other predictor variables to have zero value hence their impact cannot be seen.
Read more on economic analysis here: brainly.com/question/14300080
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Answer: Nether Australia or Europe
Explanation:
Purchasing power parity is a notion that states that prices of the same or similar goods should have the same price across the world after adjusting for exchange rate differences.
If the price of a tall latte in the U.S. is $4,00, it should be the same price in Europe and Australia after exchange rate adjustments.
$4.00 in Euro is: $4.00 in Australian dollars is:
= 4 * 0.8 = 4 * 1.4
= €3.20 = $5.60
Purchasing power parity does not hold in wither countries because the prices of the lattes are not equal to the $4.00 in the U.S. after adjustments for exchange rates.
Answer:
$229,500
Explanation:
For computing the company’s current income tax expense or benefit, first we have to compute the taxable income which is shown below:
= Pre-tax book income + Increase in bad debt reserve - Excess tax depreciation + Excess tax gain over book gain - Tax-exempt life insurance proceeds
= $10,000,000 + $100,000 - $200,000 + $25,000 - $250,000
= $675,000
We assume the tax rate is 34%
So, the current income tax expense or benefit would be
= $675,000 × 34%
= $229,500
The Excess tax gain over book gain is computed below:
= $75,000 - $50,000
= $25,000
