Answer:
C. Compensatory damages and consequential damages.
Explanation:
The reason is that the company can only sue Santa for its compensatory damage of paying 15% extra and consequential damages which are only claimable if the party to contract knows that not performing the contract will contribute to consequential damages which are here losses of sales which amount to 25% of sales.
Answer:
See explanation section.
Explanation:
December 31, 2017
Bad debt expense Debit = $17,600
Allowance for Doubtful Account Credit = $17,600
To record the bad debt expense
Calculation: Bad debt expense = $250,000 × 8% = $20,000. However, we cannot take this amount because Allowance for Doubtful Account is a positive contra entry, which has a $2,400 credit balance. Therefore, we have to deduct $2,400 from $20,000 to get the actual bad debt expense.
Typically, in the context of developing effective business messages, the priorities of the targeted audience TEND TO SHIFT MORE OFTEN THAN VALUES.
Priorities change depending on the circumstances the target audience is currently in.
Answer:
d. 12.5%.
Explanation:
Price elasticity of supply measures the degree of responsiveness of quantity supplied to changes in price.
If the price elascitiy of supply is 0.4, it indicates that supply is inelastic. This means that a change in price has little effect on quantity supplied.
Price elasticity of supply = percentage change in quantity supplied / percentage change in price
0.4 = 5% / percentage change in price
percentage change in price = 12.5%
I hope my answer helps you.
Answer:
The $18 per unit is a:
sunk cost.
Explanation:
Chang's cost incurred per unit of $18 is a sunk cost. A sunk cost is a cost that has already been incurred. It does not make a difference in a future decision. This implies the Chang may decide to correct the defect or otherwise. What decision it takes should be based on the cost and revenue that results from the next decision, and not the past decision.
