The theory that tax cuts can raise supply is called "supply side economics" or "trickle down economics." These policies were strongly supported by the Reagan Administration in the United States during the 1980s in the hopes of promoting economic growth. The theory functions that the cutting of taxes will help to promote economic growth and development.
Options:
A.) has discharged its obligation to Brian.
B.) is liable for specific performance.
C.) will likely have to pay Brian damages if Brian decides to sue them.
D.) will not likely have to pay Brian damages if Brian decides to sue them.
Answer: C.) will likely have to pay Brian damages if Brian decides to sue them.
Explanation: According to the information presented in the scenario above, Lovely Landscapes are contracted to Brian and Soria and as such responsible for mowing the lawn of Brian's landscape. Lovely landscape's failure to show up or contact Brian and Soria explaining why they won't be able to fulfil their contract terms could be attached to a breach of contract which could involve Lovely Landscapes paying Brian and Soria damages for their no-show if Brian intends to pursue a case or sue Lovely landscapes.
The inventory has to be recorded separately to each item and this will generally result in the lowest inventory amount.
<u>Explanation:</u>
LCM- the Lower of Cost which is also called as Market rule is the theory for valuating the inventory in accounting. According to the LCM rule, in a business the cost of inventory must be recorded at lower cost (it can be either the current market price or the original cost)
Reason for recording at lower cost:
Aggregating the items results in the incorporation of some items at amounts greater than LCM.
Example:
If product X (cost = 2 dollars, market = 1 dollar) and product Y (cost = 3 dollars, market = 4 dollars) are aggregated for LCM, the inventory measurement will be 5 dollars. If the rule is applied separately to both the products, the LCM measurement will be 4 dollars.
Answer:
Incremental income as scrap=$66,500
Incremental income when re-worked= $81,700
Explanation:
Unit contribution from selling as scrap is the equal to the scrap value = 3.50
Unit contribution when reworked and sold as scrap =Selling price - cost of re-work= $8.90-4.60= $4.3
Incremental income as scrap = $3.50×19,000= $66,500
Incremental income when re-worked= $4.3 × 19,000 = $81,700
Incremental income as scrap=$66,500
Incremental income when re-worked= $81,700
