Answer:
Debit Estimated Warranty Liability $14,000; credit Merchandise Inventory $14,000.
Explanation:
The journal entry is shown below:
Estimated Warranty Liability A/c Dr $14,000
To Merchandise Inventory $14,000
(Being the customer warranties is settled)
Since we have to settle the customer warranties, so we debited the estimated warranty liability account and credited the merchandise inventory account
Hence, all other options are wrong except last one
Answer 1: The Correct answer is C) the average prices of goods and services decreased between last year and this year.
CPI stands for consumer Price Index. Also known as the 'basket' the index is developed by national governments to monitor the prices of basic goods and services used by the population.
This has to include basic items that the majority of population uses every day e.g. milk, chicken, electricity etc.
In this case, the CPI had decreased from 91.0 to 90.0 which means the prices fell.
Answer 2: The correct answer is A) 3.6%
The formula to calculate unemployment rate is:
No. of unemployed ÷ No. of Working People x 100
In this case, it was 9 million divided by 250 million x 100
3.6% unemployment rate is actually very less for an economy and is an indicator that the economy is doing well and creating enough jobs for most people. A high unemployment rate signals a worsening economy.
Answer:
d. the quantity demanded for the market will increase to less than 30,000 workers.
Explanation:
Missing options:
- a. the quantity demanded for the market will increase to 30,000 workers.
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b. the quantity demanded for the market will increase to more than 30,000 workers.
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c. the quantity demanded for the market will increase, but we can't tell which of the above answers is correct.
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d. the quantity demanded for the market will increase to less than 30,000 workers.
maximum total demand for labor = 30 (at $8) x 1,000 firms = 30,000 workers, but since the equilibrium rate had been $9 for many years, some workers have already been hired at $9, and it is usually very difficult to lower someone's wage once they have been working. Even thought the quantity demanded will increase, it will probably not be able to reach 30,000 workers.
<span>In the insurance market, this is referred to as adverse selection. Adverse selection is simply just a situation where the seller has information that the buyer does not have about an aspect of the product or its quality, or vice versa. When it comes to insurance, adverse selection is the likelihood of those who preform dangerous jobs or are high risk to get life insurance.</span>
