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3 years ago

The SRAS curve is upward rising because:

Business

1 answer:

alexandr1967 [171]3 years ago

6 0

Answer:

B) a higher aggregate price level leads to higher output since most production costs are fixed in the short run.

Explanation:

In the short run suppliers are willing to produce or supply more output at higher prices because their costs are fixed in the short run and in order to increase output they will need to face more fixed costs so they will only increase output if the prices increase so that they can be profitable. For example a cement factory producing at maximum capacity cannot produce more output as they will need to increase their capacity to do so, so when they increase their capacity their fixed costs rise and they will need to increase prices in order to be profitable, so in the short run only when prices increase, the producers will increase capacity or output.

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A local government operates on a calendar-year basis. Prepare journal entries to record the following transactions and events fo

astra-53 [7]

Answer:Please find answers in explanation column

Explanation:

1. Journal to record Short term borrowing

Date Account title Debit Credit

Feb. 1, 2018 Cash $400,000

Tax anticipation notes payable $400,000

2.Journal to record accrued interest payable on TAN)

Date Account title Debit Credit

Dec. 31, 2018 Expenditures – interest $3,666.67

Accrued interest payable $3,666.67

Calculation :Accrued interest= Principal x rate x period (time)

$400,000 x 1% x 11/12= $3,666.67

3. Journal to record investment in CD

Date Account title Debit Credit

April 1, 2018 Investments $100,000

Cash $100,000

4.Journal To record redemption of CD with interest

Date Account title Debit Credit

Sept. 30, 2018 Cash $100,400

Investments $100,000

Cash Revenues – interest income $400

Calculation

Accrued Interest

Principal x rate x period (time= )100, 000 x 0.8 %x 6/12)= $400

Cash = Investment + interest= $100,000 + $400 = $100,400

4 0

4 years ago

On January 1, Year 1, an entity acquires a new machine with an estimated useful life of 20 years for $100,000. The machine has a

goldenfox [79]

Answer:

The answer is $11,500

Explanation:

Depreciation here be done separately or in components.

The formula for depreciation is:

(Cost - residual value) / useful life.

First component:

A new machine for $100,000 and useful life is 20 years.

Depreciation = $100,000/20years

= $5,000

Second component:

An electrical motor for $20,000 and useful life is 5 years.

Depreciation = $20,000/5years

= $4,000

Third component:

Inspection $10,000 and useful life is 4 years.

Depreciation = $10,000/4years

= $2,500

Therefore, the depreciation expense for Year 1 is

=$5,000 + $4,000 + $2,500

=$11,500

5 0

3 years ago

Imagine that your friend is the CEO of a company, called Magna Clothes, that manufactures cool new clothing accessories for both

astraxan [27]

Answer:

a) The WTO allows countries to have observer status before becoming full members, so they can follow discussions on topics that are of direct interest to them.

⇒ TRUE, that way potentially new members get to understand how the WTO works.

c) The WTO came into existence in January 1995.

⇒ TRUE, the WTO birthday is January 1, 1995.

d) Opponents of the WTO sometimes contend that the organization focuses too narrowly to the globalization of trade, at the expense of human rights and the environment.

⇒ TRUE, the WTO's focus is on trade, and it tends to ignore many social and environmental factors.

6 0

3 years ago

Small businesses selling on credit find that:

Mamont248 [21]

Answer:

b. it is expensive and requires a great deal of effort.

Explanation:

selling on credit is basically lending money to customers and it can be very expensive for a small business. First of all, the risk of not getting paid always exists. Second, a small business doesn't generally have excess cash in order to finance credit sales. This means that you might probably need to borrow money yourself to finance your customers.

The good side of credit sales is that they might help you increase your total sales. But you have to calculate which is higher, the costs or the benefits.

3 0

4 years ago

Roget Factory has budgeted factory overhead for the year at $15,500,000. It plans to produce 2,000,000 units of product. Budgete

yawa3891 [41]

Answer:

$14,76

Explanation:

Using a single plantwide factory overhead rate based on direct labor hours, the factory overhead rate for the year is $14,76.

6 0

3 years ago