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3 years ago

One reason for not requiring a balanced federal budget at all times is that with a balanced-budget rule:_________.

Business

1 answer:

lana [24]3 years ago

6 0

Answer:

d. in a recession the automatic stabilizing powers of our system of taxes and transfers could not work.

Explanation:

A balanced government expenditure is when government spending equals government revenue.

most times, the government doesn't have a balanced budget. it either has a surplus or a deficit.

When there is a recession, automatic stabilisers - progressive tax and transfer payment - may not be adequate to lift the economy out of recession. So, the government would have to spend more than it receives from taxes to revive the economy. in this case there would be a deficit

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An inventory loss from market decline of $1,200,000 occurred in May 2015, after its March 31, 2015 quarterly report was issued.

JulsSmile [24]

Answer:

The answer is:

The inventory loss should be recorded entirely in the second quarter that ends in 6/30/2015 since losses have to be recorded as soon as the company recognizes them. The other quarters should not reflect any of the losses associated with this event.

Explanation:

The accrual accounting principle states that accounting transactions have to be recorded in the period when they actually happen. The conservatism principle states that liabilities and losses have to be recorded as soon as they are recognized.

8 0

3 years ago

Forsyth County charges a 7% sales tax. If you bought a new printer form $3250.00, what is the total cost for the printer?

iren2701 [21]

Answer:

Total cost = $3477.5

Explanation:

Given the following data;

Sales tax = 7%

Cost price = $3250.00

To find the total cost for the printer;

First of all, we would determine the sales tax

Sales tax = 7/100 * 3250

Sales tax = 7 * 32.5

Sales tax = $227.5

Now, we can find the total cost;

Total cost = sales tax + cost price

Total cost = 227.5 + 3250

Total cost = $3477.5

5 0

2 years ago

Blank is a process in which an amount of money gained from illegal activities is made to appear as if it is earned from a genuin

GaryK [48]

<u>"Money laundering" </u>is a process in which an amount of money gained from illegal activities is made to appear as if it is earned from a genuine source.

Money laundering is a criminal plan that can work likewise, yet it includes the stowing away of cash as opposed to a ball.

Money laundering is an approach to cover wrongfully acquired assets. Money laundering works by moving cash in intricate and convoluted monetary exchanges which deceive any individual who may look to follow and audit the exchanges. The goal is to make it hard to recognize the first party to the exchange, known as the launderer.

3 0

3 years ago

Heath Food Corporation’s bonds have 7 years remaining to maturity. The bonds have a face value of $1,000 and a yield to maturity

joja [24]

Answer:

8.55%

Explanation:

For computing the current yield first we have to determine the present value by applying the present value formula which is shown below:

Given that,

Future value = $1,000

Rate of interest = 8%

NPER = 7 years

PMT = $1,000 × 9% = $90

The formula is shown below:

= -PV(Rate;NPER;PMT;FV;type)

After solving this, the present value is $1,052.06

Now the current yield is

= PMT ÷ PV

= $90 ÷ $1,052.06

= 8.55%

3 0

2 years ago

Gunk Co. reported an asset retirement obligation on its 2019 financial statements. The present value of the liability for the as

iVinArrow [24]

Answer:

$31.44

Explanation:

The accretion expense each year will be calculated as = Present value of the Asset retirement obligation at the end of the previous year * Discount Rate

Hence, the amount of accretion expense Gunk will record in 2020 related to the asset retirement obligation

= $393 * 8%

= $31.44

4 0

2 years ago