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3 years ago

The equilibrium price is often called the market-clearing price because:

Business

1 answer:

Natali [406]3 years ago

5 0

Answer:

The correct answer is option (c).

Explanation:

Equilibrium price occurs at the intersection of the demand and supply curves. That is, a particular quantity that both the supplier and the buyer are willing to exchange at a particular price.

At any price below the equilibrium price, quantity demanded would be more than the quantity supply, so this scenario creates a shortage (excess demand), so producers would be willing to sell the limited quantity at a higher price, preferably at the equilibrium price.

At any price above the equilibrium price, the quantity supply would be more than the quantity demanded, so there would be a surplus (excess supply) in the market. Producers would be willing to collect a lower price, preferably the equilibrium price.

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The per-unit standards for direct materials are 2 gallons at $4 per gallon. Last month, 11300 gallons of direct materials that a

Zanzabum

Answer:

9,200 favourable

Explanation:

Calculation for direct materials quantity variance for last month

First step is to calculate the Standard quantity

Standard quantity = 6,800 units × 2 gallons

Standard quantity = 13,600gallons

Now let Calculate direct materials quantity variance for last month Using this formula

Direct materials quantity variance = Standard Price × (Standard Quantity - Actual Quantity)

Let plug in the formula

Direct materials quantity variance = $4 × (13,600 gallons - 11,300gallons)

Direct materials quantity variance = $4 × 2,300 gallons

Direct materials quantity variance = $9,200 favorable

Therefore The direct materials quantity variance for last month was $9,200 favourable

8 0

3 years ago

Brown Fashions Inc.'s December 31, 2018 balance sheet showed total common equity of $4,050,000 and 265,000 shares of stock outst

PIT_PIT [208]

Answer: $16.60

Explanation:

The following information can be gotten from the question:

Total common equity = $4,050,000 Shares of stock outstanding = 265,000

Net Income = $450,000

Dividends = $100,000

Based on the information given, the book value per share will be calculated as:

(Total common equity + Net income - Dividends) / Outstanding shares

= ($4,050,000 + $450,000 - $100,000) / 265,000

= $4,400,000 / 265,000

= $16.60

6 0

3 years ago

Belle Corp. has a selling price of $56 per unit, variable costs of $46 per unit, and fixed costs of $77,000. What sales revenue

Nikitich [7]

Answer:

Break-even point (dollars)= $431,200

Explanation:

Giving the following information:

Selling price= $56 per unit

Unitary variable costs= $46

Fixed costs= $77,000

<u>To calculate the break-even point in sales, we need to use the following formula:</u>

Break-even point (dollars)= fixed costs/ contribution margin ratio

Break-even point (dollars)= 77,000 / [(56 - 46) / 56]

Break-even point (dollars)= $431,200

7 0

3 years ago

Very few experienced employees have skills and knowledge that are considered to be at a higher level than what they use at their

kakasveta [241]

The answer should be A

7 0

3 years ago

Accounts receivable arising from sales to customers amounted to $40,000 and $32,000 at the beginning and end of the year, respec

tatuchka [14]

Answer: $118,000 ;

show the bank has collected a note receivable for the customer

Explanation:

Based on the information given in the question, we can see that there is a reduction in the accounts receivables which will be:

= $40,000 - $32,000

= $8,000

This will then be added to the bet income in order to get the value for the cash flows from operating activities which will be:

= $110,000 + $8,000

= $118,000

Credit memo shows the payment or interest for a particular thing. This can be used to show that a particular bank has received a note, also can be used to show that an interest has been earned on the deposit made. Therefore, the correct option is "show the bank has collected a note receivable for the customer"

3 0

3 years ago