Answer:
Descriptive
Explanation:
Descriptive headings are self-contained, which means that readers can skim through just the headings and subheadings and understand them without reading the rest of the document.
Descriptive headings highlights the important matter and main points of the content of the information and they are used to help readers to quickly spot the summary of the points to be communicated.
Furthermore, descriptive headings help readers find and understand information quickly which meets the required qualitative factors of the timeliness and comprehensibility of information.
Answer:
Assume a purely competitive, increasing-cost industry is in long-run equilibrium. If a decline in demand occurs, firms will:leave the industry and price and output will both decline. TRUE, ECONOMIC PROFITS INDUCE FIRMS TO ENTER A MARKET, WHILE ECONOMIC LOSSES INDUCE FIRMS TO EXIT A MARKET. IF DEMAND FALLS, ECONOMIC LOSSES WILL RESULT.
When a purely competitive firm is in long-run equilibrium: price equals marginal cost. TRUE, COMPETITIVE FIRMS MAXIMIZE ACCOUNTING PROFITS WHEN MARGINAL REVENUE = MARGINAL COST
A purely competitive firm:cannot earn economic profit in the long run. TRUE, A COMPETITIVE FIRM CAN ONLY MAKE ECONOMIC PROFITS IN THE SHORT RUN, BUT ECONOMIC PROFITS IN THE LONG RUN = $0
A constant-cost industry is one in which:resource prices remain unchanged as output is increased. TRUE, FOR EXAMPLE AN INDUSTRY CAN PRODUCE 10 UNITS AT $10, 20 UNITS AT $20, 1,000 UNITS AT $1,000
An increasing-cost industry is associated with:an upsloping long-run supply curve. TRUE, THE LONG RUN SUPPLY CURVE FOR A PURELY COMPETITIVE INCREASING COST INDUSTRY WILL ALWAYS BE UPSLOPING.
Explanation:
Answer:
The Journal entries are as follows:
(a) On February 1,
Allowance for doubtful accounts Dr. $8,800
To Account receivable-Oakley Co $1,900
To Account receivable-Brookes Co $6,900
(To record write off)
(b) On June 5,
(i)
Account receivable-Oakley Co. Dr. $1,900
To Allowance for doubtful accounts $1,900
(To record amount reinstated)
(ii)
Cash A/c Dr. $1,900
To Account receivable-Oakley CO $1,900
(To record cash received)
Answer:
$318,680
Explanation:
initial investment ($506,000)
cash flow year 1 = $212,000
cash flow year 2 = $212,000
cash flow year 3 = $212,000
cash flow year 4 = $212,000
cash flow year 5 = $212,000
discount rate 9%
present value of an ordinary annuity for 5 years and 9% discount rate = 3.89
the net present value = (yearly cash flow x annuity value) - initial investment = ($212,000 x 3.89) -$506,000 = $824,680 - $506,000 = $318,680
The net present value of an investment equals the difference between the present value of the cash flows generated by the investment minus the initial cost of the investment.
