Answer: debit to Product Warranty Expense for $750
Explanation: 5% of $15000 =
5 ÷ 100 × $15000 is $750.
This is an expense and so will be a debit.
Answer:
6.86011 Turkish liras per US dollar
Explanation:
US's inflation 3% for the next 3 years
Turkey's inflation 7% for the next 3 years
current Lira/Dollar spot rate (L/$) = 5.6702 (liras per dollar)
- inflation rate US = (1 + 0.03)⁵ = 1.159274
- inflation rate Turkey = (1 + 0.07)⁵ = 1.402552
difference = 1.402552 / 1.159274 = 1.20985 x current spot rate = 1.20985 x 5.6702 = 6.86011
Since the Turkish inflation rate is higher than the American inflation rate, then the Turkish lira will depreciate faster than the US dollar.
Explanation:
It is given that in the market there are four equal-sized firms that produce similar products. The market is saturated such that 10% industry-wide price rise would lead to 18% decline in units sold by all firms in the industry. Going further, there is a proposed legislation that imposes a tariff on a key input used by the industry, which on realization would result in the increase in marginal cost by $2.
This means that the market elasticity of demand is:
[ FIND THE ATTACHMENT FOR SOLUTION]
Emphasizing your qualifications or adding new information.
Answer:
<em>From the example given,the 4 answer s to the question consist of both the demand and supply side, demand side, supply side.</em>
<em>It is explained better in the explanation box below.</em>
Explanation:
<em>Solution to the question</em>
<em> </em><em>Categories</em><em> </em><em>Demand side</em><em> </em><em> Supply side </em><em> </em><em>Both</em>
<em>(1)Increasing spending on ‘Shovel ready”’ projects is on </em><em>Demand Side</em>
(2)Lowering income tax rates at all income level is Both
<em>(3)Research grant for a corporation developing new technologies is on </em><em>Supply side</em>
(4)Stimulus packages for firms that are too big to fail is on Demand Side
(5) Government funded scholarship for college students: is on Supply Side
