Answer: D
Options included in the questions are:
“A. The demand for the magazine shifts to the left, and the supply curve shifts to the right. The equilibrium price falls, with an unknown change in the equilibrium quantity.
<span>B. The demand for the magazine does not change, supply curve shifts to the left. The equilibrium price rises, while the equilibrium quantity falls. </span>
<span>C. The demand for the magazine shifts to the right, and the supply curve shifts to the left. The equilibrium price rises, with an unknown change in the equilibrium quantity. </span>
D. The demand for the magazine does not change, and the supply curve shifts to the right. The equilibrium price falls, but the equilibrium quantity rises.”
The answer is D.
The demand for the magazine does not change even if the price of the computers goes down. It is the equilibrium price that will fall due to decrease on the price of inputs resulting to increase in quantity of a magazine produced.
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You can choose to deactivate it if u want
Answer: 16.53%
Explanation:
Given the following :
Annual percentage rate(r) = 15. 3% = 0.153
n = number of compounding periods in a year
p = number of compounding periods rate is required for
Number of days in a year = 365 = n
p = 365
Effective interest rate (E) is given as :
E = [( 1 + (r / n) )^p] - 1
E = [(1 + (0.153 / 365)) ^365] - 1
E = [ (1 + 0.0004191) ^365] - 1
E = [1.0004191^365] - 1
E = 1.1652876 - 1
E = 0.1652876
Effective Interest rate = (0.1652876 × 100)%
Effective interest rate = 16.53%
Answer:
d. Tax revenue would increase.
Explanation:
When government halved commodity tax so they divided into two parts so it is use full them to manage it separately in two different parts. So when government needs more revenue they tax some commodity on their trade. So now government collects different taxes from different parties so their tax revenue increases by that decision.
Answer:
Debit : Allowance for doubtful debts - $62,000
Explanation:
An account for allowance for doubtful debts is a contra account created, predicting that certain debtors will not be able to pay for the goods and services they purchased. This can be based on historical experiences. Doubtful debts aren’t officially uncollectible, it is simply an estimation made, but bad debts are, where you have officially written off a certain accounts receivable as uncollectible.
An allowance for doubtful debts is recorded in the balance sheet, directly under accounts receivables. Bad debts are recorded as an expense in the income statement.
The question states that the company had recorded $62,000 as a bad debts expense in its income statement. In order to do this, the company would have first made an estimate of bad debts known as the allowance for doubtful debts where:
Debit : Bad Debts
Credit : Allowance for doubtful debts
When the amount is officially declared uncollectible as in this case, the allowance for doubtful debts account will be debited with $62,00 and the accounts receivables account will be credited with $62,000 meaning that the money would not be expected to be received from that debtor anymore.
