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Firlakuza [10]
3 years ago
5

The crowding-out effect refers to the possibility that:

Business
1 answer:
Natalka [10]3 years ago
6 0

Answer:

a. a deficit, financed by borrowing in the capital markets, will increase the interest rate and reduce investment in the private sector.

Explanation:

Crowding out effect is when government borrowing from the capital markets leads to an increase in interest rate. this makes it more expensive for private sector to borrow and this reduces investment by private sector

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BlendedBlended Corporation uses the allowance method to account for uncollectible receivables. At the beginning of the​ year, Al
ehidna [41]

Answer:

The answer is: $2,300

Explanation:

To determine the ending balance of the account Allowance for Bad Debts of Blended Corporation, we can use the following formula:

ending balance = beginning balance - amount wrote off + recorded bad debts

ending balance = $1,300 - $1,800 + $2,800 =$2,300

4 0
2 years ago
Our company has an account receivable for $12,500 that we have now deemed uncollectible. We use the direct write-off method. Whi
ryzh [129]

Answer: a. Accounts Receivable

Explanation:

The Direct Write-off method is usually used by businesses where Uncollectible Receivables are not common. This way when it does occur, they simply debit the Bad Debts accounts and credit the Accounts Receivables to show the event.

This method of Accounting violates the Matching Principle under the Accrual basis because it usually does not recognize bad debts in the same period that the inventory was sold. It only records bad debts when they are declared which could be periods afterwards.

3 0
3 years ago
8. Hayward Industries manufactures dining chairs and tables. The following information is available: Dining ChairsTablesTotal Co
Contact [7]

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

Dining Chairs - Tables - Total cost

Machine setups: 200 - 600 - $48,000

Inspections: 250 - 470 - $72,000

Labor hours: 2,600 - 2,400

A) A single overhead rate:

To calculate the estimated manufacturing overhead rate we need to use the following formula:

Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Estimated manufacturing overhead rate= (48,000 + 72,000) / (2,600 + 2,400)= $24 per direct labor hour

Now, we can allocate overhead based on direct labor hours:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Dining Chairs:

Allocated MOH= 24*2,600= $62,400

Tables:

Allocated MOH= 24*2,400= $57,600

B) We have to calculate an overhead rate for each activity cost pool.

<u>Overhead rate:</u>

Machine setups:

Estimated manufacturing overhead rate= 48,000/800= $60 per machine hour set up

Inspections:

Estimated manufacturing overhead rate= 72,000/ 720= $100 per inspection

Based on the overhead rate, we can allocate overhead to each product.

Dining chairs:

Allocated MOH= 60* 200 + 100*250= $37,000

Tables:

Allocated MOH= 60*600 + 100*470= $83,000

C) We can conclude that activity cost allocation is more accurate than using a single rate plant-wide. We can allocate costs more efficiently.

7 0
3 years ago
________ is the ability of a country to produce a specific good at a lower opportunity cost than its trading partners.
Maslowich
Comparative advantage
3 0
3 years ago
According to circus founder P. T. Barnum, what happens without publicity?
almond37 [142]

Answer:

<em>"A terrible thing happens without publicity...</em><em>nothing</em><em>!"</em>

3 0
2 years ago
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