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3 years ago

Which of these is an example of an inelastic good?

Business

1 answer:

pishuonlain [190]3 years ago

6 0

Answer:

A. Medicine

Explanation:

Inelastic good is a product whose demand does not fluctuate with price changes. It means the demand for the good remains constant even if prices increase or decrease. The term inelastic symbolizes the demand for the good is static.

Medicine has an inelastic demand. Patients need medication regardless of prevailing prices. An increase or decrease in prices of medicines does not influence the demand. The term inelastic contrast elastic demand, which is the demand that varies with changes in prices.

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The following is a trial balance of Barnhart Company as December 31, Year 1: Account Title: Debit Credit Cash 12,500 Accounts Re

Tanzania [10]

Answer:

The total amount of assets is 15,750.

Explanation:

Reproducing the trial balance below for clarity:

Account Title Debit Credit

Cash 12,500

Accounts Receivable 3,250

Accounts Payable 2,800

Common Stock 6,600

Retained Earnings 4,500

Service Revenue 7,450

Operating Expenses 5,100

Dividends 500

Total 21,350 21,350

Calculation of Total Assets:

Total assets = Cash + Accounts Receivable

= 12,500 + 3,250

= 15,750

Note that among the given accounts, accounts cash and accounts receivable are assets; accounts payable is a liability; common stock and retained earnings are part of the capital; service revenue is a form of revenue; while operating expenses and dividends are expenses.

7 0

3 years ago

Jamie earned a raise in pay when he finished the training for the Technician 2 position. He will receive another raise when he f

coldgirl [10]

Answer: Structured compensation program

Explanation: In a structured compensation program the company structures the pay of employees on the basis of a predetermined criteria. The abilities needed to get promotion in such structure could be fixed on the basis of time period served or any other such criteria.

In the given case, Jamie gets promotion at every stage by passing a certain test. Thus, we can conclude that the company is performing structured program.

5 0

3 years ago

Mateo has a passion for collecting old watches. He's particularly interested in those from the 1920s because they have a history

hammer [34]

Answer:

D. Authenticity

Explanation: Authenticity describes the genuineness or real nature of something. Mateo wants to ensure that every watch purchases must be those from 1920s and are original. For him,authentic products are his priority and watchword mainly because he has some specific quality connected with the watches manufactured from the 1920s and must be original. Taking the watches to an appraiser is for the appraiser to help in verifying the authenticity of the watches.

4 0

3 years ago

Read 2 more answers

Debt analysis Springfield Bank is evaluating Creek Enterprises, which has requested a $ 3 comma 620 comma 000 loan, to assess

stepan [7]

Answer:if the debt ratio is lower,the loan request should be granted but if it is higher the loan request should not be granted by the bank.

Explanation:

Debt ratio is a financial ratio which shows the ability of a firm to pay their debt as they fall due.lenders are more concerned with the liquidity position of a firm in order to guarantee the solvency of the firm whenever a loan is granted to such a firm. The debt ratio is used to know the financial leverage of a firm and the financial risk involved in lending to such firm. When a firm is said to be highly leverage it means that such a firm will find it difficult to pay their debt as they fall due because the liabilities in their balance sheet is more than their assets. Debt ratio is calculated as

Total Liabilities/ Total Assets

The Debt ratio is calculated from the Liabilities and Asset figures obtained from their balance sheet. When it is calculated, lower ratio is more preferable than higher rato because it means that a firm will find it easy to settle their debt to their lenders as that debt fall due.but a higher ratio is an indication that such firm will not be able to meet their debt obligation to their lenders as they fall due. Therefore, when a firm has a higher debt ratio it is not advisable to grant a loan to such a firm by the bank. As regard the loan request of Creek Enterprises from Springfield bank, if the debt ratio of Creek Enterprises is lower, the loan should be granted but if it is higher the bank should not grant the loan.

5 0

3 years ago

Splish Corporation reported the following for 2020: net sales $1,242,800, cost of goods sold $737,700, selling and administrativ

tester [92]

Answer:

1. $192,200

2. $192,200

Explanation:

1. Preparation for the statement of comprehensive income using the one statement format

Splish Corporation Statement of Comprehensive IncomeFor the Year Ended December 31, 2020

Sales revenue $1,242,800

Less Cost of goods sold ($737,700)

Gross profit $505,100

Less Selling and administrative expenses ($329,500)

Net income $175,600

($505,100-$329,500)

Add Unrealized holding gain on available-for-sale debt securities $16,600

Comprehensive income $192,200

Therefore the Comprehensive income for the statement of comprehensive income using the one statement format will be $192,200

2. Preparation a statement of comprehensive income using the two statement format

Splish Corporation Statement of Comprehensive IncomeFor the Year Ended December 31, 2020

Sales revenue $1,242,800

Less Cost of goods sold ($737,700)

Gross profit $505,100

Less Selling and administrative expenses ($329,500)

Net income $175,600

($505,100-$329,500)

Comprehensive Income

Net Income $175,600

Add Unrealized holding gain on available-for-sale debt securities $16,600

Comprehensive income $192,200

Therefore the Comprehensive income for the statement of comprehensive income using the two statement format will be $192,200

8 0

4 years ago