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3 years ago

Which of the following is true of the Heckscher-Ohlin theory? Multiple Choice

Business

1 answer:

Dominik [7]3 years ago

4 0

Answer: Option (C) is correct.

Explanation:

The Heckscher-Ohlin theory is based on the cause of comparative advantage and explains that it is the difference in the factor endowments among the countries that is the main cause of international trade.

Heckscher-Ohlin theory says that a country exports the commodity whose production requires the intensive use of nation's relatively abundant and cheap factor and a country imports the commodity whose production requires intensive use of nation's relatively scarce and expensive factor.

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Saddleback manufacturing ltd. purchased 5,000 shares of its own previously issued $10 value common stock for $95,000. Thes 5,000

kramer

Answer:

The Purchased 5,000 shares at $95,000 would be considered as <u>Treasury stock</u> and it will be treated as <u>Asset</u>

Explanation:

Journal Entry Debit Credit

Treasury stock $95,000

Cash $95,000

The 5,000 shares should be considered as authorized , issued and outstanding shares although they are deducted from paid in capital under stockholders equity section.

7 0

3 years ago

Rory Company has a machine with a book value of $75,000 and a remaining five-year useful life. A new machine is available at a c

Alborosie

Answer: $7,500

Explanation:

In calculating the Incremental income we will add the amount of variable Manufacturing costs Rory Company will save as well as the income they will get from selling the old machine and then subtract the cost price of the new machine.

Starting off we will calculate the amount of savings they will make by using the new machine,

= $12,000 x 5 years

= $60,000

Calculating the Incremental income therefore we have,

= 60,000 + 60,000(from selling old machine) - 112,500 (cost of new machine)

= $7,500

The incremental income of buying the new machine is $7,500.

If you need any clarification do comment.

5 0

3 years ago

Given that they often competen t powerful companies, it is imperative that entrepreneurs:

Step2247 [10]

Answer:

Use strong judicial tools as patents and copyrights. Be flexible to enter the market. Understand that is more expensive to acquire a new client that to maintainn and excisting one.

Explanation:

The powerfull companies can make a product or service look bad (sabotage) or can change its prices to eliminate possible competitors from the market, they also have a huge share of the market so there are not many avilable new clients to gain.

3 0

3 years ago

Identify a transition moment you could use to implement a new savings plan.

murzikaleks [220]

A typical transition moment one could use to implement a new savings plan is when we get an increment in salary or wages.

<h3>What is a Transition moment?</h3>

A transition moment is used to described a moment between an initial state and a final state.

<h3>What is savings plan?</h3>

A saving plan is any type of financial plan which aims to encourage saving of money or value for future use.

Hence, a typical transition moment one could use to implement a new savings plan is when we get an increment in salary or wages.