Answer:
b. Expenses are increased on the left side of their T-account because they decrease equity.
Explanation:
Expenses arise during operation. The conceptual framework defines expenses as decrease in economic benefits as a result of increase in liabilities and decreases in assets. The result being a decrease in equity attributable to shareholders. Examples of expenses include depreciation, interest, utilities and wages expenses.
Given:
initial investment: $250
term: 2 years
interest earned: $7.50
Because it was stated that $7.50 is the simple interest, we will use this formula:
Interest = Principal * Interest Rate * Term
7.50 = 250 * Interest Rate * 2
7.50 = 500 * Interest Rate
7.50 / 500 = Interest Rate
0.015 or 1.5% = Interest Rate
The interest rate for the initial investment of $250 for 2 years is 1.5%. Thus, it earned a simple interest of $7.50
Answer:
The answer is letter A.
Explanation:
They develop community networks as backup systems.
Explanation:
Getting the right education is one of the best pieces of advice I would send to someone who is only learning to invest. Investing is all about purchasing firms that you know and appreciate, that have a strong competitive edge, and that have a solid management team, all at a decent price.
Answer:
The government agency is providing basic and/or essential services that further deepen the interests of members of the public
Explanation:
The assertion that a firm with a monopoly power loses it freedom of contract is very true. Monopolies by its realities come with features that ultimately cater for the interests of the firm, instead of the consumers. One of these is charging an astronomical high price on a particular item of commodity, and not taking cognizance of the purchasing power of the public. A firm could to this, and ultimately get away because its the only delivering such services - the one with the enormous monopoly power. Here, there is no stiff competition among goods that may offer liberty of choices to ordinary consumers.
To mitigate these numerous power of monopolies, governmental body has been giving the power to regulate and maintain an oversight functions. They now determine the provisions of contracts. The main objective of government agency, thus, is to ensure a firm with a monopoly power considers the basic and essential interests of the members of the public - the end users. Here, members of the public are insulated from unnecesary exploitation by the monopolies.
