Answer:
Reallocate spending from magazines to newspapers.
Explanation:
We are only given the utility provided by the last newspaper and the last magazine, but in order to answer the question I will consider that the utility remains the same from the first to the last unit.
Frank obtains 10 utils from purchasing each magazine and each newspaper:
- magazine = $5 / 10 utils = $0.50 per util
- newspaper = $2.50 / 10 utils = $0.25 per util
Frank obtains twice the utils from each dollar spent on newspapers than on magazines, so he should spend more money on newspapers.
<span>For precooked frozen foods, you will always pay for the cost of packaging and the cost to get the chicken, or labor. This conclusion is always valid if you choose to buy the precooked food from the grocery store, where prices will be marked up for profit, as well.</span>
Answer:
Commoditization
Explanation:
This is known as commoditization. Commoditization can be defined as a a process whereby goods and services can no longer be distinguished from similar offerings that is being made by a rival company. In a particular category such goods are so alike that for you to find the difference between them, you do so via the price tags
No, there is not any requirement of recording when the fair value of bonds decreases to $6000000 on December 31 of the current year.
Given that Starbucks purchased bonds with $ 7 million face value at par for cash on July 1 of the current year and the bonds pay 7 percent interest the following June 30 and December 31 and mature in three years.
We are required to tell whether there is requirement of any recording when the fair value of bonds decreases to $6000000 on December 31 of the current year.
A bond is basically a debt security, similar to an IOU and borrowers issue bonds to raise money from investors willing to lend them money for a certain amount of time. When we buy a bond, we are lending to the issuer, which may be a government, municipality, or corporation.
There is not any requirement of any recording when the fair value decreases to $600000 because it is not affecting our books of accounts because in our books they are recorded at face values.
Hence there is not any requirement of recording when the fair value of bonds decreases to $6000000 on December 31 of the current year.
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