Answer:
Firm should not shut down, as it is able to cover its Average Variable Cost
Explanation:
Perfect Competition firms in Short Run : The firms produce even if their average revenue (price) < their average total costs (AC). They continue production until Average variable cost (AVC) ≥ per unit price (P) i.e average revenue (AR). This is called Shut Down Point. P lower beyond AVC implies that firm won't continue even in short run.
Given : Variable Cost (VC) = 500 ; Revenue (R) = 510
Average Variable Costs & Average Revenue are variable costs & revenue, per unit quantity. AVC = VC / Q ; AR (P) = R / Q
R i.e 510 > VC i.e 500
So, R/ Q i.e AR is also > VC / Q i.e AVC
Since AVC > AR (P), firm should not shut down
Answer:
See explanation below
Explanation:
The following will be selected in excel via the drop-down menus.
Dr; Account name = Bad debt expense/Dad debt written off $ 1200
Cr; Account name = Accounts Receivable $ 1200
The company uses the direct write-off method thus these will be the journal entries.
A purchasing department may have difficulty getting a product quickly as it may not be readily available so may have to wait for it and also, there may be a problem getting a product at a reasonable price which means the purchaser would have to search elsewhere for it which could take time.
<u>Answer:</u>
<em>An adjusting entry that increases an asset and increases a revenue is known as Accrued Revenue.</em>
<u>Explanation:</u>
when an organization has earned income yet hasn't yet gotten money or recorded a sum receivable For the<em> situation of gathered incomes</em>, we get money after we earned the income and recorded an advantage.
The modifying section for a collected income consistently incorporates a charge to an advantage account (increment a benefit) and an a worthy representative for an<em> income account (increment an income).</em>
Answer:
The correct answer that fills the gaps are: constant
; increasing.
Explanation:
GDP per capita, income per capita or income per capita is an economic indicator that measures the relationship between the level of income of a country and its population. For this, the Gross Domestic Product (GDP) of said territory is divided by the number of inhabitants.
The use of per capita income as an indicator of wealth or economic stability of a territory makes sense because through its calculation national income is interrelated (through GDP in a specific period) and the inhabitants of this place.
The objective of GDP per capita is to obtain data that somehow shows the level of wealth or well-being of that territory at a given time. It is often used as a measure of comparison between different countries, to show differences in economic conditions.
