Answer:
Inelastic demand, Amputation procedure
Explanation:
The good with no close substitute is likely to experience inelastic demand because the consumer does not any close substitute to change to, this means that even when price is increased, the consumer is not likely to stop buying if the good is a necessary good.
The Amputation procedure will have least elastic demand because the diabetes sufferer does not have close substitute to change to when price increase while Diamond necklace is a luxury good, when the price is increased the consumer stop buying or switch to other luxury goods such as gold, silver that are equally used for decoration purposes.
Explanation:
The journal entry is shown below:
Cash A/c Dr $1,372
Sales Returns and Allowances A/c Dr $600
Sales Discounts A/c Dr $28
To Accounts Receivable A/c $2,000
(Being the cash is received)
The computation is shown below:
For sales discount
= (Sales value of merchandise - returned goods) × discount rate
= ($2,000 - $600) × 2%
= $28
And, the remaining balance is debited to the cash account
Answer:
Defensive Portfolio
Explanation:
Defensive portfolio consist of stocks that are protected from the market movement forces such that they perform acceptably well both during good and bad economic times, much unlike cyclical stocks. The companies within the portfolio are those that manufacture and produce essential goods and services and therefore will also thrive when the economy is in a difficult state.
Many defensive portfolio companies offer dividends with the effect of reducing capital losses.
Answer:
A. Multiple hurdles approach
Explanation:
Multiple hurdles approach is a selection strategy in which applicants are expected to pass each step in the selection process and failure at any step leads to disqualification. The multiple hurdle approach is an efficient method in candidates selection used in eliminating candidates not fit at various stages. The downside to this technique however is that it eliminates excellent candidates who doesn't excel in just one phase of the selection process.
For the advertising expense, the expense shall be calculated for three months of the third quarter. The total amount of advertising expense $40,000 is paid for 12 months hence expense for three months shall be (40000*3/12) = $10,000
The amount of $430,000 is prepaid repair and it shall be adjusted as Repair expense only when the actual repair is incurred. Hence according to the information given, there shall be no repair expense recognized for the third quarter.
Hence total expense in the third quarter interim financial statements shall be <u>$10,000</u>