All categories

3 years ago

When a price, wage, or interest rate is adjusted automatically with inflation, it is said to be __________.

Business

1 answer:

Darina [25.2K]3 years ago

8 0

Answer:

Indexed.

Explanation:

Indexing is the adjustment of amounts of money to an index figure. This often involves adjustment to inflation so that the real amount remains the same, that is, it continues to represent the same average purchasing power. For example, inflation is measured by the consumer price index. This is a weighted average price index of the average household. Indexation can, for example, apply to wages, pensions, social security, housing rent, alimony, tax credits and fines.

You might be interested in

Need this answer ASAP!!!!!!!!

DanielleElmas [232]

$concealment$

3 0

3 years ago

How can life expectancy and literacy rates affect the quality of labor in the economy?

Veseljchak [2.6K]

Explanation:

Life expectancy and literacy rates can affect the quality of labor in the economy because if citizens are literate, they are educated and likely have white-collar jobs. Citizens who are illiterate likely have more manual labor jobs.A nation with lower fertility rates will usually have less people, and scarce resources will take longer to run out

5 0

2 years ago

Paney Company makes and sells calendars. The information on the cost per unit is as follows: Direct materials $1.50 Direct labor

Vsevolod [243]

Answer:

Break-even point (dollars)= $80,000

Explanation:

Giving the following information:

Variable costs:

Direct materials $1.50

Direct labor 1.20

Variable overhead 0.90

Variable marketing expense 0.40

Total variable costs= 4

Fixed costs:

The fixed marketing expense totaled $13,000

The fixed administrative expense totaled $35,000.

Total fixed costs= $48,000

The price per calendar is $10.

To calculate the break-even point in dollars, we need to use the following formula:

Break-even point (dollars)= fixed costs/ contribution margin ratio

Break-even point (dollars)= 48,000/ [(10 - 4)/10]

Break-even point (dollars)= 48,000/0.6

Break-even point (dollars)= $80,000

3 0

3 years ago

The reasons for using the variable-cost approach include all of the following except this approach provides the most defensible

Ber [7]

Answer:

The reasons for using the variable-cost approach include all of the following except

this approach provides the most defensible bases for justifying prices to all interested parties.

Explanation:

This is not part of the reasons for using the variable-cost approach. But options b, c, and d are certainly the reasons why the variable-cost approach is used. The variable-cost approach provides a differential analysis for decision-making. It assigns overhead costs to the period in which they are incurred, while other variable costs are assigned to the merchandise produced within that period. Thus, by excluding fixed manufacturing overhead cost, only the direct costs associated with production are used in accounting for the product's costs.

3 0

3 years ago

Desert Company purchased land to be used as a factory site for $1,250,000. Desert paid $120,000 to tear down two buildings on th

saveliy_v [14]

Answer:

$4,269,950

Explanation:

The Cost of an asset include Purchase Cost and other costs directly incurred to put the asset in the location and condition intended for use by management.

Calculation of Cost of the Building :

Architect’s fees $46,800

Insurance $3,600

liability insurance $3,900

Excavation $15,660

Contractor $4,200,000

Total $4,269,950

Therefore,

The cost of the building that should be recorded by Wilson Co. is $4,269,950

3 0

3 years ago