Answer:
Correct option is (b)
Explanation:
Variance is the difference between standard cost and actual cost. A favorable variance is when actual cost is less than the standard cost. It indicates positive results which means that all control standards are met.
Standard cost is the budgeted or expected cost that the company estimates. It stands as a benchmark. If actual cost is more than standard then there is unfavorable variance.
Answer: D. Internalizing the externality
Explanation: A policy that succeeds in giving buyers and sellers in a market an incentive to taken into account the external effects of their action in consumption and production is call " internalizing externalities ".
Internalizing the externality simply means shifting the burden, or costs, from a negative externality, such as environmental degradation, pollution or traffic congestion, from external to internal. This is done by government through taxes, tolls,property rights and government subsidies.
Answer:
Debit Rent Expense $2,000; credit Prepaid Rent $2,000.
Explanation:
Assuming On December 31, the Company's Prepaid Rent account had a balance before adjustment of the amount of $6,000 which means that if the Three months' rent was paid in advance on December 1, The adjusting entry needed on December 31 is:
Debit Rent Expense $2,000
Credit Prepaid Rent $2,000.
($6000/3month)
(To record Rent Expense)