true because the corporation has more money to spend
Answer:
A.
Notes Payable 200,000
Interest Payable 7,000
Cash 207,000
Explanation:
The Journal entry is shown below:-
Notes payable Dr, $200,000
Interest payable Dr, $7,000
To Cash $207,000
(Being pay off the note and interest at maturity is recorded)
Therefore for recording the pay off the note and interest at maturity we simply debited the notes payable and interest payable as it decreases the liability and we credited the cash as it also decreasing the assets.
Answer:
$171,000
Explanation:
The company psid $950,000 for office furniture, building and land
The market value of the assets is
Office furniture= $190,000
Building= $740,000
Land= $132,000
Therefore the cost that should be allocated to the office furniture can be calculated as follows
= 18/100 × 950,000
= 0.18×950,000
= 171,000
Answer:
D) South American cocoa bean producers refuse to ship to chocolate producers in the US.
Explanation:
A nonbinding rice ceiling means that the equilibrium price is below the price ceiling, so it will have no effect in real life. In order for the price ceiling to become binding and start to negatively affect the market, the equilibrium price must increase.
The only option that would increase the equilibrium price is option D, since the shortage of a key input will probably result in an increase in the price of the key input. If the price of a key input increases, the cost of producing chocolate will increase, resulting in a leftward shift of the supply curve.
A leftward shift of the supply curve will decrease the total quantity supplied and it will increase the price of chocolate at every level of quantity demanded. This will result in an increase in the equilibrium price which might ultimately change the price ceiling from nonbinding to binding.
