The digital era has simplified life in every aspect—from keeping people connected, to storing data, making information available, and enhancing security of data to end-end encryption. Technology has made this all possible, and its value and reach expand with each passing day.
Answer:
The answer is: debit Accounts Receivable $1,000; credit Sales $1,000; debit Cost of Goods Sold $400; and credit Merchandise Inventory $400
Explanation:
The journal records should be:
- Dr Accounts receivable 1,000
- Cr Sales revenue 1,000
- Dr Cost of goods sold 400
- Cr Merchandise inventory 400
Accounts receivable is an asset account, and when assets increase they are debited.
Sales revenue is a revenue account, and when revenue increases it is credited.
COGS is an expense account, and when expenses increase they are debited.
Merchandise inventory is an asset account, and when assets decrease they are credited.
Answer:
77.48 units
Explanation:
Data provided in the questions
Annual demand = 395 units
Ordering cost = $38
Holding cost per unit per year = $5
The computation of the economic order quantity is shown below:
= 77.48 units
hence, the economic order quantity is 77.48 units
We simply applied the above formula so that approximate units could come. And it always expressed in units
Answer:
If increasing the level of capital from $8 million to $12 million increases real GDP from $4 to $6 million, then a further increase of the level of capital from $12 to $16 million should increase the real GDP but not in the same proportion, i.e. it will not increase the real GDP from $6 million to $8 million.
An increase in the level of capital will increase investment in the economy, but unless productivity or technological progress increases, then the gains will tend to be smaller every time.
Investment is the greatest driver of economic growth, but it cannot do it all by itself. Productivity must increase, and generally when investment increases, productivity increases due to technological progress. E.g. You deliver packages on a bicycle and are able to deliver 10 packages per day. If the company gives you a delivery truck (increase in investment and technology) then you will be able to deliver 30 packages per day and your productivity will have increased by 200%.