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3 years ago

which statement best illustrates the relationship between three different elements of the circular flow of products

Business

1 answer:

Aloiza [94]3 years ago

8 0

Answer:

C. Businesses create goods for product markets, which sell them directly to households.

Explanation:

Circular flow model is an economic model that is used by economists to show or demonstrate how money, goods and services move from one economic agent to another such as producer, workers, wholesaler, retailer and consumers (households).

Basically, the three (3) elements of the circular flow model of products are;

I. Business firms (producers).

II. Product market (wholesalers and retailers).

III. Households (consumers).

According to the circular flow model of products, businesses play a role in the circular flow of products (goods) by creating goods that households or consumers want to buy. These goods are produced to meet the needs or wants of customers (households) and as such making them willing to buy it.

This ultimately implies that, the cardinal point or reason for which businesses engage in the manufacturing of goods and services is to supply the product markets, which sells them to consumers in order to meet their demands.

<em>In conclusion, the statement which best illustrates the relationship between the three (3) different elements of the circular flow of products is that, businesses create goods for product markets, which sell them directly to households.</em>

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3 years ago

Before Cheyenne Corporation engages in the following treasury stock transactions, its general ledger reflects, among others, the

strojnjashka [21]

Answer:

a) Bought 400 shares of treasury stock at $40 per share:

Dr Treasury stock 16,000

Cr Cash 16,000

( to record the repurchased of 400 shares at $40 each)

b) Bought 290 shares of treasury stock at $45 per share:

Dr Treasury stock 13,050

Cr Cash 13,050

( to record the repurchased of 290 shares at $45 each)

c) Sold 370 shares of treasury stock at $42 per share:

Dr Cash 15,540

Cr Common stock 14,800

Cr Paid-in capital - common stock 740

( to record the sell of 370 shares repurchased at selling price of $42)

d) Sold 110 shares of treasury stock at $38 per share:

Dr Cash 4,180

Dr Paid-in capital - common stock 620

Cr Common stock 4,800

( to record the sell of 110 shares repurchased at selling price of $38)

Explanation:

Following repurchased of 400 shares at $40 each, cash account goes down (Cr) by 40 x 400 = $16,000; Treasury account will go up (Dr) by the same amount.

Following repurchased of 290 shares at $45 each, cash account goes down (Cr) by 290 * 45 = $13,050; Treasury account will go up (Dr) by the same amount.

As FIFO apply, the selling of 370 repurchased stock will make the Common stock account goes up (Cr) by 40 x 370 = 14,800; Cash account goes up (Dr) by 370 x 42 = $15,540; the difference of 740 will go into (Cr) Paid-in capital - common stock.

As FIFO apply, the selling of 110 repurchased stock will make the Common stock account goes up (Cr) by 30 x 40 + (110-30) * 45 = $4,800; Cash account goes up (Dr) by 110 x 38 = $4,180; the difference of 620 will go into (Dr) Paid-in capital - common stock.

7 0

3 years ago

Although transaction costs are reasonable, ASI has encountered financial problems with high production costs. Jonathan, a vetera

marshall27 [118]

Answer: B2B

Explanation:

Based on the information given, we can infer that the interaction of the employee with ASI is an example of B2B..

Business-to-business simply means a form of transaction that is done between businesses, such as between a manufacturer and the wholesaler. It doesn't take place between the producer and the consumer.

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3 years ago

Zona pharmaceuticals is a global pharmaceutical firm based out of Texas. It employs 3200 people who work all over the United Sta

Mashcka [7]

Answer: Define metrics to assess project progress and identify project-related risks

Explanation:

If Zona Pharmaceuticals decide to implement an enterprise resource planning management system in order to support product innovation and also to reduce the time to market a set of new products, the best way to avoid a failed enterprise system implementation is to define metrics in order to assess project progress and also identify project-related risks.

By defining metrics, this will show the progress of the project as the firm can see if the project is going according to plan and hasn't deviated from the goal. It is also vital to check any project related risks.

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3 years ago

What is the myth of amoral business?

chubhunter [2.5K]

Answer:

Concerned only with profit without ethics

Explanation:

People generally do business with ethics and moral values. The myth of immoral business is that people don't mix ethics and business together. They are concerned only with profits and the services and goods they buy or sell are not immoral but amoral. Business people who do not follow ethics are generally complaining about the regulations, they must realize that both are interlinked with each other.

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3 years ago