The correct answer to this open question is the following.
The statement, if true, that would explain the analysts' predictions would be "the Producer Price Index has been steadily increasing over the past few months."
That is what would have been the factor that supports the forecast. Although inflation has been constant at low levels, what changed was the Producer Price Index that is moving up. This factor could modify the results despite inflation is stable at this moment. When inflation is high, it directly affects the price of goods and the consumer.
<span>If the investment accelerator from an increase in government purchases is larger than the crowding out effect, then the multiplier is probably greater than one. The crowding out effect within economics is defined as a theory that when public sector spending rises, it can drive down or eliminate private sector </span>spending. Public sector spending is government spending whereas private sector spending is for-profit businesses that aren't owned or operated by the government.
I think for this question, you have, to be honest about what you can do and how you want to achieve them. This question can not be answered in general, but it should be replied to according to what you can and can not do. It is important that when you are doing the interview, you are confident and sincere towards your goal.
Answer:
$3,927
Explanation:
Bad debt expenses:
= Ending balance of allowance account + Write offs - Beginning balance of allowance account
= $11,944 + $9,191 - $17,208
= $3,927
<u> </u><u>Allowance for bad debt account</u>
Particulars Amount Particulars Amount
Write offs $11,944 By balance b/d (beginning) $17,208
To balance c/d (ending) <u>$9,191</u> Bad debt expense <u>$3,927</u>
Total $21,135 $21,135
Therefore, the amount of bad debts expense recognized for the year is $3,927.
