1. a large number of buyers and sellers
2. an identical or a homogeneous product
Answer:
The correct answer is letter "E": deliver goods in conformity with the contract.
Explanation:
The perfect tender rule states that in a sales contract of goods, the seller must provide the buyer with the products that match perfectly the buyer's need. This rule is opposed to the <em>substantial performance</em> that states that at least part of the contract agreed must be fulfilled so that it can be considered legit.
Answer:
The correct answer is letter "C": diseconomies of scale.
Explanation:
Diseconomies of scale is a point where a business no longer experiences a decrease in cost per unit of output. Rather, after this point cost per unit tend to increase. Typically, diseconomies of scale arise when the increase in production represents an increase in the average unit per cost.
Answer:
Depreciation expense for the year ended December 31, 2018 equals: $1,725
Explanation:
Orangewood uses straight-line depreciation, Depreciation Expense each year is calculated by following formula:
Depreciation Expense = (Cost of asset − Residual Value)/Useful Life
In Orangewood:
Cost of ash register is $7,500. The company plans to use the cash register for 4 years and then sell it for $600, therefore, Residual Value is $600 and Useful Life is 4 years.
Depreciation Expense each year = ($7,500-$600)/4 = $1,725
The cash register was bought on January 1, 2018. Depreciation expense for the year ended December 31, 2018 equals: $1,725
