All categories

3 years ago

What were some potential negatives smith explained could plague the free-market system?

1 answer:

3 0

According to Smith the functioning of the free market requires an ethical position, for Smith justice has a fundamental function. The market mechanism does not require direct contact between consumers and producers. The relationship is usually indirect and is made through the prices and sales that occur in the market. If you want something and you have the money to buy it, it is done, and if there are enough people to do the same, the sales of that product will skyrocket and the rest of the companies will start producing more of that good and will employ more means.

You might be interested in

In a paragraph of no less than 125 words, describe how using active listening at work can help you be a better employee.

PolarNik [594]

Employees are encouraged to listen to managers when receiving instructions and getting updates on corporate policy. Much broader benefits can accrue for good employee listening skills beyond receiving directions for job duties. Help your employees understand the advantages of good listening skills by pointing out the ways in which, through heightened listening skills, both the employee and company can realize a higher level of success. Employees who work on their listening skills find it easier to interpret meaning from conversations. Part of good listening is paying attention to the context the speaker is using and being able to put everything that is being said into that context.

8 0

3 years ago

Suppose that you are attempting to value an income-producing property using the direct capitalization approach. Using data from

Licemer1 [7]

Answer:

Based on the calculation made, the indicated value is $3,889.86014

Explanation:

Using direct capitalization method, indicated value can be calculated using the formula below:

Value = Annual net operating income NOI/Capitalization rate

= $44500/11.44%

Value= $3,889.86014

Based on the calculation made above, the indicated value is $3,889.86014.

5 0

4 years ago

Sanford Co. sells $500,000 of 10% bonds on March 1, 2020. The bonds pay interest on September 1 and March 1. The due date of the

Ilya [14]

Answer:

Sanford Co.

Bond Amortization Schedule

Period PV PMT Interest FV

1 $468,951.03 $25,000.00 $28,137.06 $472,088.09

2 $472,088.09 $25,000.00 $28,325.29 $475,413.38

Year #1 end

3 $475,413.38 $25,000.00 $28,524.80 $478,938.18

4 $478,938.18 $25,000.00 $28,736.29 $482,674.47

Year #2 end

5 $482,674.47 $25,000.00 $28,960.47 $486,634.94

6 $486,634.94 $25,000.00 $29,198.10 $490,833.04

Year #3 end

7 $490,833.04 $25,000.00 $29,449.98 $495,283.02

8 $495,283.02 $25,000.00 $29,716.98 $500,000.00

Year #4 end

Explanation:

a) Data and Calculations:

Face value of bonds = $500,000

Proceeds from bonds = $468,951

Bonds Discounts = $31.049

Coupon interest rate = 10%

Effective interest rate = 12%

N (# of periods) 8

I/Y (Interest per year) 12

PMT (Periodic Payment) 25000

FV (Future Value) 500000

Results

PV = $-468,951.03

Sum of all periodic payments $200,000.00

Total Interest $231,048.97

8 0

3 years ago

If price paper spends an additional on advertising, sales volume should increase by units. what effect will this have on operati

olya-2409 [2.1K]

Disclaimer- The complete question is-

Prince Paper has budgeted the following amounts for its next fiscal year:

Total fixed expenses $300,000

Selling price per unit $60

Variable expenses per unit $25

If Price Paper spends an additional $12,800 on advertising, sales volume should increase by 1000 units. What effect will this have on operating income?

If Price Paper spends an additional $12,800 on advertising, sales volume increases by 1000 units. The operating income will be 22,200.

Selling price per unit $60 = 60(1000 units) = 60,000

Variable expenses per unit $25 = 25(1000 units) = 25,000

FE advertising = 12800

Operating income = Total Revenue – Direct Costs – Indirect Costs

= 60,000 - 25,000 - 12800 = 22,200

To know more about operating income refer:

brainly.com/question/13872434

#SPJ4

6 0

1 year ago

Prepare a multiple-step income statement for Surry Co. from the following data for the year ended December 31, 2016. Sales $915,

gavmur [86]

Answer:

Surry Co.

Income Statement for the year ended December 31, 2016

Sales $915000

Less Cost of Merchandise Sold $670000

Gross Profit $245000

LESS OPERATING INCOME

Selling Expenses

Customer Refunds and allowances $ 55000

Selling expenses $ 120000 $175000

Administrative Expenses

Administrative expenses $ 30000 $30000

Total Operating expenses $205000

Operating Income $ 40000

NON-OPERATING INCOME

Interest Expense ($12000)

Rent Revenue $19000

Total Non-operating Income $ 7000

Net Income $47000

Explanation:

A multiple-step Income Statement separate Operating Revenues and Operating Expenses from Non-Operating Revenues and Non-Operating Expense.

6 0

3 years ago