Answer:
The adjusting entry includes a debit to Cost of Goods Sold and a credit to Merchandise Inventory for $3,200
Explanation:
Perpetual inventory is a method of accounting for inventory that records the sale or purchase of inventory immediately
The adjusting entry is calculated by subtracting the physical inventory account from the merchandise inventory account
Given
Physical Inventory Account= $63,000
Merchandise Inventory Account= $66200
Adjusting Entry = Merchandise Inventory Account - Physical Inventory Account
Adjusting Entry = $66,200 - $63,000
Adjusting Entry = $3200
Answer:
$12
Explanation:
Equilibrium price is price at the point where quantity supplied equals the quantity demanded.
Please check the attached image for a table showing how equilibrium was found
Answer:
The markup calculated as a result of information about the elasticity of demand
Explanation:
As a monopoly seller of pharmaceutical products the price set as markup would be above our marginal cost.
There are three facts about markup:
1. The Markup is not to be a price below marginal cost of the pharmaceutical product.
2. Markup is smaller when demand is more elastic. Remember if the price elasticity of demand is lower than 1, (negative) a rise in price causes an
increase in revenue for the seller.
Therefore having a -4 elasticity of demand could imply more profits for the firm.
Answer :
The owners of a corporation are the __________ (shareholders of the company, board of directors, or management team members). The primary goal of the corporate management team is to (minimize or maximize) the shareholder's wealth by __________ (minimizing or maximizing) the company's (employee retention and efficiency, company's stock price, or company's production costs) over the long run.
Explanation :
Shareholders are the primary owners of the company who have company's common stock with expectation on their investment in form of dividends and share appreciation.
The primary goal of the corporate management team is to maximize the wealth of their principal (shareholders) who have entrusted them with their fortunes .
Shareholders' wealth maximization objective is achieved when management team invest in a viable project or reduce the operating costs of the company.