Answer:
Retained earnings would be debited and inventory would be credited for $10 million each.
Explanation:
In the given scenario Al Dente Pasta Company overstated its inventory by $10 million.
This is an overstatement of assets of the company.
This also gives an understatement of the retained earnings of the company.
Adjusting entry in 2022 will now require Retained earnings would be debited and inventory would be credited for $10 million each.
Answer:
c. increasing; $62.5
Explanation:
The computation is shown below;
As we know that
Multiplier = 1 ÷ 1 - MPC
= 1 ÷ 1 - 0.75
= 1 ÷ 0.25
= 4
Now if the equilibrium GDP is $250 billion less than the expected level of GDP
So, the government spending would be increased by
= $250 billion ÷ 4
= $62.5
Hence, the correct option is c.
<h3>The short-run aggregate supply curve shows the relationship between the price level and aggregate expenditure
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Explanation:
A short-run aggregate supply curve (SRAS) is a graphical model that shows the positive relationship between aggregate price level and aggregate production amount supplied in an economy. The short-run aggregate supply curve is sloping upward as the supplied quantity increases as the prices increase.
The short-run aggregate supply curve captures the relationship between the actual output and the price level. True production becomes bigger as the price level increases. As the price level decreases, actual production decreases too.
Answer:
Capital is an important factor of production because it's what allows labor and land to be purchased.
Explanation:
capital can be the money that companies use to buy resources, as well as the physical assets companies use when producing goods or services, such as factories and machinery.
Answer:
Manufacturing-related production costs are initially recorded as expenses
Explanation:
Cost is defined as an amount that has to be paid or spent to buy or obtain something. Cost can be specific, like, "What is the cost of a particular product?" or it can be a penalty, like consider the cost of missing the event.
Expenses sounds similar to that of cost: an amount of money that must be spent especially regularly ro pay for something.
Manufacturing cost are considered to as those that are spent to transform materials into finished goods. Manufacturing costs include direct materials, direct labor, and factory overhead.
Manufacturing cost are also known as factory cost or production cost