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3 years ago

If a product's demand rises as income rises, ceteris paribus, the product is

Business

1 answer:

Morgarella [4.7K]3 years ago

7 0

Answer:

The answer is D because...

Explanation:

if you think about it if the income is rising and so is the products demand then it would be considered an inferior but then it says "ceteris parbus, the products is..." then the name of that would onesty be D

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Minden Company introduced a new product last year for which it is trying to find an optimal selling price. Marketing studies sug

Varvara68 [4.7K]

Answer:

P = 38

Q = 95,000

max profit: 2,310,000

Explanation:

cost: 540,000 + 40Q

marginal cost: dC/dQ = 40

based on the current price and sales and the marketing studies we build for the inverse demand function:

Q = aP + b

if P = 70 then, Q = 15,000

if P = 68 then, Q = 20,000

-2P = + 5,000Q

-1P then, 2,500 Q

15,000 = -2,500(70) + b

b = 190,000

so Q = -2,500P + 190,000

revenue; P x Q

P x (-2,500P + 190,000)

-2,500P2 +190,000P

marginal revenue: dR/dQ = -5,000P + 190,000

max profit at MR = MC

40 = 190,000 - 5,000P

189,960 / 5,000 =37.992‬ = 38

Q = -2,500(38) + 190,000 = 95,000

Profit:

(70 - 40) 95,000 - 540,000 = 2,850,000 - 540,000 = 2,310,000

7 0

3 years ago

When searching for research on line, one should make sure the information is _________________ to your topic?

stich3 [128]

Relevant, you don't want information that has nothing to do w to your topic

5 0

3 years ago

The team act was introduced in congress to explicitly outlaw labor-management committees that do not seek to negotiate collectiv

liberstina [14]

The statement above is TRUE.
The TEAM Act was enacted by the congress in 1995 in order to exclude labor management committee which are not interested in collective bargaining agreements. The Act allows employees and managers to address matters of mutual interests.

5 0

3 years ago

Wildhorse Corporation enters into a 6-year lease of equipment on December 31, 2019, which requires 6 annual payments of $40,100

olga55 [171]

Answer:

31-Dec-19

Dr. Lease receivables $ 180,498

Cr. Sales revenue $180,498

Dr. Cost of goods sold $ 170,000

Cr. Inventory $ 170,000

Explanation:

The lease is recorded on the present value of all the payment to be made in the future.

We will use the present value of annuity formula

Present value of Lease = P [ ( 1 - ( 1 + r )^-n ) / r ]

where

P = annual payment = $40,100

r = implicit rate = 11%

n = numbers of payments = 6 payments

Placing values in the formula

PV of Lease = $40,100 x [ ( 1 - ( 1 + 11% )^-6 ) / 11% ] = $169,645

Now calculate the present value of guarantee residual value

PV of guarantee residual value = $20,300 x ( 1 + 11%)^-6 = $10,853

Fair value of lease = Present value of Lease payment + Present value of guarantee residual value

Fair value of lease = $169,645 + $10,853 = $180,498

Cost of equipment will be recorded in the cost of goods sold and Inventory as well.

We will pass two separate journal entries first to record the lease receivable and second to record the cost of the equipment.

3 0

3 years ago

GG Inc. uses LIFO. GG disclosed that if FIFO had been used, inventory at the end of 2021 would have been $16 million higher than

g100num [7]

Answer:

In a situation where FIFO had been used, its reported net income for 2020 would have been $12 million higher than using LIFO for its financial statements.

Explanation:

The Ending Inventory of 2020 would have been $16 million higher in a case where FIFO had been used.

Hence, The Higher ending inventory will tend to means the lower cost of goods sold as well as the higher income which means that if FIFO had been used,the income of 2020 would have been higher by $16 million.

Income tax rate = 25%

The first step is to calculate for the Increase in Income tax expense

Using this formula to calculate for the Increase in Income tax expense

Increase in Income tax expense = Increase in Income x Income tax rate

Let plug in the formula

Increase in Income tax expense= 16 x 25%

Increase in Income tax expense= $4 million

The second step is to calculate for the Increase in Income net income

Using this formula

Increase in net income = Increase in income - Increase in Income tax expense

Let plug in the formula

Increase in net income = 16 - 4

Increase in net income = $12 million

Therefore in a situation where FIFO had been used, its reported net income for 2020 would have been $12 million higher than using LIFO for its financial statements.

3 0

3 years ago