Answer:
The expenses can be recorded as follows;
Debit to the expenses of $33,000 and a credit to the cash account of $33,000.
Explanation:
The accounting equation is an equation that tends to balance a company's assets on one side and the sum of its liabilities and shareholders equity on the opposite side of the equation. It form the basis for the double-entry system in accounting that includes an accounts debit and credit. The debit is a sum to an amount that is owed, it is usually listed on the left hand-side of an account while the credit is a listing of a sum that is received usually on the right hand side of an account.
In the case of Michael Barry, the accounting equation;
Assets=liabilities+stockholders equity
Assets=$126,000
Liabilities=$74,000
Stockholders equity=$52,000
liabilities+stockholders equity=74,000+52,000=$126,000
The assets equals the sum of the liabilities and stockholders equity.
To record expenses paid of $33,000;
Debit Credit
Expenses $33,000
Cash $33,000
Answer:
Productive; Allocative
Explanation:
The production possibility frontier shows the various combinations of two products that a limited resource.can produce.
So in competitive markets any choice along the PPF shows productive efficiency (where increased production of one good leads to reduced production of the other).
A specific choice by society on the PPF is allocatively efficient (concerned with consumer satisfaction, consumers choose which good will most satisfy them).
A negative externality or spillover cost occurs when the total cost of producing a good exceeds the costs borne by the producer.
- Spillover costs, commonly referred to as "negative externalities," are losses or harm that a market transaction results in for a third party. Even though they were not involved in making the initial decision, the third party ultimately pays for the transaction in some way, according to Fundamental Finance.
- An incident in one country can have a knock-on effect on the economy of another, frequently one that is more dependent on it, known as the spillover effect.
- Externalities are the names for these advantages and costs of spillover. When a cost spills over, it has a negative externality. When a benefit multiplies, a positive externality happens. Therefore, externalities happen when a transaction's costs or benefits are shared by parties other than the producer or the consumer.
Thus this is the answer.
To learn more about spillover cost, refer: brainly.com/question/2966591
#SPJ4
Answer: Increase in demand
Explanation: Change in demand occurs when factors affecting demand other the its price changes. While, a change in quantity demanded occurs when the price of the good changes other things constant. Since, jones cola and tucker cola are substitutes to each other. A rise in the price of jones cola will shift demand towards tucker cola. This, will lead to a rightward shift in the demand curve for tucker cola and an increase in demand for tucker cola.
