Answer: According to the principle of comparative advantage, worldwide output and consumption will be higher when nations specialize in the production of those goods and services "a. they can provide at a lower opportunity costs."
Explanation: The comparative advantage is the ability of a country to produce a good using relatively less resources than another. The theory of comparative advantages says that Each country in question will specialize in what is most efficient. At the same time, it will import the rest of the products in which they are most ineffective in terms of production. Although a country does not have an absolute advantage in producing any good, it may specialize in those goods in which it finds a greater comparative advantage and finally be able to participate in the international market.
Answer:
High context cultures are heavily dependent on non verbal cues and subtle situational cues while communicating with others. In such cultures a person's reputation, prestige, status in society are considerably important.
Explanation:
In high context cultures are complete contrast to low context. In low context cultures, communication takes place clearly through language and rules of communication are clearly stated. While on the other hand in high context cultures, communication is subtle through body language, tone of voice, person's status etc. The use of contextual elements is more.
Answer:
If a company pays more in dividends than it generates in net income, its retained earnings as reported on the balance sheet will decline from the previous year's balance.
Explanation:
The dividend is shown while preparing the retained earning statement. So, it does not affect the net income.
The highly liquid marketable securities does not show a decline in the current assets
If the long term bonds are issued to purchase fixed assets it would show under the long term liabilities and the long term assets rather than the current assets and the current liabilities
Account receivable are reported in the current assets rather than the current liabilities
We know that
The ending balance of retained earning = Beginning balance of retained earnings + net income - dividend paid
If the dividend amount is more than the net income so the ending balance of retained earning will decline than its beginning year balance.
