The cash<span> method accounts for revenue only when the money is received and for expenses only when the money is paid out. On the other hand, the </span>accrual<span> method accounts for revenue when it is earned and expenses goods and services when they are incurred. ... </span>Accrual<span> accounting is the most common method used by businesses.</span>
Answer:
13x ÷ 760 - 13x
Explanation:
The compuatation is shown below:
Data provided in the question
Price per cookie = X
And, the quantity of cookies sold is
q = D(x) = 760 - 13x
Based on the above information, the price elasticity of demand equal to 1 is
We have to use the derivative
D'x = -13
Now the elasticity is
= x. D'x ÷ D(x)
= {x. (-13)} ÷ {760 - 13x}
= 13x ÷ 760 - 13x
I think the answer is D hope this helps!!!:)
Answer:
(i) $240, (ii) will buy, (iii) will not buy, (iv) True
Explanation:
(i)
Actuarially fair price = 2% of $12,000
= (2 / 100) * $12,000
= $240
(ii)
will buy insurance because now the price of insurance is $240 which was $2,880(i.e 72000 × 4% ) previously for drivers with $56,000 in the bank i.e now the price of insurance is reduced so the drivers will buy the insurance.
will not buy insurance because now the price of insurance is $240 which was $140 (i.e 3,500 × 4%) previously for drivers with 3,500 in the bank i.e now the price of the insurance is increased so the drivers will not buy.
True because at the actuarially fair price of $240, the drivers with $3,500 in bank will not voluntarily purchase the insurance.
Answer:
option (B) $20,000
Explanation:
Data provided in the question:
Existing balance in Allowance for Bad Debts account = $9,000
Estimate of uncollectible accounts = $11,000
Now,
Amount of Bad debts expense reported on the income statement will be
Existing balance in Allowance for Bad Debts account $9,000
Add: Estimate of uncollectible accounts $11,000
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Amount of Bad debts expense reported on the income statement = $20,000
Hence,
The correct answer is option (B) $20,000
