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3 years ago

Juan buys gas at the gas station. The gas station submits funds for road maintenance. What type of tax is this? (5 points)

Business

1 answer:

prisoha [69]3 years ago

6 0

Answer:

Indirect taxes

Explanation:

Indirect taxes are the taxes levied on transactions as opposed to direct taxes that are imposed on incomes. An indirect tax is added to the prices of goods and services and collected by the seller or retailer. The retailer acts as the tax intermediary and submits the taxes collected to the government.

Examples of Indirect taxes include excise duty tax, value-added tax, and sales tax. Gas attracts sales tax and road maintenance tax. These taxes increase the price of gas, making them indirect taxes.

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On April 1, Lewis Company paid $14,400 for two years of insurance in advance. Lewis Company recorded the transaction by debiting

Dominik [7]

Answer:

31 Dec Expense A/c Dr. $5,400

To Prepaid Expense A/c $5,400

(Therefore, expense for the current financial year recorded)

Explanation:

We know that at the time of insurance paid in advance on 1 April for 2 years, entry was;

Prepaid Insurance A/c Dr. $14,400

To Cash A/c $14,400

Now at year end the expense relating to current period shall be recognized properly in the books, so that matching principle of revenue against expenses shall be matched.

Thus, period from 1 April to 31 December = 9 months

Expense for 9 months = $14,400 \times \frac{9}{24} = 5,400$

That means expense for the year = $5,400

Therefore, entry for such recording will be:

31 Dec Expense A/c Dr. $5,400

To Prepaid Expense A/c $5,400

(Therefore, expense for the current financial year recorded)

6 0

3 years ago

Boersma Sales , Inc., a merchandising company, reported sales of 7100 units in September at a selling price of $682 per unit. Co

Doss [256]

Answer:

$2,122,900

Explanation:

Calculation to determine what The Gross margin for September was

First step is to determine the variable costs

Variable costs= (317 * 7,100) + (44*7,100) + (22*7,100)

Variable costs= 2,250,700 + 312,400 + 156,200

Variable costs= $2,719,300

Now let determine the Gross margin

Using this formula

GM=Sales-VC

Let plug in the formula

Gross margin = (682 * 7,100) - 2,719,300

Gross margin = $2,122,900

Therefore The gross margin for September was:$2,122,900

3 0

3 years ago

For each of the following scenarios, identify the number of firms present, the type of product, and the appropriate market model

marshall27 [118]

Answer:

Number of Firms - many

Type of Product - differentiated

Market Model - monopolistic competition

Number of Firms - many

Type of Product - standardised

Market Model - perfect competition

Number of Firms - few

Type of Product - standardised

Market Model - oligopoly

Number of Firms - one

Type of Product - unique

Market Model - monopoly

Explanation:

A perfect competition is characterized by many buyers and sellers of homogenous goods and services. Market prices are set by the forces of demand and supply. There are no barriers to entry or exit of firms into the industry. In the long run, firms earn zero economic profit. If in the short run firms are earning economic profit, in the long run firms would enter into the industry. This would drive economic profit to zero.

Also, if in the short run, firms are earning economic loss, in the long run, firms would exit the industry until economic profit falls to zero.

A monopolistic competition is when there are many firms selling differentiated products in an industry. A monopoly has characteristics of both a monopoly and a perfect competition. the demand curve is downward sloping. it sets the price for its goods and services.

An example of monopolistic competition are restaurants

A monopoly is when there is only one firm operating in an industry. there are usually high barriers to entry of firms. the demand curve is downward sloping. it sets the price for its goods and services.

An example of a monopoly is a utility company

An Oligopoly is when there are few large firms operating in an industry. While, a monopoly is when there is only one firm operating in an industry.

Oligopolies are characterised by: