Answer:
Yes, it can be asserted that willingness to pay under these circumstances can be reconciled with the profit goal of a business in a free enterprise system.
Explanation:
There are three possible implications of the oversight of the subcontractor to submit a bill as follows:
1. The subcontractor may not have forgotten to submit the bill but the small business owner pays $15,000: Under this, the fact that the subcontractor has not submitted the bill does mean he has actually forgotten the legal obligation of the small business to pay. If the small company does try to fall through, it can raise suspicions the small business.
2. The subcontractor may truly have forgotten to submit the bill and the small business owner pays $15,000: Under this case, a feeling of an obligation to pay $15,000 will create a great and positive impression on the part of the subcontractor about the small business owner. This will subsequently result in a further favourable business interactions between the small business owner and the subcontractor.
3. The subcontractor may truly have forgotten to submit the bill and does pay any amount: Under this case, the subcontractor will have a wrong impression about the small business owner when the subcontractor eventually remembers he is yet to submit the bill. The attendant negative results will be loss of integrity, loss of more future business opportunities, and among others.
Conclusion
From the explanation above, it can therefore be asserted that willingness to pay under these circumstances can be reconciled with the profit goal of a business in a free enterprise system. This is because by doing the right thing, more positive impression will be created over time.
This type of competition is called the pure competition. Sellers would always base their products to the buyers' perceptions of the benefits of the products offered by particular companies. In pure competition, the sellers would always see to it that their customers will be satisfied with their products or else the customers would be shifting to the other company.
c is my answer to your question
Explanation:
and and I don't know if it's right or wrong
Answer:
Total current assets = $697,750
Explanation:
The partial balance sheet is as follows:
Waterways Corporation
Balance Sheet (Partial)
For the month of November 2016
<u>Details $ $ </u>
<u>Current Assets</u>
Cash 260,000
Accounts Receivable 275,000
Finished Goods Inventory, November 68,800
Raw Materials Inventory, November 52,700
Prepaid Expenses <u> 41,250 </u>
Total current assets 697,750
Note:
Cash is the most liquid of assets.
Accounts receivable which should be collected within 30 to 60 days are less liquid than cash, but more liquid than inventory.
Finished Goods Inventory which is expected to be sold and converted to cash within one year, and Raw Materials Inventory which is expected to be converted to finished good within one year are more liquid than Prepaid expense.
Therefore, the least liquid among current assets’ item above is the Prepaid Expense as it is cash paid for services not yet received..