Answer:
C. decrease
Explanation:
In the case when the money demand and the money supply model is used so the open market purchase would result the interest rate of equilibrium to decrease as if there is an open market purchase so it rise the money supply due to which the supply curve of the money move shiftward
Therefore the rate of interest should be decreased
Price per piece of material
Answer:
trim its $350 cost.
Explanation:
Target costing starts in the final selling of a good and then the company deducts its desired markup. The result is the target cost of the product. The company then tries to cut production costs in order to reach that target cost.
E.g. the market price is $500
target cost = $500 / 1.7 = $294.12
the company will try to manufacture its product spending just $294.12 per unit
Answer:
a
Explanation:
a insurance premium is your monthly payment
Answer: The depreciation expense that will be recorded for the furniture for the year ended, December 31 is $1,365.
Explanation: The formula for straight-line depreciation method is given below:
(Historical cost minus salvage value) / No of years
- Historical cost is the original purchase price
- Salvage value is the disposable value of the asset
If you put in the information in the question into the formula, you have:
($31,000 - $3,700) / 5 years = $5,460 yearly depreciation
We need to get the depreciation expense as at December 31. This means the yearly depreciation above has to be pro rated for 3 months, as follows:
$5,460 x 3/12 = $1,365.
Entries to be recorded would be Debit Depreciation expense $1,365; Credit Accumulated depreciation $1,365. In most cases, organizations record depreciation expense on a monthly basis.