Answer: C. shift right/ out because tobacco production will become profitable.
Explanation:
Subsidies reduce the cost of using something because the government would sponsor it. The cost of farming tobacco will therefore reduce in this instance. Tobacco companies will therefore incur less cost to acquire tobacco and so will start making more profit.
This will encourage other firms to come into the tobacco market as time goes on. As more firms enter, there will be a larger supply of tobacco. The supply curve will then shift right to depict this.
False I think so but I’m not really sure I’m sorry
Answer:
The correct answer is: rise; Shift the long-run aggregate supply curve to the left (letter "C").
Explanation:
The supply curve portraits the interaction between the price of a good or service and the quantity supplied. The higher the price, the lesser the quantity provided will be and vice versa. In the graph, the price appears in the vertical axis while the quantity in the horizontal axis. If higher the price, the curve will move to the left. If higher the quantity, the curve will move to the right.
In the example, as the wages (<em>price</em>) will be higher, the number of jobs offered (<em>quantity</em>) will decrease, causing the unemployment rate to increase. As high as the wages are in the long term, they will drag the supply curve to the left in the graph.
Answer:
Debit Salaries payable $31,000; credit Cash $31,000
Explanation:
As we know that
The journal entry to record the payment is
Salary payable $31,000
To Cash $31,000
(being the cash is paid)
For accrual of salary we debited the salaries expense and credited the salary payable as it increased the both expenses and liabilities account
But since we have to pass the journal entry on Jan 3 so we pass the journal entry which is shown above
Answer:
No, the investment is not increased in any accounting method so it must not be increased.
Explanation:
The reason is that in the cost method, the investment remains the same because the return is treated as income.
In the held for trading, the return received is treated as decrease in the investment because the dividend received decreases the fair value of the investment. Similarly in the equity method the dividend received is treated as cash withdrawal or we can say that dividend received decreases the fair value of the investment.