<span>For a producer surplus of $180 coming from sales of 12 units, this would be the result from (180 / 12), or $15 per purse. Taking the cost she has to pay for each unit, $35, and adding the $15 surplus to each, this leads to a sale price of (35 + 15), or $50 per purse.</span>
Answer:
The method the parent use will have no effect on consolidated total because it is only for internal reporting purpose.
Explanation:
Paar's equipment book value—12/31/15 of $294,000
Add Kimmel's equipment book value—12/31/15 of $190,400
Add Original acquisition-date allocation to
Kimmel's equipment of ($400,000 − $272,000) = $128,000
Less Amortization of Allocation
($128,000/10 years * 3 years) = ($38,400)
<h3>
Equals Consolidated Equipment of $574,000
</h3>
The method the parent use will have no effect on consolidated total because it is only for internal reporting purpose.
FALSE. A company's code of ethics or code of business conduct describes how the leaders must behave, not the employees.
Answer:
1. Cash: decreases
Investment : increases
By 144,000= 12000×12
2. Cash: increases
Income : increases
By 24000= 2×12000
3. No effect
4. Cash: increases by 159000
Investment : decreases by 144000
Profit: 15000
Answer:
Option (b) is correct.
Explanation:
If the federal reserve increases the interest rate on the bank deposits at Fed then as a result the banks will tend to hold more excess reserves as it will be more profitable for them to hold more reserves at Federal reserve.
If the amount of reserves increases then as a result the money multiplier falls.
Money multiplier = 1/ Reserve requirement ratio
Hence, an increase in the reserves will lead to decreases money multiplier.