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Crank
3 years ago
12

Suppose French chocolate soufflé is an inferior good. When income increases and the number of producers in the market decreases

__________.a) The equilibrium price of French chocolate soufflé falls and the equilibrium quantity of French chocolate soufflé rises b) The equilibrium price of French chocolate soufflé falls and the equilibrium quantity of French chocolate soufflé may rise or fall c) The equilibrium price of French chocolate soufflé falls and the equilibrium quantity of French chocolate soufflé falls
Business
1 answer:
Vadim26 [7]3 years ago
4 0

Answer:

d) The change to the equilibrium price of French chocolate souffle is ambiguous and the equilibrium quantity of French chocolate souffle falls

Explanation:

Inferior goods are those goods whose demand falls with the rise in the income of the consumer.

As per the given case, French chocolate souffle is an inferior good. When income of the consumer rises, his demand for French chocolate souffle will fall.

Similarly, when producers of such an inferior good decrease, the supply of French chocolate souffle shall fall.

With respect to the original equilibrium level, the demand curve shall experience a leftward shift i.e decrease whereas the supply curve too experiences a leftward shift i.e supply falls.

At the new equilibrium level, definitely the equilibrium quantity shall fall, but the change in equilibrium price cannot be ascertained as per the given information.

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Greenspan Supply does not segregate sales and sales taxes at the time of sale. The register total for March 16 is $11,880. All s
mihalych1998 [28]

Answer:

$880

Explanation:

Sales excluding sales tax 

11880/(1+0.08)

11880/1.08

= $11,000

Sales tax payable =

Total sales including sales tax - Sales excluding sales tax

= $11,880 - $11,000

= $880

Therefore, sales tax payable is $880

4 0
3 years ago
On January 1, 2019, Brooks, Inc., borrows $90,000 from a bank to purchase machinery. Brooks signs a 5 percent installment note r
klasskru [66]

Answer:

A Journal entry for Brooks Incorporation on January 1, 2019 which is shown below

Explanation:

Solution

Given that:

           JOURNAL ENTRY FOR BROOKS INCORPORATION

Date               General Journal Debit Credit

Jan 01 2019                Cash        90000

                               Notes Payable          90000

Thus

A Journal entry was recorded for Brooks Incorporation.

Here, the cash of $90,000 was recorded at the debit side of the Journal.

While the notes payable of $90,000 was also recorded on the credit side

7 0
3 years ago
The following balances were taken from the general ledger of Doogie Corporation as of December 31. All balances are normal. Cash
love history [14]

Answer:

Please refer to the attached

Explanation:

Please refer to the attached.

Note that in trial balance Debit side must always be equal to debit side

7 0
3 years ago
How would a sale of $400 of inventory on credit affect the balance sheet if the cost of the inventory sold was $160
dimaraw [331]

Answer:

the journal entries used to record this transaction are:

Dr Accounts receivable 400

    Cr Sales revenue 400

Dr Cost of goods sold 160

    Cr Inventory 160

This transaction will increase net income, which increases retained earnings by $240. It will also increase assets by $240, since accounts receivable increases by $400, but inventory decreases by $160.

5 0
3 years ago
When the demand for the economy is expanding, the demand for loanable funds will ________.
nikklg [1K]

When the demand for the economy exist expanding, the demand for loanable funds will increase.

<h3>What is Demand?</h3>

The quantity of a good that consumers are willing and able to buy at various prices at a specific time period and location is known as the demand. The demand curve is another name for the relationship between price and quantity demand. Demand is just a consumer's desire to buy products and services immediately and to pay the price associated with them. Demand can be defined as the quantity of things that consumers are prepared and willing to purchase at various prices within a specific time frame.

Loanable funds are all the resources that individuals and organizations in a given economy have chosen to set aside and lend to investors rather than use for their own needs. Savings are the source of the loanable funds available. It is predicated on borrowing that loanable funds are in demand. The real interest rate and the amount of loans made depend on how the supply of savings and the demand for loans interact.

Hence, When the demand for the economy exist expanding, the demand for loanable funds will increase.

To learn more about Demand refer to:

brainly.com/question/1245771

#SPJ4

7 0
1 year ago
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