You need to provide figures for an answer to be calculated.
Empirical Question is a question that can be answered by observing and analyzing the world as it is known:
Answer:
The correct answer is option a.
Explanation:
A budget line represents the maximum possible combination of two goods that can be purchased by an individual by spending all of his income.
George has a weekly income of $50.
He spends this income on donuts and coffee.
The price of a donut is $1 and the price of coffee is $2.50.
As George's income increase to $100, George will be able to afford more coffee and donuts as the price of coffee does not change.
So, the budget line will shift to the right, indicating the increase in the quantity of goods George can afford.
Answer:
Explanation:
The journal entry is shown below:
On January 1, 2017:
Unearned compensation A/c Dr $120,000
To Common stock (4,000 × $3) $20,000
To Paid-in capital in excess of par value $100,000
(Being restricted stock is issued and the remaining balance is credited to the paid-in capital)
On December 31, 2018:
Compensation expenses A/c Dr $30,000
To Unearned compensation $30,000
(Being compensation expenses are recorded)
The compensation expenses is computed below:
= (Fair value of stock) ÷ (number of years)
= ($120,000) ÷ (4 years)
= $30,000
