Answer:
C) does not have a close substitute.
Explanation:
A monopoly is a market structure where there is only a single seller but many buyers. The seller therefore has more bargaining power over buyers and is therefore the price maker; a monopolist decides and sets the price of the product. Since there is only one seller, it means that the good does not have close substitutes. However, a multi-product monopolist could sell goods or services that are close complements.
Answer:
See below
Explanation:
1. Corrected amounts for 2020 cost of goods sold
= Cost of goods sold for 2020 - December 31, 2019 ending inventories overstated + December 31, 2020 ending inventories overstated
= $1,322,900 - $106,470 + $36,820
= $1,253,250
2. Correct amounts for December 31, 2020 retained earnings
= Retained earnings December 31, 2020 - December 31, 2020 ending inventories overstated
= 4,854,000 - $36,820
= $4,817,180
Answer:
Explanation:
Failure of credit customers to pay their bills is considered a bad debt in Accounting. This is recored as a bad debt expense in journal entries in the <em>period when the credit sale occurred</em>. This ensures that these bad debt expense matches the revenues earned during that period. In a company's financial statements, bad debt expense is recorded in the Income statement as <em>selling expenses.</em>
Complete Question:
The market system:
A. produces considerable inefficiency in the use of scarce resources.
B. effectively harnesses the incentives of workers and entrepreneurs.
C. is not consistent with freedom of choice in the long run.
D. has slowly lost ground to emerging command systems.
Answer:
B. effectively harnesses the incentives of workers and entrepreneurs.
Explanation:
An economic system can be defined as a series of governmental or societal arrangements and a coordinating mechanism used for the allocation of available resources, economic inputs, goods and services across a particular country. The economic system differs according to the method used to coordinate economic activities and who the factors of production belongs to.
Generally, there are basically two (2) main types of economic systems and these are;
1. Command systems.
2. Market systems.
The market system effectively harnesses the incentives of workers and entrepreneurs because workers are able to engage in division of labor and are well compensated for their efficiency in service while the entrepreneur are usually rewarded with an increase in sales and profits.
The market system allows participants to have property rights such as trademarks, patents and copyright. Also, market systems are regulated by the competition among individuals (traders or entrepreneurs) and this gives direction to the market as they pursue self interests and are independent.
Explanation:
The product cost is the cost that have incurred related to the product. It involves direct material cost, direct labor cost, and the manufacturing overhead account
And, the period cost is the cost which includes the major part of the selling and administrative expenses and is incurred as the time passes
So, the categorization is shown below:
a. Salaries of scientists studying ways to speed forest growth. = Period cost
b. Cost of computer software to track WIP Inventory. = Product cost
c. Cost of electricity at the paper mill. = Product cost
d. Salaries of the company’s top executives. = Period cost
e. Cost of chemicals to treat the paper. = Product cost
f. Cost of TV ads. = Period cost
g. Depreciation on the manufacturing plant. = Product cost
h. Cost to purchase wood pulp.= Product cost
i. Life insurance on the CEO. = Period cost
