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zvonat [6]
2 years ago
14

A business would like to invest in a new product, but they are short on extra

Business
1 answer:
pickupchik [31]2 years ago
7 0

Given the scenario described herein, one good solution for the business to invest in a new product when it is short on cash is <u>B. Liquidate some inventory to increase cash flow.</u>

<h3>What is Cash?</h3>

In accounting, cash includes bills, coins, bank balances, money orders, and checks. Cash is the first item in most balance sheets, especially if the company is reporting liquidity.  Cash happens to be the most liquid of all assets. Cash also includes cash equivalents, which are assets readily converted into cash.

Thus, the company does not need to raise prices, fire employees, or cut wages to raise cash.  It can liquidate some inventory at lower prices if necessary.

Learn more about meeting cash requirements at brainly.com/question/735261

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During a pandemic, goods and services may become scarce as a result of: A. Unwillingness to purchase goods and services due to f
lions [1.4K]

Answer: D. Restrictions on travel into and out of affected areas.

Explanation:

Restrictions on travel in and out of affected areas can lead to Scarcity in a Pandemic because there is no free movement of labour and capital.

With borders shut down, goods that were normally imported will suddenly become very hard to acquire because getting them through travel bans is very hard and in most cases, impossible.

Also affected are services as, for instance, the people who provided such services might live in or come from the place they provide said service to. Getting into those areas might prove too cumbersome a task thereby limiting Service provision.

Looking at the current Corona Virus Pandemic that has seen the most extensive Travel Restrictions by Countries in recent times and looking at the Scarcity being suffered by those same countries, drawing the conclusion that the Scarcity is as a result of an impediment to free movement of Goods and Services is most logical.

4 0
3 years ago
Read 2 more answers
Deferral adjustments are needed when the business:_______
Mnenie [13.5K]

Answer: b. pays cash before the expense has been incurred.checked

d. receives cash before the revenue has been generated

Explanation:

Here is the complete question:

Deferral adjustments are needed when the business:

a. pays cash after the expense has been incurred.unchecked

b. pays cash before the expense has been incurred.checked

c. receives cash after the revenue has been generated.unchecked

d. receives cash before the revenue has been generated.

Adjustments are made during the end of every accounting period in order to report the revenues and the expenses in proper period at which they occur and also in order to report the assets and the liabilities at their appropriate amounts.

Deferral adjustment is when the revenue or the expense has been deferred or postponed and will therefore be reported on the income statement at a later period.

Previously deferred amounts will show on the balance sheet when a company pays cash before having to incur the expense or in a case whereby the company gets and collects cash before earning the revenue.

When revenues are made or when expenses are incurred, the previously deferred amounts will have to be adjusted and then, the amounts will be transferred to income statement through the use of the deferral adjustment.

5 0
3 years ago
Which is true of output-choice models of oligopoly behavior?
brilliants [131]
B SHOULD BE THE CORRECT
8 0
3 years ago
The aggregate demand curve shows the relationship between inflation the price level the money supply interest rates and producti
victus00 [196]

Answer:

The correct answer is option a.

Explanation:

The aggregate demand curve shows the demand for goods and services by the economy as a whole. It comprises of consumption expenditure, government expenditure, investment expenditure, and net exports.  

The aggregate demand curve in the short run is downward sloping because an increase in the price level reduces the real money holdings. It reduces purchasing power. So the amount of expenditures gets reduced as well.

3 0
2 years ago
A preferred share of Coquihalla Corporation will pay a dividend of $8 in the upcoming year and every year thereafter; that is, d
ki77a [65]

Answer:

Intrinsic value is $114.30

Explanation:

Given:

Dividend paid = $8

Required rate of return = 7% or 0.07

There is no growth in dividends.

Calculate price of preferred share using DDM as shown below:

Price of preferred share = Dividend paid ÷ Required rate of return

                                          = 8 ÷ 0.07

                                          = $114.28 or $114.3

Therefore, price of preferred share is $114.30

6 0
3 years ago
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