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3 years ago

True or False: With the export subsidy, domestic producers will sell steel to domestic consumers and sell the rest abroad.

1 answer:

4 0

The answer to the question of whether the export subsidy would make domestic producers sell steel to domestic consumers and sell the rest abroad is:

False because the domestic producers would not want to sell at a lesser price than what they would have sold abroad.

<h3>What is Export Subsidy?</h3>

This refers to the government policy which is meant to discourage export of goods with the aim of regulating the economy which usually leads to the increase in the amount of customer surplus in the market.

With this in mind, we can see that the export subsidy has to do with the increase in domestic price whereby there is a higher cost for exports for producers.

Read more about export subsidy here:
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Corporations are owned by __________.

USPshnik [31]

C. Stockholders. They buy parts of the company

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3 years ago

Read 2 more answers

why do consumers make a choice by looking at both the marginal utility (mu) and the price for a product (mu/p) rather than just

vladimir2022 [97]

Consumers always try to equate marginal utility of a good to its price which is a marginal cost of consumption.

<h3>What is marginal utility and why consumers make a choice by looking at both mu and price?</h3>

So economically a utility is a kind of benefit that a consumer gets by buying a product of choice.
Now marginal utility is the benefit one gets by buying an additional unit of consumption except the first product bought.
Here the question is asked about the consumer taking notice of both marginal utility and price while buying goods.
Hence consumers watch for the marginal utility and price of the good both to equate the marginal utility to its price which is a marginal cost of consumption.

To know more about marginal utility visit:

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3 0

2 years ago

The manager reported the following information: Budgeted total direct-labor costs $14,000,000 Budgeted total indirect-labor cost

Vinil7 [7]

Answer:

budgeted direct-labor rate= $700 per direct labor hour

Explanation:

Giving the following information:

Budgeted total direct-labor costs $14,000,000

Budgeted total direct-labor hours 200,000

To determine the direct-labor cost rate, we need to use the following formula:

budgeted direct-labor rate= total amount of direct labor cost/ total amount of direct labor hours

budgeted direct-labor rate= 14,000,000/200,000= $700 per direct labor hour

8 0

3 years ago

During its first year of operations, a company has credit sales of $250,000 and cash sales of $100,000. By the end

Luba_88 [7]

Answer:

Debit : Bad Debts = $4,200

Credit : Allowance for doubtful debts = $4,200.

Explanation:

The question states that bad debts are expected to be 6% of the accounts receivables. Credit sales were $250,000 of which $180,000 was collected. Hence, accounts receivables is ($250,000 - $180,000) = $70,000.

This means that the allowance for doubtful debts is it is: $70,000 x 6% = $4,200.

An account for allowance for doubtful debts is a contra account created, predicting that certain debtors will not be able to pay for the goods and services they purchased. The 6% may be based on historical experiences. Doubtful debts aren’t officially uncollectible, it is simply an estimation made, but bad debts are, where you have officially written off a certain accounts receivable as uncollectible.

An allowance for doubtful debts is recorded in the balance sheet, directly under accounts receivables. Bad debts are recorded as an expense in the income statement.

The entry to record the above transaction is:

Debit : Bad Debts = $4,200

Credit : Allowance for doubtful debts = $4,200.

When the amount is officially declared uncollectible, the allowance for doubtful debts account will be debited and the accounts receivables account will be credited.

5 0

3 years ago

Havermill Co. establishes a $450 petty cash fund on September 1. On September 30, the fund is replenished. The accumulated recei

alexdok [17]

Answer:

Dr Petty cash $312

Cr Cash $312

Explanation:

Preparation of the journal entry to record the reimbursement of the fund on September 30

Since we were told that Havermill Co. establishes the amount of $450 as petty cash fund on September 1 in which the fund also had a balance of $138 which means the Amount required for reimbursement of the fund will be:

Amount required for reimbursement of the fund = The Beginning balance - The Remaining balance

Amount required for reimbursement of the fund = 450 - 138

Amount required for reimbursement of the fund = $312

Therefore the journal entry to record the reimbursement of the fund on September 30 will be :

September 30

Dr Petty cash $312

Cr Cash $312

3 0

3 years ago