Answer:
The answer is given below;
Explanation:
Highlight Construction Company
Summarized Income Statement
For the year December 31, 2014
Amount in $
Sales Revenue 117,000
Expenses (86,200)
Net Income before taxes 30,800
Income Tax Expense (30,800*30%) (9,240)
Net Income <u>21,560</u>
As per requirement of the question, only summarized income statement is prepared.
Answer:
"Inflation" implies that pressure for price increases reaches across "most" markets, not just one.
Free enterprise is when people enjoy many economic freedoms. Having this in mind, the situation that best reflects the concept of free enterprise is the first choice - consumers have a choice between two bakeries in a single city block.
Number one has the lowest government involvement and number four has the highest.
1. Market economy - In a market economy, the government has very little to do with the decisions regarding investment, production and distribution. Instead, these ideas come from the supply and demand that consumers create.
2. Mixed economy - A mixed economy companies private and public enterprises which has some government influence.
3. Socialist economy - A socialist economy is control by the government but still allows small ownership of productions and some say from individuals.
4. Communist economy - Controlled by the government with no influence from the public. Not a democratic society at all.
