Answer:
This is the sample answer
Explanation:
After a natural disaster, such as a major hurricane, there is increased demand for gasoline, lumber, bottled water, clothing, and other essential goods as people try to replace and rebuild what was lost. At the same time, the supply of these goods likely decreases because of disruptions to factories and transportation. Under normal market conditions, producers would raise their prices at the first sign of trouble, both to offset their own losses from the disaster and to obtain optimal profits.
However, people who have lost everything need to start rebuilding as soon as possible at a price they can afford to pay. The sooner the community is rebuilt and back to normal, the sooner the local economy will return to normal for both consumers and producers. For this reason, I think the government should introduce price ceilings on essential goods during a disaster. Many people would not be able to buy the goods they need without price ceilings. Although producers lose out on maximizing their profits, their actual losses are limited because they are allowed to raise prices to cover production and transportation costs driven up by the disaster.
Because citizens benefit so greatly from them, I think emergency price ceilings are beneficial to the economy as long as producers do not suffer significant losses from them.
Answer: See explanation
Explanation:
1. Calculate the profit margin
Profit Margin = (Net Income/Net Sales) × 100
Profit Margin = (4,500,000/13,800,000) × 100
Profit Margin = 3.26 × 100
Profit margin = 32.6%
2. Calculate the basic earnings power.
Gross Profit Margin:
= Gross Profit/Net Sales × 100
= (8,700,000/13,800,000) × 100
= 6.304 × 100
= 63.04%
3. Calculate the return on assets.
Return on assets= Net income/Total asset
= 4,500,000/53,800,000
= 0.0836
= 8.36%
4. Calculate the return on equity.
Return on equity = Net income/Equity
= 4,500,000/22,300,000
= 0.2017
= 20.17%
5. Calculate the dividend payout.
Dividend payout = Dividend/Net income
= 2,500,000/4,500,000
= 0.556
= 55.6%
Answer:
620 Unfavorable
Explanation:
Given that,
Direct materials (Standard Quantity) = 2.0 pounds
Direct materials (Standard Price) = $7.75 pounds
Units produced by company = 6,800
Materials quantity variance
:
= (standard quantity - Actual quantity) × standard price
= [(2.0 × 6,800) - (17,100 - 3,420)] × $7.75
= (13,600 - 13,680) × $7.75
= 620 Unfavorable
Answer:
$3,000 understated
Explanation:
The computation of the working capital in case of no correcting entries made is shown below:
= Depreciation Expense for 2020 - depreciation expense for year 2021 - ending inventory for 2021
= $18,000 - $6,000 - $9,000
= $3,000 understated
While there is no additional errors occurred and no correcting entries passed so in this the $3,000 is understated by above calculation
Answer:
<u>d) objective research</u>
<u>Explanation:</u>
We need to note that mention was made that the research was "<em>Carefully controlled." </em>Been carefully controlled shows that the research has an objective.
Furthermore, measuring the reactions of consumers at different salt levels makes the research factual and thus a decision could be made from the findings.
