Answer:
Your task is to take this <u>demand schedule</u> and construct a graphical representation of the data. In doing so, you determine that as the price of soda rises, the quantity of soda demanded decreases. This confirms the <u>law of supply and demand
.</u>
Explanation:
A demand schedule basically shows us the quantity demanded for a good or service at different price levels.
As the price of a good or service increases, the consumers will be less willing to purchase the good or service, therefore the quantity demanded will decrease. When the price of a good or service increases, this results in a higher opportunity cost for the consumer and a lower consumer surplus.
Inversely, when the price of the good or service increases, the suppliers will be more willing to produce the good or service, therefore the quantity supplied will increase.
Answer:
The correct answer is False.
Explanation:
This statement that, an advantage of FIFO is that it assigns the most recent costs to cost of goods sold and does a better job of matching current costs with revenues on the income statement, is not correct.
Under fifo method the most recent cost is assign to closing not COGS. It is LIFO method (last in first out ) in which the most recent costs is assign to cost of goods sold. Under the fifo method cost that is incurred first is charged first to COGS.
Answer:
The correct answer is B. an oligopoly.
Explanation:
An oligopoly is a market structure where there are few relevant competitors and each of them has some capacity to influence the price and amount of equilibrium.
In the oligopoly, competitors have market power, but at a lower level than in the case of monopoly. This, since, instead of having only one bidder, there is a small group of companies.
This means that although each of the companies has an influence on the market price and quantity (they do not take it as given), the freedom to choose the level of these variables is limited by the existence of other competing firms. A special case of oligopoly is the duopoly, where there are only two bidders.
Answer:
Interest expense = $800,000
Explanation:
Given:
Net income = $13,000,000
EBIT = $20,800,000
Tax rate = 35% = 0.35
Find:
Interest expense
Computation:
Net income= (EBIT - Interest expense) × ( 1-tax rate)
$13,000,000 = [$20,800,000 - Interest expense][1-0.35]
20,000,000 = [$20,800,000 - Interest expense]
Interest expense = $800,000
