Business College

Evergreen Company sells lawn and garden products to wholesalers. The company’s fiscal year-end is December 31. During 2021, the following transactions related to receivables occurred:

Feb. 28 Sold merchandise to Lennox, Inc., for $10,000 and accepted a 10%, 7-month note. 10% is an appropriate rate for this type of note.
Mar. 31 Sold merchandise to Maddox Co. that had a fair value of $7,200, and accepted a noninterest-bearing note for which $8,000 payment is due on March 31, 2022.
Apr. 3 Sold merchandise to Carr Co. for $7,000 with terms 2/10, n/30. Evergreen uses the gross method to account for cash discounts.
11 Collected the entire amount due from Carr Co.
17 A customer returned merchandise costing $3,200. Evergreen reduced the customer’s receivable balance by $5,000, the sales price of the merchandise. Sales returns are recorded by the company as they occur.
30 Transferred receivables of $50,000 to a factor without recourse. The factor charged Evergreen a 1% finance charge on the receivables transferred. The sale criteria are met.
June 30 Discounted the Lennox, Inc., note at the bank. The bank’s discount rate is 12%. The note was discounted without recourse.
Sep. 30 Lennox, Inc., paid the note amount plus interest to the bank.

Required:
1. Prepare the necessary journal entries for Evergreen for each of the above dates. For transactions involving the sale of merchandise, ignore the entry for the cost of goods sold.
2. Prepare any necessary adjusting entries at December 31, 2021. Adjusting entries are only recorded at year-end.
3. Prepare a schedule showing the effect of the journal entries on 2021 income before taxes

Answers

Answer 1

Answer:

Evergreen Company

1. Necessary Journal Entries for Evergreen involving the sale of merchandise:

Feb. 28 Debit Notes Receivable (Lennox Inc.) $10,000

Credit Sales Revenue $10,000

To record the sale of goods on credit, terms 10% 7-month note.

Mar. 31: Debit Notes Receivable (Maddox Co.) $8,000

Credit Sales Revenue $7,200

Credit Interest Receivable $800

To record the sale of goods on credit.

Apr. 3 Debit Accounts Receivable (Carr Co.) $7,000

Credit Sales Revenue $7,000

To record the sale of goods with terms 2/10, n/30.

Apri. 11 Debit Cash Account $6,860

Cash Discount Allowed $140

Credit Accounts Receivable (Carr Co.) $7,000

To record the collection on account.

Apr. 17 Debit Sales Returns $5,000

Credit Accounts Receivable $5,000

To record the return of goods on account.

Apr. 30 Debit Cash Account $49,500

Debit Finance Charges $500

Credit Accounts Receivable $50,000

To record the transfer of receivables to a factor without recourse and 1% finance charge.

June 30 Debit Cash Account $8,800

Debit Finance Charges $1,200

Credit Notes Receivable $10,000

To record the discounting of the note at the bank at 12%.

2. Necessary Adjusting Journal Entries at December 31, 2021:

3. A Schedule showing the effect of the journal entries on 2021 income before taxes:

Sales revenue $10,000

Sales Revenue 7,200

Sales Revenue 7,000

Discount Allowed (140)

Interest Receivable 800

Sales Returns (5,000)

Finance charges (500)

Finance charges (1,200)

Explanation:

Finance charge of $500 = ($50,000 * 1%). Factoring accounts receivable enables Evergreen to collect on its accounts receivable before the due date. This usually attracts some finance charges. Sales without recourse means that the factoring company and not Evergreen accepts the risk associated with credit default. Sales with recourse implies that Evergreen retains the risk arising from credit default.

Related Questions

Large businesses depend on small businesses why?

Answers

Answer:

Small businesses can signal emerging trends and needs to large businesses

Beacon Petroleum purchased an operational oil well for $8 million and expects to extract 16 million barrels over the 10-year life of the
well. Beacon estimated the well's salvage value to be zero. What is the firm's cost of goods sold for year 1 if it extracts 2.5 million
barrels of oil and sells 2.0 million barrels of oil?
O $1.00 million
O $1.25 million
O $0.25 million
O $2.25 million

Answers

Answer:1.00 million

Explanation:

When a nation's standards of financial reporting are transparent and effective:
A. the country's laws can be more easily violated.
B. businesses in the country tend to lose profits and resources.
C. businesses are unable to foster good relationships with
customers.
O D. businesses tend to have better access to investor capital.

Answers

Answer:

D, business tend to have better access to investor capital

When a country's financial reporting rules are open and effective, firms have easier access to investor funding. Thus, option (D) is correct.

What is financial reporting?

The term Financial reporting refers to the preparation of the financial statements, which is useful for the organization as well as the outsiders.

Financial reporting is the practice of documenting and discussing financial operations and performance over time periods that are commonly quarterly or yearly.

Financial reports are used by businesses to compile accountancy information and report on their current financial situation.

It is duty of the company to provide the accurate and relevant information to its customers and outside users such as creditors, government agencies, institutions etc.

Firms have greater access to investor money when a nation's monetary reporting regulations are open and effective.

Therefore, it can be concluded that option (D) is correct.

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describe with example the importance of business environment

Answers

Question:

describe with example the importance of business environment

Answer:

Business environment brings both threats and opportunities to a business. Understanding of environment helps the management in future planning and decision making. For example, competition increases with the entry of new firms in the market.

ABC issued callable bonds on January 1, 2018. ABC's accountant has projected the following amortization schedule from issuance until maturity: Date Cash Paid Interest Expense Increase in Carrying Value Carrying Value 1/1/2018 $194,758 6/30/2018 $7,000 $7,790 $790 195,548 12/31/2018 7,000 7,822 822 196,370 6/30/2019 7,000 7,855 855 197,225 12/31/2019 7,000 7,889 889 198,114 6/30/2020 7,000 7,925 925 199,039 12/31/2020 7,000 7,961 961 200,000 ABC buys back the bonds for $196,000 immediately after the interest payment on 12/31/2018 and retires them. What gain or loss, if any, would ABC record on this date (use a minus sign in front of the number if it is a loss)?

Answers

Answer:

Gain $370

Explanation:

Calculation for the gain or loss, if ABC record on this date 12/31/2018

Based on the information given on the amortization schedule, on this date 12/31/2018 the Carrying value was $196,370 while we were still told that ABC buys back the bonds for $196,000 on 12/31/2018

Now let calculate for the gain or loss using this formula

Gain/Loss = Carrying value- Stock bond

Let plug in the formula

Gain/Loss =$196,370-$196,000

Gain/Loss=$370

Therefore if ABC record on this date 12/31/2018, ABC will have a gain of $370

Identify one supply or demand shifting factor that the community could have some control over or do something about

Answers

One supply or demand shifting factor that the community could have some control over is consumer preferences and behaviors.

1. Consumer Education: The community can actively engage in educating consumers about the benefits of certain products or services. By providing information on the positive impacts of choosing certain goods or services, consumers may shift their preferences towards those options, influencing the demand.

2. Marketing and Advertising: Local businesses and organizations can collaborate to promote goods and services that align with the values and preferences of the community. Effective marketing strategies can influence consumer demand and encourage them to choose specific products, thereby shifting the demand curve.

3. Support for Local Producers: Community members can actively support local producers and businesses by purchasing their goods and services. By creating a demand for locally sourced products, the community can influence supply chain dynamics and encourage businesses to cater to their preferences.

4. Sustainable Practices: Promoting sustainable practices within the community can also have an impact on supply and demand. By advocating for eco-friendly products and services, such as renewable energy or ethically sourced goods, the community can create a shift in consumer demand, influencing businesses to adjust their supply accordingly.

5. Collaboration with Local Authorities: The community can collaborate with local authorities to enact policies that align with their preferences. For example, advocating for stricter environmental regulations or supporting initiatives that promote fair trade can influence both supply and demand factors.

By actively engaging in these steps, the community can exert some control over consumer preferences and behaviors, thereby shifting the supply and demand dynamics in their favor.

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Which part of the Business Cycle would this graph represent?

Answers

bust is the correct answer

Please help me asap

Can you fill out the table based on the information below and explain how to?

Answers

To set up a table based on information provided in a spreadsheet, follow the instructions below:

The Steps

Initiate by launching the spreadsheet and then selecting the desired data to be included within the table.

Make it portable by copying the particular piece of data through CTRL+C or Command +C for MAC users.

Subsequently, open any fresh sheet or document to begin working with.

Generate a table via clicking "Insert" option followed by choosing an alternative named “Table,” or accomplish this process using shortcut keys.

Once done, paste the previously copied insertion into newly created tables suing command+V or Ctrl+v.

Organize the columns width while implementing formatting techniques wherever necessary.

It's recommended that one double-checks the table initially formed to guarantee precise transfer of all details from the spreadsheet.

Rinse and repeat these steps as required to create additional tables based on supplied information from spreadsheets.

Answers

The history of the Internet has its origin in information theory and the efforts to build and interconnect computer networks that arose from research and development in the United States and involved international collaboration, particularly with researchers in the United Kingdom and France.

Computer science was an emerging discipline in the late 1950s that began to consider time-sharing between computer users, and later, the possibility of achieving this over wide area networks. Independently, Paul Baran proposed a distributed network based on data in message blocks in the early 1960s, and Donald Davies conceived of packet switching in 1965 at the National Physical Laboratory (NPL), proposing a national commercial data network in the UK

Think back to some of the situations you encountered in the interactive. Which ones were particularly difficult to answer? Why?

Answers

You may bring up several circumstances, for instance: a situation in which you had to deal with several consumer complaints and how you resolved the problem. a period in which you had to put in a lot of time to fulfill a deadline.

A time when you were working on a project and had to cope with a challenging coworker. The hardest part for me was building a strong relationship with my boss. We didn't share the same "blood group" and held divergent views on a number of crucial topics, which led to frequent arguments at work. Now, I don't want to hold them or even myself accountable for the circumstance.

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. Costs that the manager has the power to determine or at least strongly influence are called: Question 5 options: A. Uncontrollable costs. B. Controllable costs. C. Joint costs. D. Direct costs. E. Indirect costs.

Answers

Answer:

B. Controllable costs

Explanation:

There are some costs that are expended by a company during the cost of carrying out their business operations. These costs such as labor costs and marketing budgets are incurred because the company has full authority over them. They are costs that can be altered in short term based on a business decision.

In other words, controllable costs are those costs or expenses that can be influenced by those who are saddled with the responsibilities of incurring them.

In which type of analysis are corporate goals and plans compared with the existing manpower inventory to determine the training needs?
a. Organization analysis
b. Operation analysis
c. Individual analysis
d. None of the above

Answers

Answer:

a. Organization analysis

Which of the following is a non-price determinant of supply?a) production technology.b) the number of sellers.c) all of the answers are correct.d) costs of resources.

Answers

Instead of basing prices solely on corporate taxes or desired profit margins, competitive pricing means strategically choosing your overall costs for your items based on rival pricing.

What does "strategic" actually mean?

crucial to the creation, execution, or fulfillment of a strategic plan. Important to the conduct of war and not easily accessible domestically. strategic assets important to the coherence of the whole or attaining the desired outcome. tactically important points

What what constitutes a strategic choice?

Strategic decision-making is when a business bases its choices on a broad vision for the future of the firm. This strategy frequently entails establishing modest, quantifiable goals that assist the overall mission.

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What condition does Elisa have in amplify

Answers

Answer:

diabetes

Explanation:

i googled it *_*

Answer:

diabetes

Explanation:

Which principle says that 20 percent of customers provide 80 percent of revenue?
The---------- Principle says that 20 percent of customers provide 80 percent of revenue.

Answers

Answer:

The Pareto principle

Explanation:

The Pareto principle asserts that 80 percent of the results come from 20 percent of the course. The principle was named after Pareto, an Italian economist, who first observed this phenomenon. The Pareto principle is not a law but an observation.

Some other examples that Pereto observed include

20% of the features make 80% of the usage

20% of the employees produce 80% of the result

20% of the clients create 80% of the revenue

PLEASE HURRY 90 POINTS AND BRAINLIEST TO WHOEVER ANSWERS

Trade School vs. College - How to Decide?
The choice to go to college or choose a trade school is a huge decision you may need to make in the near future. There are a lot of factors to consider when making this choice, so it is a good idea to start reading about the advantages and disadvantages of college and trade schools. Each path can lead to success depending on what you want to do with your life.

After reading the article, make your own list of pros and cons for both trade school and college. Highlight the most important details that will help you make your decision.

Next, develop a basic career and education plan. Your plan should briefly outline the following:

Any long and short-term goals for your education and career future
What high school and college programs might help you reach your goals
This plan can be created in any word processing program.

Once you have completed your list of pros and cons and developed your career and educational plan, answer the following questions:

The article states, “In the past, there may have been some stigma about trade schools not being a viable option to pursue well-paying, long-term careers. However, times have changed! Now more than ever students are looking for alternative education options that allow them to complete school on a faster timeframe with less financial investment.” A stigma is defined as a mark of disgrace associated with a situation or person. What does the author mean by saying that in the past there may have been some stigma about trade schools? Why do you think this stigma existed?
Why do you think this article was written? Does it seem that the author favors trade school and college as equally enriching experiences? Why?
How did the author organize the information? Did the structure of the article help you see the clear pros and cons of trade schools and colleges? Why?
What is the author’s point of view? Analyze and discuss how they distinguish their point of view from others.
What are two (or more) central ideas in this text? How are these ideas developed over the course of the article?
If you had to choose a path right now—college or trade school—which would you choose? Include details from the article that helped sway your decision.
How College Loans Exploit Students for Profit
Explain the issue Samuel discusses that has 40 million Americans in debt.
Samuel mentions three truths that you can’t ignore—briefly explain at least one of the following truths:
What is Income-Based Tuition? Discuss the three advantages to Income-Based Tuition.
4 Pillars of College Success in Science
Why did Hrabowski join the Children’s Crusade in Birmingham? What was the most important lesson that he learned?
Hrabowski states, “…most people don’t realize that it’s not just minorities who don’t do well in science and engineering.” Please explain this statement and give a brief summary regarding how Hrabowski supports this statement.
Why do students who attend the most prestigious universities in our country begin in pre-med or pre-engineering and engineering but end up changing their majors?
Explain the four things that Hrabowski’s university did to help minority students that are now helping all students?

Answers

The author of the article on trade schools versus college is encouraging students to weigh their options and make a decision based on what they want to do with their lives.

In the past, trade schools had a stigma attached to them as not being viable options for well-paying, long-term careers. However, now more than ever, students are looking for alternative education options that allow them to complete school in a faster timeframe with less financial investment.

The author wrote this article to provide information for students to make an informed decision. The author is not biased towards either college or trade schools but presents both as enriching experiences. The article is structured in a way that organizes the information in a clear and concise way, allowing the reader to see the pros and cons of both trade schools and colleges.

The author's point of view is that students should choose the path that best aligns with their goals and aspirations. They make it clear that college and trade schools can lead to success, depending on what the student wants to do with their life.

Two central ideas in the article are that both college and trade schools can lead to success, and students should choose the path that best aligns with their goals. These ideas are developed over the course of the article by providing pros and cons for both paths and discussing the importance of making a decision based on one's aspirations.

If I had to choose a path right now, I would choose college. This is because I am interested in pursuing a career in medicine, which requires a college degree. The article helped sway my decision by providing information on the advantages of college, such as the wide range of career options and opportunities for networking.

In "How College Loans Exploit Students for Profit," Samuel discusses the issue of student debt, which has left 40 million Americans in debt. One of the truths that Samuel mentions is that the student loan industry is a $100 billion industry that is making profits off of students.

Income-Based Tuition is a tuition payment option where the amount a student pays for tuition is based on their income. The three advantages of Income-Based Tuition are that it reduces the financial burden on students, it encourages students to pursue higher education, and it makes education more accessible to low-income families.

Hrabowski joined the Children's Crusade in Birmingham to protest against racial segregation and discrimination. The most important lesson he learned was the power of unity and how students can make a difference when they work together.

Hrabowski's statement means that there is a misconception that only minorities struggle in science and engineering when in reality, it is a problem that affects everyone. Hrabowski supports this statement by discussing the initiatives that his university has taken to help all students succeed in science and engineering.

Students who attend prestigious universities often begin in pre-med or pre-engineering because of societal pressure or the perceived status of these fields. However, they often end up changing their majors because they realize that their true passions lie elsewhere.

The four things that Hrabowski's University did to help minority students that are now helping all students are creating a supportive and inclusive community, providing mentorship opportunities, offering resources and support services, and promoting the importance of education.

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Recent financial statements for Madison Company follow:Recent financial statements for Madison Company follow: Madison Company Balance Sheet June 30Assets Current assets: Cash $21,000 Accounts receivable, net 160,000 Merchandise inventory 300,000 Prepaid expenses 9,000 Total current assets 490,000 Plant and equipment, net 810,000 Total assets $1,300,000 Liabilities and Stockholders' EquityLiabilities: Current liabilities $200,000 Bonds payable, 10% 300,000 Total liabilities 500,000 Stockholders’ equity: Common stock, $5 par value $100,000 Retained earnings 700,000 Total stockholders’ equity 800,000 Total liabilities and stockholders' equity $1,300,000 Madison Company Income Statement For the Year Ended June 30Sales $2,100,000 Cost of goods sold 1,260,000 Gross margin 840,000 Selling and administrative expenses 660,000 Net operating income 180,000 Interest expense 30,000 Net income before taxes 150,000 Income taxes 45,000 Net income $105,000 ccount balances at the beginning of the company’s fiscal year were: accounts receivable, $140,000; and inventory, $260,000. All sales were on account.Required:Compute financial ratios as follows:1. Gross margin percentage. 2. Current ratio. (Round your answer to 2 decimal places.)3. Acid-test ratio.4. Average collection period. 5. Average sale period. 6. Debt-to-equity ratio. 7. Times interest earned.8. Book value per share.

Answers

Answer:

1. Gross margin percentage = 40%

2. Current ratio. (Round your answer to 2 decimal places.) = 2.45

3. Acid-test ratio = 0.95

4. Average collection period = 26 days

5. Average sale period = 81 days

6. Debt-to-equity ratio = 0.63

7. Times interest earned = 6 times

8. Book value per share = $40 per share

Explanation:

1. Gross margin percentage.

This can be calculated using the following formula:

Gross margin percentage = (Gross margin / Sales) * 100 .......... (1)

Where;

Sales = $2,100,000

Gross margin = $840,000

We substitute the values into equation (1) and have:

Gross margin percentage = ($840,000 / $2,100,000) * 100 = 0.40 * 100 = 40%

2. Current ratio. (Round your answer to 2 decimal places.)

This can be calculated using the following formula:

Current ratio = Total current assets / Current liabilities ............ (2)

Where;

Total current assets = $490,000

Current liabilities = $200,000

We substitute the values into equation (2) and have:

Current ratio = $490,000 / $200,000 = 2.45

3. Acid-test ratio.

This can be calculated using the following formula:

Acid-test ratio = (Total current assets – Closing Merchandise Inventory) / Current liabilities ........ (3)

Where;

Total current assets = $490,000

Closing Merchandise Inventory = $300,000

Current liabilities = $200,000

We substitute the values into equation (3) and have:

Acid-test ratio = ($490,000 - $300,000) / $200,000 = $190,000 / $200,000 = 0.95

4. Average collection period.

This can be calculated using the following formula:

Average collection period = (Average accounts receivable / Sales) * 365 days …….. (4)

Where;

Average accounts receivable = (Beginning account receivable + Ending account receivable) / 2 = ($140,000 + $160,000) / 2 = $300,000 / 2 = $150,000

Sales = $2,100,000

We substitute the values into equation (4) and have:

Average collection period = ($150,000 / $2,100,000) * 365 = 26 days approximately.

5. Average sale period.

This can be calculated using the following formula:

Average sale period = 365 days / Inventory turnover ……………………….. (5)

Where;

Inventory turnover = Cost of goods sold / Average inventory = Cost of goods sold / [(Opening inventory + Closing inventory) / 2] = 1,260,000 / [($260,000 + $300,000) / 2] = 1,260,000 / [$560,000 / 2] = 1,260,000 / $280,000 = 4.50

We substitute the values into equation (5) and have:

Average sale period = 365 days / 4.50 = 81 days

6. Debt-to-equity ratio.

This can be calculated using the following formula:

Debt-to-equity ratio = Total liabilities / Total stockholders’ equity ……………………. (6)

Where;

Total liabilities = $500,000

Total stockholders’ equity = $800,000

We substitute the values into equation (6) and have:

Debt-to-equity ratio = $500,000 / $800,000 = 0.63

7. Times interest earned.

This can be calculated using the following formula:

Times interest earned = Income before interest and tax / Interest expense ……………….. (7)

Where;

Income before interest and tax = Net operating income = $180,000

Interest expense = $30,000

We substitute the values into equation (7) and have:

Times interest earned = $180,000 / $30,000 = 6 times

8. Book value per share.

This can be calculated using the following formula:

Book value per share = Total stockholders’ equity / Number of shares outstanding ……….. (8)

Where;

Total stockholders’ equity = $800,000

Number of shares outstanding = $100,000 / $5 = 20,000 shares

We substitute the values into equation (8) and have:

Book value per share = $800,000 / 20,000 = $40 per share

What are some of the reasons businesses fail?

Answers

Answer:

The most common reasons businesses fail include a lack of capital or funding, retaining an inadequate management team, a faulty infrastructure or business model, and unsuccessful marketing initiatives.

Some of the reasons businesses fail are lack of knowledge, lack of planning, lack of management of resources effectively.

What is business?

An economic activity that involves the exchange of goods and services with the help of buying and selling with the objective to gain some profit is called Business.

A business can possibly fail when there is no planning of things like what to do and how to do it. For a business, to be effective, there should be a plan or roadmap which needs to be followed step by step in order to succeed.

A business will fail when it is unable to manage the capital as well as the workforce effectively and make optimum utilization of it in order to produce and achieve productivity in abundance.

When a business does not have expertise or knowledge about the field as well as current market trends and competitors it will go to fail as it is unable to cope with the trend

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purchased goods of rs 40000 journal entries

Answers

The journal entry for Rs. 40, 000 purchases would include a debit to purchases and credit to cash or accounts payable.

How to enter the journal ?

The Purchases account is debited because the business has acquired goods, which is an asset. The Accounts Payable account is credited because the business owes money to the supplier for the goods.

Date Account title Debit Credit

XX -XXXX Purchases Rs. 40, 000

Accounts payable Rs. 40, 000

This journal entry will increase the balance of the Purchases account and the Accounts Payable account. The Purchases account will be used to track the cost of goods sold, and the Accounts Payable account will be used to track the amount of money owed to suppliers.

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which of the following is an example of business related financial information:

pay stub

school-loan document

accounts recievable record

sales reciept from purchasing a new mattress

Answers

Answer:

accounts recievable record

Explanation:

Accounts receivable record shows the amount of money customers owe a business. It arises when a company sells goods or services to customers on credit. Accounts receivable is a financial record, as it records commercial transactions between a firm and its customers.

Accounts receivables are treated as assets in the financial records of a business.

Pauline sits near the snacks in the office. There are 555 flavors of chocolate, and she wonders if some flavors get chosen more than others. She plans to record how often each flavor gets chosen in a sample of selections to carry out a \chi^2χ 2 \chi, squared goodness-of-fit test on the resulting data.

Which of these are conditions for carrying out this test?

Answers

Answer:

She expects each snack to be selected at least 5 times.

She takes a random sample of selections.

21. Suppose the AD curve is given by P 400-Y and the SRAS curve is given by P100+ 2Y2, for P the price
level and Y' the amount of real GDP in trillions (which is defined by the classic GDP accounting identity). Potential
real GDP (i.e., LRAS) is $17 trillion.
A. Solve for the equilibrium price level and real GDP. What is the size of the output gap? (5 points)
B. Draw the AS-AD model using the above equations as your guide. You don't need to graph exact points, but
at least make sure the SRAS, AD, and LRAS curves have the shapes associated with their equations/data.
(2.5) points
C.
Suppose the federal government is running a deficit. Demonstrate the effect of deficit spending within your
diagram. (2.5 points)
D.
Suppose the Federal Reserve implements Open Market Operations by purchasing bonds from banks such at
AD shifts to P800-Y. What is the new equilibrium price level and real GDP? What is the size of the
output gap? (5 points)
E.
Given your answer to part D, did the Federal Reserve implement too much, too little, or just the right
amount of bond purchases? Explain your answer. (5 points)
F. Suppose the combined effects of part D and E linger, and the federal government continues the need to
deficit spend. What effect will this have on the price level and real GDP, and how will the Federal Reserve
likely need to respond to these effects? (5 points)

Answers

A. The equilibrium price level can be found by setting the AD curve equal to the SRAS curve and solving for P. This yields P=300 and the equilibrium real GDP Y=50. The output gap is the difference between the actual real GDP and the potential real GDP, which is $17 trillion. Therefore, the output gap is $16.95 trillion.
B. The graph should show the AD curve sloping downward and the SRAS curve sloping upward, with the LRAS curve being vertical at $17 trillion. The equilibrium point where the AD and SRAS curves intersect should be labeled.
C. Deficit spending shifts the AD curve to the right, which increases the equilibrium price level and real GDP. In the graph, this is shown as the AD curve shifting to the right.
D. The new equilibrium price level and real GDP can be found by setting the new AD curve equal to the SRAS curve, which yields P=500 and Y=150. The output gap is $2 trillion.
E. The Federal Reserve implemented too much bond purchases because the output gap decreased by more than the potential output gap of $17 trillion. This could lead to inflation and other economic problems.
F. Continued deficit spending could lead to inflation, which would require the Federal Reserve to increase interest rates to slow down the economy. If the Federal Reserve implements contractionary monetary policy, the AD curve would shift to the left, which would decrease the equilibrium price level and real GDP.

A. By adjusting the AD curve to equal the SRAS curve and figuring out P, the equilibrium price level can be discovered. This results in P=300 and Y=50 for the equilibrium real GDP. The $17 trillion potential real GDP is divided by the $1 trillion actual real GDP to determine the output gap. The output shortfall is therefore $16.95 trillion.

B. The LRAS curve should be vertical at $17 trillion, with the SRAS curve sloping upward and the AD curve sloping downward. Label the equilibrium location where the AD and SRAS curves meet.

C. Deficit spending causes the AD curve to slant to the right, raising both the real GDP and the equilibrium price level. This is depicted in the graph as the AD curve.

D. By making the new AD curve equal to the SRAS curve, which results in P=500 and Y=150, it is possible to determine the new equilibrium price level and real GDP. The $2 trillion output gap.

E. The output gap shrunk more than the $17 trillion prospective output gap as a result of the Federal Reserve's excessive asset purchases. Inflation and other economic issues could result from this.

F. Continually running a deficit could cause inflation, which would force the Federal Reserve to raise interest rates in order to slow the economy down. The AD curve would shift to the left if the Federal Reserve adopted a contractionary monetary policy, lowering the equilibrium price level and real GDP.

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Compute the value of price elasticity of supply. If the percentage in quantity supply is 75% and percentage change in price is 55%.

Answers

Answer:

Price elasticity of supply = 1.36%

Explanation:

Given the following data;

percentage in quantity supply = 75%

percentage change in price = 55%.

To find the the value of price elasticity of supply;

A price elasticity of supply (PES) can be defined as a measure of the responsiveness of the quantity of a product supplied with respect to a change in price of the product, all things being equal.

Mathematically, the price elasticity of supply is given by the formula;

$ Price \; elasticity \; of \; supply = \frac {Percentage \; change \; in \; supply}{Percentage \; change \; in \; price} $

Substituting into the formula, we have;

$ Price \; elasticity \; of \; supply = \frac {75}{55} $

Price elasticity of supply = 1.36%

Therefore, the degree of elasticity is said to be elastic because the price elasticity of supply (PES) is greater than 1.

Why do we use lampshades and light fixtures?
~to make light speed up
~to create brighter light
~to make light slow down
~to keep light from scattering in all directions

Answers

Answer:

im pretty sure its D.

also hi sis.

Two examples of factors of production

Answers

Answer:

land, labor, entrepreneurship, and capital

Explanation:

What role does a company like UPS play in the supply chain?

Answers

UPS is a great example of transportation and delivery services. Vehicles that move products to consumers are the final parts of a supply chain

a)You own a picture frame store and want to determine the number of pictures you must sell in order to break even. The average price your consumes are willing to pay for each picture is $75.00. Your fixed costs are $32,000.00 and your unit variable cost is $35.00. Under these conditions what quantity must you sell to break even? Show your work as described in Chapter 19 (page 595).

b) At the break-even point, what is your profit?

c) What happens with each additional picture you sell over the break-even point number? Provide a dollar amount to your answer.

Answers

Under these conditions, 800 pictures to break even.

At the break-even point, the profit is exactly $0.

For each additional picture sold over the break-even point, the profit increases by $40.00.

The calculation according to given information is:

Break-even quantity = Fixed costs / (Price - Unit variable cost).Break-even quantity = $32,000 / ($75 - $35)Break-even quantity = 800.

The profit is exactly zero at the break-even point. This is because the break-even point is the level of output at which the costs of manufacturing equal the revenues for a product.

The average price clients are willing to pay for each photo is $75.00, and the unit variable cost is $35.00, thus the unit contribution margin is $40.00.

As a result, the significance of the break-even point is the aforementioned.

Learn more about to break-even point, here:

https://brainly.com/question/20038925

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Use the following selected data from Business Solutions’s income statement for the three months ended March 31, 2020, and from its March 31, 2020, balance sheet to complete the requirements.

Computer services revenue $ 29,466
Net sales (of goods) 20,820
Total sales and revenue 50,286
Cost of goods sold 14,424
Net income 20,709
Quick assets 89,224
Current assets 97,736
Total assets 123,672
Current liabilities 855
Total liabilities 855
Total equity 122,817

Required:
1. Compute the gross margin ratio (both with and without services revenue) and net profit margin ratio.
2. Compute the current ratio and acid-test ratio.
3. Compute the debt ratio and equity ratio.
4. What percent of its assets are current? What percent are long term?

Answers

Answer:

1. Gross margin with service revenue

Gross margin = Total revenue- Cost of good sold

Gross margin = 50,286 - 14,424

Gross margin = $35,862

Gross margin ratio = 34498/50,286 *100

Gross margin ratio = 68.60%

Gross margin without service revenue

Gross margin = Net (good) sale - Cost of good sold

Gross margin = 20,820 - 14,424

Gross margin = $6,396

Gross margin ratio = 6,396/20,820*100

Gross margin ratio = 30.72%

Profit margin ratio = 20,709/50,286*100

Profit margin ratio = 41.18%

2. Current ratio = Current assets/Current liabilities

Current ratio = 97,736/855

Current ratio = 114:1

Acid test ratio = Quick assets/current liabilities

= 89,224/855

= 104 : 1

3. Debt ratio= Current liabilities/total assets

Debt ratio= 855/123,672

Debt ratio= 0.0069134

Debt ratio= 0.69%

Equity ratio= Total equity/total assets

Equity ratio= 122,817/123,672

Equity ratio= 0.993087

Equity ratio= 99.31%

Question 10 of 10
Harland just got his second major credit card, so his credit score rose from
671 to 711. According to the following table for a $150,000 mortgage, how
much less per year would Harland have to pay on a $150,000 mortgage with
the new credit score?
FICO
score
720-850
Interest
rate
5.59%
Monthly
payment
$860
700-719
5.71%
$872
$924
675-699
6.25%
7.40%
620-674
560-619
500-559
8.53%
$1039
$1157
$1238
9.29%

Answers

Answer: 2004

Explanation:

Occupational hygiene focuses specifically on three types of exposures. Explain any Two of these

Answers

Occupational hygiene focuses specifically on three types of exposures are:

chemical physical biological

What is Occupational hygiene?

Occupational hygiene can be described as the process that is been used in the work placer so that it can focus on the monitoring as well as preservation of the people of the workplace from any hazards.

chemical exposure can be described as one that focus on any hazards that can come from the use of toxic substance in the workplace. physical exposure can be described as the one tat focus on any hazards as a result of any physical injury in the workplace.