Very true, If it weren't to do this, it would defeat its purpose.
Elastic demand means that consumers are sensitive to price and that increased prices can lead to lower sales. There isn't enough information to fully answer this question. We don't know how elastic the demand is. If the demand is only slightly elastic, the increased price and lower demand could still equal higher profits.
Answer: $62.50
Explanation:
The stock price of Locked-In Real Estate (LIRE) will be calculated thus:
Stock price = D /ke - g
where,
D = Dividend paid per share = $7.50
Ke = expected rate of return on equity = 12% = 0.12
g is growth rate of dividend = 0
Stock price = $7.50/0.12
Stock price = $62.5
Therefore, the stock price is $62.50
Answer:
<u>Cost Of Goods Manufactured $ 133,000</u>
Explanation:
Peterson Company
Schedule for the cost of goods manufactured
For 2017
Direct Materials (opening Inventory) 21,000
Add Purchases 74,000
<u>Less Ending Inventory (23000)</u>
Materials available for Use 72,000
Add Direct Labor 22,000
Factory Overhead
Indirect Manufacturing Labor 17,000
Plant Insurance 7,000
Depreciation 11,000
<u>Repairs 3000 38,000</u>
132,000
Add Opening WIP 26,000
<u>Less Closing WIP 25,000</u>
<u>Cost Of Goods Manufactured $ 133,000</u>
Answer: a. Liabilities increased by $1.0 million in 2018
Explanation:
In 2018, $9 million was used to settle the wage debt of 2017 and the remainder was used to settle the wages in 2018.
The money remaining in cash after the wage settlement was:
= 9,000,000 - 2,000,000 - 8,000,000
= -$1,000,000
This means that $1,000,000 of wages was not settled in 2018 which means that this would have to go to the Wages Payable account to signify that the company owes wages.
This account is a liability account so liabilities in 2018 would increase by $1,000,000.
