Home Hardware reported beginning inventory of 20 shovels, for a total cost of $100. The company had the following transactions during the month: Jan. 2 Sold 4 shovels on account at a selling price of $10 per unit. Jan 16 Sold 10 shovels on account at a selling price of $10 per unit. Jan 18 Bought 5 shovels on account at a cost of $5 per unit. Jan 19 Sold 10 shovels on account at a selling price of $10 per unit. Jan 24 Bought 10 shovels on account at a cost of $5 per unit. Jan 31 Counted inventory and determined that 10 units were on hand.

Record a journal entry that shows all goods initially on hand at the beginning of the period (in the Inventory account) and all goods bought during the period (in the purchases account) as having been sold by the end of the period.

In a perfectly competitive industry, each firm has a total cost function of TC = 400 + 10q + q2 and a marginal cost curve of MC = 10 + 2q if it produces a positive quantity of output q. If a firm produces zero output it has no costs. The market price is $50. Which statement is true?]

a. Each firm produces 20 units of output; the industry will require entry to reach its long-run equilibrium.

b. Each firm is producing 25 units; as the firm is making short-run profits, the industry is not at its long-run equilibrium.

c. Each firm is producing 25 units; the firm is covering its variable costs, but making a short run loss.

d. Each firm is producing 20 units; the firm will continue producing in the short run, but will consider exiting in the long run as it is not covering its total costs of production.

e. Each firm produces 20 units of output; the market is in its long-run equilibrium.

C++ program that runs on Visual Basic that computes the total cost of books you want to order from an online bookstore. It does so by first asking how many books are in your shopping cart and then based on that number, it repeatedly asks you to enter the cost of each item. It then calls two functions: one for computing the taxes and another for computing the delivery charges. The function which computes delivery charges works as follows: It adds a 5% delivery charge for standard delivery if the total is below $1,000, and an additional 10% charge if you want an expedited next day delivery. The tax and delivery charges are added to the bill and the total cost is displayed.

Assume that a teeth-whitening kit manufacturer wishes to achieve a markup 10% of the total cost.

Assuming that the variable costs per unit is $8.00, fixed costs is $1,000,000.00 and the expected sales is 1,000,000 units, what should be the target return price?

For the same teeth-whitening kit manufacturer, it is observed that when the kit is priced at $10.00 (P1), the quantity demanded is 1,000,000 (Q1). However, when the price is increased to $15.00 (P2), the quantity decreases to 500,000 (Q2).

What is the percentage change in quantity demanded?

What is the percentage change in price?

How much is the price elasticity demand?

A city government adds street lights within its boundaries at a total cost of $253,500. The lights should burn for at least 13 years but can last significantly longer if maintained properly. The city sets up a system to monitor these lights with the goal that 97 percent will be working at any one time. During the year, the city spends $42,000 to clean and repair the lights so that they are working according to the specified conditions. However, it spends another $96,600 to construct lights for several new streets in the city.

1. Prepare the entries assuming infrastructure assets are capitalized with depreciation recorded.

2. Prepare the entries assuming infrastructure assets capitalized with government using the modified approach.

Q 2) a-)Why is short-run average total cost (SATC) at a minimum at the output, at which the short-run marginal cost (SMC) curve and short-run average total cost (SATC) curve cross? Explain and draw the figure.

b-) What is the effect of higher interest rates on the quantity of real money demanded? Explain and draw the figure.

. A natural monopolist has the total cost function C(Q) = 500 + 5Q and faces the inverse demand curve P = 100 – Q

a) Find the monopolist’s price, quantity, profits, consumer surplus and deadweight loss if the monopolist is not constrained by a regulator (you probably want to draw a picture to help you answer CS and DWL)

P = _________ Q = _________ π = _________ CS = ¬_________ DWL = _________

b) A regulator constrains the monopolist to marginal cost pricing and will subsidize the firm to stay in business and earn 0 profit. Find the monopolist’s price, quantity, subsidy, consumer surplus and deadweight loss (ignore welfare losses associated with funding the subsidy).

P = _________ Q = _________ subsidy = _________ CS = ¬_________ DWL = _________  

c) A regulator constrains the monopolist to average cost pricing. Find the monopolist’s price, quantity, consumer surplus and deadweight loss.

P = _________ Q = _________ CS = ¬_________ DWL = _________

In your opinion, does the Total Cost of Ownership incurred by companies that
implement AI meet the needs of implementing information systems? Give advice on
cost and benefit analysis for organizations/companies in adopting information
systems.

Your business has estimated its total cost to be TC = 3800 + 0.25Q + 0.0018Q2; its marginal cost is thus MC = 0.25 + 0.0036Q, where Q is the amount of pieces provided and TC is in dollars. Because your market is moderately competitive, your business is capable of selling its output for $12.85 each (which therefore produces MR = 12.85 and TR = 12.85Q).

a. Make a table in Excel showing TC and TR with Q on the horizontal axis. Have Q go from 0 to 10,000 units (each row of your Q column can grow by a relatively large number so that your table isn’t large). Create a second table displaying MC and MR with Q again on the horizontal axis.

b. What is the optimal level of output for your business to produce/sell? What is the marginal revenue of the final unit sold?

c. What are the total revenue, total cost, and profit (net benefit/net revenue/etc.) of selling the optimal amount of units?

d. An eager worker at your business hints that, because the business makes $12.85 revenue for each unit sold, then the company could make still more profit by selling more than the level chosen in part b; why would your business not want to make and sell more output than the level you picked in part b?

Home Hardware reported beginning inventory of twenty six shovels, for a total cost of $156. The company had the following transactions during the month:

Required:
1. Prepare the journal entries that would be recorded using a periodic inventory system. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

A.Sold 8 shovels on account at a selling price of $14 per unit

B.Sold 14 shovels on account at a selling price of $14 per unit

C.Bought 9 shovels on account at a cost of $6 per unit

D.Sold 12 shovels on account at a selling price of $14 per unit

E.Bought 14 shovels on account at a cost of $6 per unit

F. Record the cost of goods sold

G.Record the inventory on hand based on inventory count

2. Prepare the journal entries that would be recorded using a perpetual inventory system, including any book-to-physical adjustment that might be needed. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

A. Record the sale of shovels.

B.Record the cost of shovels sold.

C.Record the sale of shovels.

D. Record the cost of shovels sold.

E. Record the purchase of shovels.

F. Record the sale of shovels.

G.Record the cost of shovels sold.

H.Record the purchase of shovels.

I.Record the entry for book-to-physical adjustment, if any.

3-a. What is the dollar amount of shrinkage that you were able to determine in requirement 1? (Enter "0" if you were unable to determine the dollar amount of shrinkage.)

Amount of shrinkage -

3-b. What is the dollar amount of shrinkage that you were able to determine in requirement 2? (Enter "0" if you were unable to determine the dollar amount of shrinkage.)

Amount of shrinkage -

3-a. What is the dollar amount of shrinkage that you were able to determine in requirement 1? (Enter "0" if you were unable to determine the dollar amount of shrinkage.)