In: Economics
1- For a perfectly competitive firm, marginal revenue:
is less than price.
is equal to price.
decreases as the firm increases output.
is greater than price.
2-Which of the following are characteristics of a monopoly market structure?
In a monopoly,
there is only one firm in the industry.
no close substitutes are available.
firm(s) have little to no price-setting power.
there are low barriers to entry into the market.
3-You own a small deli that sells sandwiches, salads, and soup. Which factor is an implicit cost of the business?
bread, meat, and vegetables used to produce the items on your menu
the job offer you did not accept at a local catering service
wages paid to part-time employees
your monthly utility bill
In: Economics
If perfectly competitive firms are price takers, and monopolistic, monopolistic competitive, and oligopolistic firms are price searchers, then it follows that three times as many firms in the real world are price searchers than are price takers. Do you agree or disagree? Explain your answer. (400 - 500 words)
Thank you in advance for not copying other's answers.
In: Economics
When the price level in Australia rises relative to the price
level of other countries, ceteris paribus, ________ will rise,
________ will fall, and ______ will fall.
A) imports; exports; net exports
B) exports; imports; net exports
C) net exports; exports; imports
D) net exports; imports; exports
In: Economics
Define price elasticity of supply. Discuss any four determinants of price elasticity of supply.
In: Economics
If perfectly competitive firms are price takers, and monopolistic, monopolistic competitive, and oligopolistic firms are price searchers, then it follows that three times as many firms in the real world are price searchers than are price takers. Do you agree or disagree? Explain your answer. (Answer: 400-500 words)
In: Economics
When a monopolist changes from charging a single price to
perfect price discrimination, it
a. Reduces the quantity produced and maintains profits at a fixed
level.
b. Reduces the firm’s profits and output.
c. Increases consumer surplus and decreases producer surplus.
d. Increases profits and eliminates consumer surplus
In: Economics
Currently, consumers earn 2,000, the price of x-jae is
50 and the price of y-jae is 80. utility function u=1/2xy
(1) Get a Budget Set
(2) Seek a Consumer Balance Point
(3) What is the price effect if the price of x material falls to
20? And what are the income effects and the magnitude of the
alternative effects respectively (take into account the magnitude
of the utility represented by the indiscriminate curve)?
In: Economics
1)Using the formula for measuring the price elasticity of supply: Suppose the price of apples goes up from $18 to $20 a box. In direct response, Goldsboro Farms supplies 1,200 boxes of apples instead of 1,000 boxes.
A)Compute the coefficient of price elasticity of supply (midpoints approach) for Goldsboro’s supply.
B)Is its supply elastic, or is it inelastic?
C)Does income increase or decrease based on answer in B- Explain-don’t compute
2) Suppose the cross elasticity of demand for products A and B is +3.6 and for products C and D is -5.4.
A) What can you conclude about how products A and B are related?
B) Products C and D?
In: Economics
Purl of Great Price Company
Maria Young is the sole stockholder of Purl of Great Price Company (POGP Company), which produces high-end knitted sweaters and sweater vests for sale to retail outlets. The company started in January of the current year, and employs three knitters (each of whom work 40 hours per week) and one office manager/knitting supervisor (this employee works 20 hours per week as office manager, and 20 hours per week as knitting supervisor). All wages are paid in cash at the end of each month.
Each knitter has a knitting machine that is used about 2/3 of the knitter’s time, the rest of the knitter’s time being involved in hand knitting and piecing together the garments. The company also has a packaging machine used to wrap the garments in plastic for shipping, which is operated by the office manager/knitting supervisor approximately 5 hours per week.
The knitting machines were purchased on January 1 of the current year, and cost $2,400 each, with an anticipated useful life of 10 years and no salvage value. The packaging machine was purchased on the same date and cost $4,800, with the same anticipated useful life and salvage value.
Nov. 30 Trial Balance
POGP Company
Trial Balance
November 30, 20Y8
Account TitleDebitCredit
Cash20,000
Accounts Receivable1,000
Supplies200
Materials5,000
Work in Process5,404
Equipment12,000
Accumulated Depreciation-Equipment825
Accounts Payable150
Common Stock10,000
Retained Earnings12,000
Dividends18,096
Sales307,500
Cost of Goods Sold255,040
Factory Overhead15
Wages Expense13,750
330,490330,490
Predetermined Factory Overhead Rate
Since the company is more reliant on labor than machines, Maria decides to use direct labor hours (DLH) as the activity base for her predetermined factory overhead rate, rather than machine hours (MH).
Estimated Selected Amounts for the Year
Estimated depreciation on equipment$1,200
Estimated total Office Manager/Knitting Supervisor wages$36,000
Estimated office utilities$5,000
Estimated factory utilities$4,800
Estimated factory rent$12,000
Activity Base Data
Estimated number of DLH for the year6,250
Estimated number of MH for the year4,375
Compute the predetermined factory overhead rate for the current year.
$5.76 per DLH
Feedback
Review the definitions of items that are included in factory overhead for the computation of estimated total factory overhead costs.
Materials RequisitionDate: Dec. 10
Req. No. 12255Job No. 83
DescriptionQty. IssuedUnit PriceAmount
Yarn type B600 skeins$5$3,000
Total issued$3,000
Time TicketNo. 1255Name:Susan Blake
Work Description:Knitting/piecing
DatesJob No.Hours WorkedUnit PriceAmount
12/01-12/1562 65 $15 $975
12/16-12/3183 103 15 1,545
Total Cost$2,520
Time TicketNo. 2274Name:Josh Porter
Work Description:Knitting/piecing
DatesJob No.Hours WorkedUnit PriceAmount
12/01-12/156275$15$1,125
12/16-12/318388151,320
Total Cost$2,445
Time TicketNo. 3923Name:Mary Jones
Work Description:Knitting/piecing
DatesJob No.Hours WorkedUnit PriceAmount
12/01-12/1562 60 $15$900
12/16-12/3183 109 151,635
Total Cost$2,535
Job Cost Sheets
On December 10, POGP Company receives an order for 200 sweater vests and assigns Job 83 to the order. Review the Materials Requisition table to add the materials to the Job Cost Sheet for Job 83.
On December 15, review the Time Ticket tables to add the appropriate amount of direct labor and factory overhead costs to the Job Cost Sheet for Job 62 for the period December 1 through December 15.
On December 31, the last work day of the year for the knitters, review Time Ticket tables to add the appropriate amount of direct labor and factory overhead costs to the Job Cost Sheet for Job 83 for the period December 16 through December 31.
If there is no amount or an amount is zero, enter "0". If required, round your answers to the nearest cent.
Job 62100 units:Sweaters
Direct MaterialsDirect LaborFactory OverheadTotal
Balance Dec. 1$5,000$300$104$5,404
Dec. 15
Total Cost$$$$
Unit Cost$
Job 83200 units:Sweater vests
Direct MaterialsDirect LaborFactory OverheadTotal Job Cost
Balance Dec. 1$0$0$0$0
Dec. 10
Dec. 31
Total Cost$$$$
Feedback
Recall that the factory overhead is applied for this company using direct labor hours (DLH).
Journal
On December 10, POGP Company receives an order for 200 sweater vests and assigns Job 83 to the order. Review the Materials Requisition table to journalize the entry to record the addition of the materials to Work in Process. If an amount box does not require an entry, leave it blank.
Dec. 10Work in Process
Materials
Feedback
Think about the flow of costs incurred to do a job and the accounts affected by sales to customers.
On December 15, review the Time Ticket tables to journalize the entry to record the addition of direct labor to Work in Process for the period December 1 through December 15. If an amount box does not require an entry, leave it blank.
Dec. 15Work in Process
Wages Payable
Feedback
Partially correct
On December 15, review the Time Ticket tables to journalize the entry to record the addition of factory overhead to Work in Process for the period December 1 through December 15. If an amount box does not require an entry, leave it blank.
Dec. 15Work in Process
Factory Overhead
Feedback
Partially correct
On December 21, Job 62 is completed. Review the Job Cost Sheets and your journal entries. Journalize the entry to move the associated costs to the finished goods account. If an amount box does not require an entry, leave it blank.
Dec. 21Finished Goods
Work in Process
Feedback
Partially correct
On December 22, 75 of the 100 sweaters from Job 62 are sold on account for $125 each. Journalize the following transactions:
a. The entry to record the sale.
b. The entry to record the transfer of costs from Finished Goods to Cost of Goods Sold.
If an amount box does not require an entry, leave it blank.
Dec. 22Accounts Receivable
Sales
Dec. 22Cost of Goods Sold
Finished Goods
In: Accounting