Apple™ sells 40,000 iPods™ that were produced last year, to new customers. As a result, A....
Apple™ sells 40,000 iPods™ that were produced last year, to new customers. As a result,
A. GDP will increase for this year.
B. GDP will decrease for this year.
C. the iPods™ will increase GDP for this year and count as inventory for last year.
D. the iPods™ will decrease GDP for this year and count as inventory for last year.
E. last year's GDP was increased by the inventory value of the iPods™, and this year's GDP increases by the retail value of the iPods™ less their inventory value from last year.
Homework Answers
E. last year's GDP was increased by the inventory value of the iPods™, and this year's GDP increases by the retail value of the iPods™ less their inventory value from last year.
Explanation: The unsold iPhones in the previous years contributed to last year's GDP as inventory investment. The sales value minus inventory value would contribute to this year;s GDP.
Add Answer to:
Apple™ sells 40,000 iPods™ that were produced last year, to new
customers. As a result,
A....
Apple has been producing the new iPhone throughout 2013,but doesn't plan to sell it until March...
Apple has been producing the new iPhone throughout 2013,but doesn't plan to sell it until March 2014. How are these iPhones, which are sitting in a warehouse somewhere in US affecting GDP? a) They are considered inventory until they sell, so investment will increase when they are sold in 2014. b) they are inventory and will decrease investment in 2013 c) they are not counted in GDP at all since they were not sold d) they will increase GDP only...
question 2 Last year, the company sold 40,000 of these balls, with the following results: Sales...
question 2
Last year, the company sold 40,000 of these balls, with the following results: Sales (40,000 balls) Variable expenses Contribution margin Fixed expenses Net operating income $1,000,000 600,000 400,000 265,000 $ 135,000 Required: 1. Compute (a) last year's CM ratio and the break-even point in balls, and (b) the degree of operating leverage at last year's sales level. 2. Due to an increase in labor rates, the company estimates that next year's variable expenses will increase by $3.00 per...
Feather Friends, Inc., distributes a high-quality wooden birdhouse that sells for $120 per unit. Variable expenses...
Feather Friends, Inc., distributes a high-quality wooden birdhouse that sells for $120 per unit. Variable expenses are $60.00 per unit, and fixed expenses total $160,000 per year. Its operating results for last year were as follows: Sales Variable expenses Contribution margin Fixed expenses Net operating income $ 3,120,000 1,560,000 1,560,000 160,000 $ 1,400,000 Assume the president expects this year's sales to increase by 19%. Using the degree of operating leverage from last year, what percentage increase in net operating income...
economy produced four final goods during the year plates, TVs, bicycles, and 19) y bicycles were...
economy produced four final goods during the year plates, TVs, bicycles, and 19) y bicycles were produced and sold for $100 each. Three computers were produced 19) A hypothetical computers. Forty plates were produced and sold for $10 each. Five TVs were produced and sold for $300 each. Fif and sold for $750 each. With this information, one could determine A) total income for this economy B) net investment for this economy C) gross investment for this economy D) whether...
1. Bobby constructed a lake house for his family in upstate New York in 2012. Total...
1. Bobby constructed a lake house for his family in upstate New York in 2012. Total spending to construct the house was $125,000. He sold the house in 2018 to Carlos for $ 215,000. Based on this scenario which of the following statement is correct? a. In 2012 the value of the GDP will increase by $125,000. b. In 2014 the value of GDP will increase by $340,000. c. In 2018 the value of the GDP will increase by $215,000....
Feather Friends, Incorporated, distributes a high-quality wooden birdhouse that sells for $80 per unit. Variable expenses are $40.00 per unit, and fixed expenses total $200,000 per year. Its operating results for last year were as follows:
Feather Friends, Incorporated, distributes a high-quality wooden birdhouse that sells for $80 per unit. Variable expenses are $40.00 per unit, and fixed expenses total $200,000 per year. Its operating results for last year were as follows:Required:Answer each question independently based on the original data: 1. What is the product's CM ratio?2. Use the CM ratio to determine the break-even point in dollar sales.3. Assume this year’s unit sales and total sales increase by 49,000 units and $3,920,000, respectively. If the fixed...
Help Sa Lay Perfect Pillow Company sells specialty pillows and accessories to customers. Its fiscal year...
Help Sa Lay Perfect Pillow Company sells specialty pillows and accessories to customers. Its fiscal year ends on December 31. The following transactions occurred in the current year: a. Purchased $250,000 of new pillow inventory, paid $90,000 in cash and owed the rest on account b. Pald employees $180,300 in wages for work during the year, an additional $3,700 for the current year's wages will be paid in January of the next year. c. Sold pillows to customers for $750,000;...
Last year Hawaii did not received many rain storms and with eight months of little rain there was low demand for um...
Last year Hawaii did not received many rain storms and with eight months of little rain there was low demand for umbrellas. This year however, there have been three months of big rain storms and only a few weeks of sunny weather. If you were to draw a graph depicting the changing market for umbrellas from last year to this, how would the new equilibrium price and quantity demanded compare to last year's market? Select one: a. With supply of...
The contribution format income statement for Huerra Company for last year is given below: Total Unit...
The contribution format income statement for Huerra Company for
last year is given below:
Total
Unit
Sales
$
992,000
$
49.60
Variable expenses
595,200
29.76
Contribution margin
396,800
19.84
Fixed expenses
312,800
15.64
Net operating income
84,000
4.20
Income taxes @ 40%
33,600
1.68
Net income
$
50,400
$
2.52
The company had average operating assets of $492,000 during the
year.
Required:
1. Compute the company’s return on investment (ROI) for the
period using the ROI formula stated in terms...
If last years inflation rate was 5% and analysts for wall street think this year's interest...
If last years inflation rate was 5% and analysts for wall street think this year's interest rate will be 4%, what will peoples beliefs be according to rational or adaptive expectation theories? According to: a) rational expectations, people think there will be a 5% inflation this year b)adaptive expectations, people think there will be 4% inflation this year c)rational expectations, people think there will be 1% inflation this year d) adaptive expectations, people think there will be 1% inflation this...
question 2
Last year, the company sold 40,000 of these balls, with the following results: Sales (40,000 balls) Variable expenses Contribution margin Fixed expenses Net operating income $1,000,000 600,000 400,000 265,000 $ 135,000 Required: 1. Compute (a) last year's CM ratio and the break-even point in balls, and (b) the degree of operating leverage at last year's sales level. 2. Due to an increase in labor rates, the company estimates that next year's variable expenses will increase by $3.00 per...
Feather Friends, Inc., distributes a high-quality wooden birdhouse that sells for $120 per unit. Variable expenses are $60.00 per unit, and fixed expenses total $160,000 per year. Its operating results for last year were as follows: Sales Variable expenses Contribution margin Fixed expenses Net operating income $ 3,120,000 1,560,000 1,560,000 160,000 $ 1,400,000 Assume the president expects this year's sales to increase by 19%. Using the degree of operating leverage from last year, what percentage increase in net operating income...
economy produced four final goods during the year plates, TVs, bicycles, and 19) y bicycles were produced and sold for $100 each. Three computers were produced 19) A hypothetical computers. Forty plates were produced and sold for $10 each. Five TVs were produced and sold for $300 each. Fif and sold for $750 each. With this information, one could determine A) total income for this economy B) net investment for this economy C) gross investment for this economy D) whether...
Help Sa Lay Perfect Pillow Company sells specialty pillows and accessories to customers. Its fiscal year ends on December 31. The following transactions occurred in the current year: a. Purchased $250,000 of new pillow inventory, paid $90,000 in cash and owed the rest on account b. Pald employees $180,300 in wages for work during the year, an additional $3,700 for the current year's wages will be paid in January of the next year. c. Sold pillows to customers for $750,000;...
Last year Hawaii did not received many rain storms and with eight months of little rain there was low demand for umbrellas. This year however, there have been three months of big rain storms and only a few weeks of sunny weather. If you were to draw a graph depicting the changing market for umbrellas from last year to this, how would the new equilibrium price and quantity demanded compare to last year's market? Select one: a. With supply of...
The contribution format income statement for Huerra Company for
last year is given below:
Total
Unit
Sales
$
992,000
$
49.60
Variable expenses
595,200
29.76
Contribution margin
396,800
19.84
Fixed expenses
312,800
15.64
Net operating income
84,000
4.20
Income taxes @ 40%
33,600
1.68
Net income
$
50,400
$
2.52
The company had average operating assets of $492,000 during the
year.
Required:
1. Compute the company’s return on investment (ROI) for the
period using the ROI formula stated in terms...
Most questions answered within 3 hours.
-
Where is the error in this code sequence?
String s1 = "Hello";
String s2 = "ello";...
asked 11 months ago -
Financial data for Joel de Paris, Inc., for last year
follow:
Joel de Paris, Inc.
Balance...
asked 11 months ago -
Consider this reaction:
Al2(SO4)3 (aq)+ BaCl3
(aq) Al2Cl6 (aq)- +
3BaSO4(s) . What is the...
asked 11 months ago -
Suppose that Savneet is considering increasing her
recent random sample from 20 car rentals to 40...
asked 11 months ago -
Trucks arrive at an unloading terminal at an average rate of 120
per hour.
Trucks arrive...
asked 11 months ago -
Why are methanol and ethanol completely soluble in water while
octanol is not very little soluble....
asked 11 months ago -
A facilities manager at a university reads in a research report
that the mean amount of...
asked 11 months ago -
When the CuSO4 is rehydrated by adding water to the anhydrous
compound, is this an endothermic...
asked 11 months ago -
A ray of sunlight is passing from diamond into crown glass; the
angle of incidence is...
asked 11 months ago -
A block of mass 0.249 kg is placed on top of a light, vertical
spring of...
asked 11 months ago -
how do the kidneys compensate in the presences of acidosis
a) trigger hyperventilate
b) reserve acid...
asked 11 months ago -
Question 501 pts
The rental rate of capital to the firm increases. Which of the
following...
asked 11 months ago