Consider the information about the economy of Pakistan. Note that the currency of Pakistan is the rupee. The government purchases: 2.80 trillions of rupees. Individuals consume: 10.50 trillions of rupees. Individuals save: 5.10 trillions of rupees. Businesses invest: 1.30 trillions of rupees. Foreigners spend: 0.64 trillions of rupees to purchase Pakistani firms. Pakistan imports: 2.09 trillions of rupees. Pakistan exports: 1.30 trillions of rupees.

Answers

Answer 1
Answer:

Answer:

Pakistan's GDP is 13.81 trillions of rupees.

Explanation:

GDP = C + I + G + NX

Here:

C = 10.50

I = 1.30

G= 2.80

NX =  (1.30 - 2.09) = -0.79

GDP = 10.50 + 1.30 + 2.80 - 0.79

GDP = 13.81


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Aggregate Planning is a. the activity of developing a plan that combines the efforts of the firm and its suppliers. b. the activity of developing a plan that combines the efforts of the firm and its distributors. c. the activity of matching supply of output with demand over the medium time range. d. the activity of matching supply of output with demand over the short time range. e. All of the above.

Answers

Answer:

C. the activity of matching supply of output with demand over the medium time range.

Explanation:

Aggregate Planning is the activity of matching supply of output with demand over the medium time range through the use of information gotten from the inventory levels.

This ultimately implies that, an aggregate planning is a strategic technique used by organizations to make an aggregate plan for its manufacturing (production) process typically ahead of time, in order to have an idea of the level of goods are to be produced and what resources are required so as to reduce the total cost of production to its barest minimum.

Hence, aggregate planning is an attempt to forecast consumer demands within the criteria set by product, production process and distribution methods i.e within the intermediate range of its capacity.

On February 3, Gallatin Repair Service extended an offer of $122,000 for land that had been priced for sale at $140,000. On February 28, Gallatin Repair Service accepted the seller's counter offer or $133,000. On October 23, the land was assessed at a value of $200,000 for property tax purposes. On January 15 of the next year, Gallatin Repair Service was offered $213,000 for the land by a national retail chain. At what value should the land be recorded in Gallatin Repair Services records

Answers

Answer:

$133,000

Explanation:

According to the historical cost principle, the assets should be recorded at the purchase price or the acquisition cost. In this, no other cost should be recorded like assessed value, land improvements, etc

Since in the given question the Gallatin accepted the seller counter offer i.e. $133,000 so the same is to be presented in the financial statements

hence, the land should be recorded at $133,000

Joseph is an unemployed yard landscaping worker who is trying to find employment as he last had work seven months ago. He is now at a point where he will take any wage even if low to get money to pay the bills. He talks to businesses and landscaping companies on a daily basis but none are hiring due to an ongoing recession. How would you describe his experience with the correct economic term?

Answers

Answer:

Cyclical Unemployment

Explanation:

Cyclical Unemployment occurs due to irregularities surrounding an economy and these said cycles eventually brings about recession and thus, a good number of willing workers would not be able to get jobs due to this fact. What Joseph is experiencing is called Cyclical unemployment.

Marigold Company owns equipment that cost $936,000 and has accumulated depreciation of $395,200. The expected future net cash flows from the use of the asset are expected to be $520,000. The fair value of the equipment is $416,000. Prepare the journal entry, if any, to record the impairment loss.

Answers

Answer:

Dr Impairment expense (p/l)   $20,800

Cr Accumulated depreciation   $20,800

Being entries to recognize the impairment of asset.

Explanation:

An asset is said to be impaired when the carrying amount is higher than the recoverable amount. The recoverable amount is the higher of the value in use (the expected future net cash flows from the use of the asset) and the  fair value less cost to sell.

Given;

Cost = $936,000

Accumulated depreciation = $395,200

Carrying amount = $936,000 - $395,200

= $540,800

The recoverable amount is the expected future net cash flows from the use of the asset $520,000 as this is higher than the fair value of the equipment which is $416,000.

Since the carrying amount is higher than the recoverable amount, the asset is impaired.

Impairment = $540,800 - $520,000

= $20,800

The journal entries,

Dr Impairment expense (p/l)   $20,800

Cr Accumulated depreciation   $20,800

Being entries to recognize the impairment of asset.

On 1 July 2019, Quick Buck Ltd took control of the assets and liabilities of Eldorado Ltd. Quick Buck Ltd issued 80,000 shares having a fair value of $2.40 per share in exchange for the net assets of Eldorado Ltd. The costs of issuing the shares by Quick Buck Ltd cost $1,600. At this date the statement of financial position of Eldorado Ltd was as follows: Carrying amount Fair value Machinery $40,000 $67,000 Fixtures & fittings 60,000 68,000 Vehicles 35,000 35,000 Current assets 10,000 12,000 Current liabilities (16,000) (18,000) Total net assets $129,000 Share capital (80,000 shares at $1.00 per share) $80,000 General reserve 20,000 Retained earnings 29,000 Total equity $129,000 Required: Prepare the journal entries in the records of Quick Buck Ltd at 1 July 2019 for the acquisition. (10 marks)

Answers

Answer and Explanation:

The journal entries are shown below:

1. On July 1 2019

Machinery Dr $67,000  

Fixture & Fittings Dr $68,000  

Vehicles Dr $35,000  

Current assets Dr $12,000  

Goodwill Dr $28,000  

          To Current liabilities      $18,000

          To Share Capital (80,000 × $1 ) $80,000

         To Paid in capital in excess of par 112,000  {80,000 × ($2.40 - $1)}  

(Being the acquisition is recorded)

For recording this we debited all assets as it increased the values of assets and credited the liabilities and stockholder equity as it also increased

2. On July 1 2019

Paid in capital in excess of par    $1,600  

           To Cash         $1,600

(Being the share issuance cost is recorded)

For recording this we debited the paid in capital as it reduced the stockholder equity and credited the cash as it reduced the assets  

Working notes:

For goodwill amount

= Purchase consideration - net identifiable assets

= $192,000 - $164,000

= $28,000

The net identifiable asset come from

= $67,000 + $68,000 + $35,000 + $12,000 - $18,000

= $164,000

1. The roles of money Antonio just graduated from college and is now in the market for a new car. He has saved up $4,000 for a down payment. He's deciding between a Super and a Duper. The Super is priced at $23,599, and the Duper is priced at $18,999. After agonizing over the decision, he decides to buy the Duper. He writes the dealership a check for $4,000 and takes out a loan for the remainder of the purchase price.

Answers

Answer:

Explanation:

Antonio used the value of money as a unit of account to compare the value of the two cars namely Super and Duper and come to the conclusion that Duper was cheaper to Super

Antonio saved $ 4000 in his checking account  which he gave to the seller. This represent money's role as a store of value

Antonio write a check of the money he saved to the seller and the seller accepted it and gave him the car which fulfill the role of money as a medium of exchange.

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