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a. Identify at least two reasons why an accrual accounting income statement is more useful for analyzing business performance than a cash flow based income statement.
b. Describe what would be reported on the asset side of a cash flow based balance sheet versus the asset side of an accrual accounting balance sheet.
c. A strength of accrual accounting is its relevance for decision making. The strength of cash flow information is its reliability. Explain what makes accrual accounting more relevant and cash flows more reliable.
Industries in which there are only a few sellers of closely identical products a. Are usually perfectly competitive in their price policies since each firm knows that by cutting its price a little, it can capture a significantly larger market shar..
Suppose there are 10 consumers in the industry. Each has the following demand: p = 10 - q-Calculate aggregate demand and aggregate supply in the market.
A private investor has no more than $10,000 to purchase common stocks in two companies in the financial sector. After reading many analyst's reports on the two companies, she estimates the chance of a 1% loss on her capital investment in Company A..
Households at bottom, Business at top, Product mkt left, Resource mkt. right side. And government in middle. Also bank is out of flow between product mkt. and Business's with money flowing in and out of flow. Diagram only portrays flow of money betwe..
Assume that in a small open economy where full employment always prevails, national saving is 300. If domestic investment is given by I=400-20r, where r is the real interest rate in percent, what would the equilibrium interest rate be if the econo..
Refer to the above data. If the product price is $95, at its optimal output will the firm realize an economic profit, break even, or incur an economic loss?
Draw a long run average cost and marginal cost curve for a business and explain why they have this shape. Explain why this may not be sustainable in the long.
Assume that Jimmy Cash has $2,500 in his checking account at Folsom Bank and uses his checking account card to withdraw $250 of cash from the bank's ATM machine. By what dollar amount did the M1 money supply change as a result of this single, isol..
Research the elasticity of beef and eggs in regards to price changes. Explain how do supply, demand, and price controls interact to affect equilibrium price of eggs
a. Draw the long run Phillips curve and the short run Phillips curve if expected inflation and actual inflation are 3%. (Label "A")
Be sure to include in that article and your discussion how any emerging business trends may affect your career choices.
Suppose that the production function were . Assume that A = 100,000, and that the current level of the capital stock is 10,000.
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