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Format for recording transaction into two column cashbook in accounting
a. Explain five reasons why we study accounting
b. Discuss five characteristics of the use of accounting information
c. Outline five stages in bank reconciliation
d. Outline five errors affecting the balancing of a trial balancing and five ways in correcting the errors
e. Definition of accounting
Given the following market demand function of commodity X.
Qx=F[Px, Py, Pz, I, T, A]
Where:
Px= Price of commodity
Py= Price of substitute commodity Y
Pz= Price of commodity Y, which is
complement of X
I= Level of per capital income of
customers
T=Taste and preference of consumers
A=Advertising expenditure by a firm
producing X
How will be the consumer demand for a commodity X change?
a. If price of commodity X rises
b. If price of substitute good Y rises
c. If price of complement commodity Z
falls
d. Per capital income of the consumer
rises
e .The firm production X increases it's advertisement expenditure
Whether merit or demerit goods are best provided in a market economy
suppose that there is an increase in the foreign interest rate. use the IS and LM curves to show what will happen in the domestic economy when there is perfect capital mobility and pegged exchange rate
As a firm believer in the idea of sustainability, you were able to discover a cheap and efficient technology of recycling plastic bottles and single use bags into various products. To make this technology a profitable business opportunity, your firm collaborates with Adhuna Ltd. which is in the production of plastic helmets for construction purposes and plastic durables for households. Given this product range, your firm has the following two production opportunities:
● In the first case your estimated annual revenue is Rs. 2,50,000, and the production will cost you Rs. 80,000.
● In your second option, you expect to sell 2000 helmets every year at Rs. 100 each, and the average total cost of every helmet will be Rs.20.
a. Which production opportunity will you choose and why?
b. If you do so, what will be your economic profit?
In line with the overall development of the health infrastructure, the state governments across the country provides a grant of Rs.6,00,000 each year to various laboratories across various organisations to conduct cancer research, where the costs of operating the research lab is Rs.3,00,000. Prima Donna, which is a leading alcohol beverage manufacturing company, offers funding of Rs. 8,00,000 each year to do beer research, but researching on beer would increase costs by Rs. 50,000.
1. What is the opportunity cost of conducting cancer research? Break this into implicit and explicit costs.
2. What option will the department choose? What are the opportunity costs of this choice?
The schedule below shows the quantities of shoes demanded at each income level in a community from 2020 to 2021:
Year
Income (R)
2020
5 000
1 000
Quantity (units) 2021
6 500
900
- Calculate the income elasticity of demand, using the arc method and interpret your result
- List any four factors that could result in the shoes having inelastic price elasticity of demand
- Explain the importance of understanding the relationship between price elasticity of demand and total revenue.
Assume that workers in the orange farming industry start demanding higher salaries and wages. Illustrate and explain how this would impact the equilibrium price and quantity of oranges
Explain any two advantages and two disadvantages of the economic system used in your chosen country. (5)
#340153 on Dec 2023