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Many people are worried about electronic viruses of online shopping.NEW QUESTION 42
In order to increase the amount of output sold, a monopoly must:- A. Decrease the price of the last unit sold but maintain the price of all other units sold constant.
- B. Increase the price of the last unit sold but maintain the price of all previous units sold constant.
- C. Decrease the price on all units sold.
Answer: C
Explanation:
The price of all units of output sold must decrease.
NEW QUESTION 43
Of the following statements:
I). The level of significance of a hypothesis test is the probability of rejecting the null hypothesis when it is actually true.
II). Type II error is failing to reject the null hypothesis when it is actually false.- A. I and II are true
- B. Only II is true
- C. Only I is true
Answer: A
NEW QUESTION 44
Beginning accounts receivable $ 50,000 Ending accounts receivable $ 30,000 Net sales $600,000
Cost of goods sold $375,000 Operating expenses $ 80,000
What was the amount of cash received from customers?- A. $580,000
- B. $630,000
- C. $620,000
Answer: C
Explanation:
Cash received from customers = Net sales + Decrease in Accounts Receivable or - Increase in Accounts Receivable. $600,000 + ($50,000 - $30,000) = $620,000.
NEW QUESTION 45
If a lessor appropriately classifies a lease as a sales-type lease, the following items related to the lease should be reported on the lessor's income statement in the first year of the lease:
I). Rental Revenue
II). Interest Revenue
III). Depreciation Expense
IV). Income (loss) on Sale of Leased Property- A. II, III, and IV only
- B. II and IV only
- C. I and III only
Answer: B
Explanation:
Rental revenue is only recognized in an operating lease. If it is a sales-type lease, there is profit on the sale as well as the interest revenue on the receivable. As the lessor no longer reports the asset on its records, it does not record depreciation on it.
NEW QUESTION 46
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