, 03.12.2019 01:00 Katlynnmarkle13

# Microtech plans to sell 2,000 computers in april; 1,900 in may; and 2,000 in june. the company keeps 15% of the next month's sales as ending inventory. how many units should microtech produce in may? a) 2,200. b) 1,885. c) amount cannot be determined due to insufficient information. d) 1,915.

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Colah company purchased $1.8 million of jackson, inc. 8% bonds at par on july 1, 2018, with interest paid semi-annually. when the bonds were acquired colah decided to elect the fair value option for accounting for its investment. at december 31, 2018, the jackson bonds had a fair value of$2.08 million. colah sold the jackson bonds on july 1, 2019 for $1,620,000. the purchase of the jackson bonds on july 1. interest revenue for the last half of 2018. any year-end 2018 adjusting entries. interest revenue for the first half of 2019. any entry or entries necessary upon sale of the jackson bonds on july 1, 2019. required: 1. prepare colah's journal entries for above transaction. Answers: 1 Business, 01.02.2019 17:50 5. profit maximization and shutting down in the short run suppose that the market for polos is a competitive market. the following graph shows the daily cost curves of a firm operating in this market. 0 2 4 6 8 10 12 14 16 18 20 50 45 40 35 30 25 20 15 10 5 0 price (dollars per polo) quantity (thousands of polos) mc atc avc for each price in the following table, calculate the firm's optimal quantity of units to produce, and determine the profit or loss if it produces at that quantity, using the data from the previous graph to identify its total variable cost. assume that if the firm is indifferent between producing and shutting down, it will produce. (hint: you can select the purple points [diamond symbols] on the previous graph to see precise information on average variable cost.) price quantity total revenue fixed cost variable cost profit (dollars per polo) (polos) (dollars) (dollars) (dollars) (dollars) 12.50 135,000 27.50 135,000 45.00 135,000 if the firm shuts down, it must incur its fixed costs (fc) in the short run. in this case, the firm's fixed cost is$135,000 per day. in other words, if it shuts down, the firm would suffer losses of \$135,000 per day until its fixed costs end (such as the expiration of a building lease). this firm's shutdown priceĂ˘âŹâthat is, the price below which it is optimal for the firm to shut downĂ˘âŹâis per polo.