Answer:
a. Renewable resources
b. Exhaustible resources
c. Common pool resources
Explanation:
a. Resources for which periodic use can be continued indefinitely are known as renewable resources. These refer to resources which can be reproduced and available over a period of time
b. Resources that are available only in a fixed amount are exhaustible resources. These refer to resources which are available at fixed quantity.
c. The possibility that an open-access resource is used until the net marginal value of additional use equals zero is known as the Common pool resources. These refer to renewable resources which can be accessible by everyone.
Why did Steve and Vic focused on smaller cities rather than Silicon Valley
Answer:
focusing on smaller cities rather than areas like silicon valley a good strategy, why? Larger cities have a lot more competition and a great way to help others in smaller cities with money and jobs. They can have their businesses all over the world and be able to give success to everyone.
Explanation:
there is your answer
Extended warranties
Carnes Electronics sells consumer electronics that carry a 90-day manufacturer’s warranty. At the time of purchase, customers are offered the opportunity to also buy a two-year extended warranty for an additional charge. During the year, Carnes received $412,000 for these extended warranties (approximately evenly throughout the year).
Required:
1.Does this situation represent a loss contingency? Why or why not? How should it be accounted for?
2.Prepare journal entries that summarize sales of the extended warranties (assume all credit sales) and any aspects of the warranty that should be recorded during the year.
Solution :
1. This is not a loss contingency as extended warranty is being priced as well sold separately from warranted products and therefore constitutes the separate sales transaction.
2.
Event General Journal Debit Credit
1 Cash $412,000
Unearned revenue -- extended warranties $412,000
2. Unearned revenue -- extended warranties $ 57937.50
Revenue - Extended Warranties $ 57937.50
Working :
The manufacturer provided 90 days which is 3 months of free warranty. Thus a customer who is purchasing the extended warranty is for 09 months.
Now amount received by Carnes Electronics for the extended warranty in one year = $412,000
So, [tex]$\$ 412,000 \times \frac{9}{12}= \$309000$[/tex] of sales.
The warranty is for two years and so 4.5 months in one year.
Therefore the revenue earned on the extended warranty is :
[tex]$\$309000 \times \frac{4.5 \text{ months}}{24 \text{ months}}$[/tex]
= $ 57937.50