Please read carefully. Despite the limited resources and scarcity of products for our consumption, we still want to achieve maximum satisfaction. Given the resources below, please select the most efficient products that could be produced to maximize production and help the economy, write your answer on the space provided.
Raw material Finished Product/Services
1. Steel casino tokens or public cars?
2. Crude oil gasoline or kerosene?
3. Cars small cars or SUVs ?
4. Flour cakes or breads?
5. Cloth scraps doormats or washable masks
6. Fruits canned juices or fresh fruits?
7. Vegetables fresh or frozen vegetables?
8. Coconut oil cooking oil or expensive lotion?
9. Sources of air electric fans or units of aircon?
10. Imports PPEs or clothes from Korea
Yes, Inventories are an example of asset. Inventories are considered an asset because it is an important resources with value owned by a business or entity to operate. Inventories normally falls under the category of current assets since it can be expected that raw materials and finished goods can be sold within normal operating cycle of business.ASSETS
In accounting, assets are any resources with value owned by the business, company, entity or person. Assets have two categories, these are:Current AssetsNon-current Assets1. Current Assets
-these are assets that can be readily convertible to cash in a normal operating cycle of a business.Some Examples of Current AssetsCash and cash equivalentsAccounts ExpensesMarketable Securities2. Non-current Assets
-these are long-term assets or long-term investments that have a longer useful life that is usually more than 1 year. Not easily convertible to cash.Some Examples of Non-Current AssetsLandProperty, Plant and EquipmentTrademarksLong-term InvestmentsGoodwill
All fixed assets and intangible assets fall under the category of non-current assets.
What is the opposite of assets
Define Sales and Inventory System
For related topics about accounting equation
*Indicates a willingness na bumili ng isang good or services.
*Proseso sa pagidentify kung paano iaapportioned ang mga scarce resources kagaya ng mga needs and wants ng mga tao.
*kung paano nagwowork ang economy as a whole.
•Had a hard time doing this though, since my notes are in english :)
The correct answer among the above listed choices is letter b. Recording interest expense has an effect to decrease equity.Interest Expense
-it is the cost of borrowing money to an entity in a specified period of time. Interest is usually running every day but usually paid monthly, quarterly, semiannually, or annually depending on the agreement.
-this is recorded as a non-operating expense in the income statement.
The interest expense formula is:
Interest expense = (Days during which funds were borrowed ÷ 365 Days) x Interest rate x Principal
Interest Expense will usuallyincrease expenseeither increase liabilities or decrease assetsdecrease owners' equity
For related topic about Differentiate revenues from expenses
Assume you are exporting a perishable product from the Philippines to the United States
identify the various options available and the advantages and disadvantages.
When you are exporting some perishable goods to other countries which are far away from Philippines, you need to anticipate the arrival time or a lead time from country of origin to country the goods transported. Nowadays, due to business demand there a lot of alternative ways to speed up transportation of goods to avoid decay or damage of the items inside the container van. there are some logistic express who cater globally. The services fee are quite costly and you need to process some legal documents such as way bills and other exportation fees. The good thing about this is, after all, your business will earn dollars because the recipient of the goods will pay you in dollar.