Discuss the cross-price elasticity of demand calculator.

What is a contractionary fiscal policy?

Is depreciation on factory equipment a period cost?

What is the difference between expansionary and contractionary fiscal policy?

What are the four phases of the business cycle?

What is the crowding-out effect?

Edgar Corporation was authorized to issue 100,000 shares of $8 par common stock and 50,000 shares of$80 par, 4 percent, cumulative preferred stock. Edgar Corporation completed the following transactions during its first two years of operation:

2016

Jan. 2 - Issued 25,000 shares of $8 par common stock for$10 per share.

Jan. 15 - Issued 2,000 shares of $80 par preferred stock for$90 per share.

Feb. 14 - Issued 20,000 shares of $8 par common stock for$12 per share.

Dec. 31 - During the year, earned $280,000 of cash revenues and paid$165,000 of cash operating expenses.

Dec. 31 - Declared the cash dividend on outstanding shares of preferred stock for 2016. The dividend will be paid on January 31 to stockholders of record on January 15, 2017.

Dec. 31 - Closed revenue, expense, and dividend accounts to the retained earnings account.

2017

Jan. 31 - Paid the cash dividend declared on December 31, 2016.

Mar. 1 - Issued 4,000 shares of $80 par preferred stock for$92 per share.

June 1 - Purchased 1,000 shares of common stock as treasury stock at $14 per share.

Dec. 31 - During the year, earned$185,000 of cash revenues and paid $110,000 of cash operating expenses.

Dec. 31 - Declared the dividend on the preferred stock and a$1.00 per share dividend on the common stock.

Dec. 31 - Closed revenue, expense, and dividend accounts to the retained earnings account.

Required

Prepare the balance sheet at December 31, 2017.

The Electric Company engaged in the following transactions during 2017. The beginning cash balance was $43,000 and the ending cash balance was$48,600.

1. Sales on account were $274,000. The beginning receivables balance was$86,000 and the ending balance was $74,000.

2. Salaries expense was$115,000. The beginning salaries payable balance was $9,600 and the ending balance was$7,500.

3. Other operating expenses were $118,000. The beginning Other Operating Expenses Payable balance was$8,500 and the ending balance was $6,000.

4. Recorded$25,000 of depreciation expense. The beginning and ending balances in the Accumulated Depreciation account were $18,000 and$43,000, respectively.

5. The Equipment account had beginning and ending balances of $28,000 and$42,000, respectively. There were no sales of equipment during the period.

6. The beginning and ending balances in the Notes Payable account were $38,000 and$32,000, respectively. There were no notes payable issued during the period.

7. There was $4,600 of interest expense reported on the income statement. The beginning and ending balances in the Interest Payable account were$6,400 and $6,200, respectively.

8. The beginning and ending Merchandise Inventory account balances were$26,000 and $32,500, respectively. The company sold merchandise with a cost of$119,000. The beginning and ending balances in the Accounts Payable account were $10,000 and$12,500, respectively.

9. The beginning and ending balances in the Notes Receivable account were $80,000 and$20,000, respectively. Notes receivable result from long-term loans made to creditors. There were no loans made to creditors during the period.

10. The beginning and ending balances in the Common Stock account were $140,000 and$190,000, respectively. The increase was caused by the issue of common stock for cash.

11. Land had beginning and ending balances of $48,000 and$28,000, respectively. Land that cost $20,000 was sold for$16,000, resulting in a loss of $4,000.

12. The tax expense for the period was$6,600. The Tax Payable account had a $3,200 beginning balance and a$2,800 ending balance.

13. The Investments account had beginning and ending balances of $10,000 and$30,000, respectively. The company purchased investments for $40,000 cash during the period, and investments that cost$20,000 were sold for $26,000, resulting in a$6,000 gain.

Required

Prepare a statement of cash flows. Assume The Electric Company uses the direct method for showing net cash flow from operating activities.

What is the bottom line of the current (last) budget approved by congress (surplus or shortage)?

What depreciation method to use for vehicles?

Discuss the given statement: A taxpayer cannot use straight-line depreciation for residential rental property.

Contractionary fiscal policy could be carried out by?

Determine the basis of gifted property to calculate gain and depreciation.

Discuss the depreciation of air conditioners in rental property.