On June 15,Blonski Computer Company Sold Twenty-Five Computers on Account

question 39

Multiple Choice

On June 15,Blonski Computer Company sold twenty-five computers on account to a company located in Argentina for 3,000,000 pesos.On that date,the peso is worth $0.079.On July 15,when the peso was worth $0.070,payment was received.Blonski Computer Company uses the perpetual inventory system.Ignoring Cost of Goods Sold,the journal entry on June 15 by Blonski Computer Company would be:

• A)debit Accounts Receivable $237,000 and credit Sales Revenue $237,000.
• B)debit Accounts Receivable $210,000 and credit Sales Revenue $210,000.
• C)debit Accounts Receivable $210,000,debit to Foreign-Currency Transaction Loss $27,000 and credit Sales Revenue $237,000.
• D)debit Accounts Receivable $237,000,credit Sales $210,000,and credit Foreign Currency Transaction Gain $27,000.

Distinguish between constant-cost, increasing-cost, and decreasing-cost industries and their effects on long-run supply.

Recognize the conditions under which long-run equilibrium is achieved in a purely competitive market.

Grasp the concept of resource allocation efficiency in the context of marginal cost and price equality.

Understand the implications of changes in industry size on resource prices and production costs.

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Definitions:

Retailer

A business entity that sells goods or commodities directly to consumers, typically in small quantities.

Intermediary

An entity or individual that acts as a middleman between two parties in a transaction, usually within the supply chain for goods and services.

Marketing Channel

Pathways or routes through which goods and services flow from the producer to the consumer.

Producer

A Producer is an individual or organization that creates goods or services, often selling them to consumers or intermediary buyers.