Dunn Trading Stamp Company records stamp service revenue and provides for the cost of redemptions in the year the stamps are sold to licensees. Dunn's past experience indicates that only 75% of the stamps sold to licensees will be redeemed. Dunn's liability for stamp redemptions was $6,000,000 at December 31, Year 3. Additional information for Year 4 is as follows: Stamp service revenue from stamps sold to licensees $4,000,000 Cost of redemptions (stamps sold prior to 1/1/Year 4) $2,750,000 If all the stamps sold in Year 4 were presented for redemption in Year 5, the redemption cost would be: $2,250,000 Required: What amount should Dunn report as a liability for stamp redemptions at December 31, Year 4.

Anew japanese restaurant opens two blocks from your home. the owner, reiko, is a personal friend of yours. you don't particularly like japanese food, but you decide to go anyway; however, there is nothing on the menu that sounds appealing. unfortunately, it turns out that most of the people in your town don't like japanese cuisine either. reiko confides that business is not good, but she isn't sure what to do from an economic standpoint. which of the following would most likely describe adam smith's perspective on this problem? select one: a. reiko should ask the government for assistance. b. reiko should close the restaurant and find a different career. c. reiko should lay off workers and do everything herself to save money. d. reiko should add other foods to the menu and offer discounts to attract more people to her restaurant.