On May 1, Anders Company purchased merchandise in the amount of $5,800 from Shilling, with credit terms of 2/10, n/30. Anders uses the perpetual inventory system and the gross method. The journal entry that Anders will make on May 1 is:. a. Account Title Debit Credit
Sales 5,800
Accounts Receivable 5,800
b. Account Title Debit Credit
Merchandise Inventory 5,800
Accounts Payable 5,800
c. Account Title Debit Credit
Accounts Payable 5,800
Sales 5,800
d. Account Title Debit Credit
Merchandise Inventory 5,800
Cash 5,800
e. Account Title Debit Credit
Purchases 5,800
Accounts Payable 5,800

answerorganizational language;

answer(d) the growth of consumption is likely to remain sluggish even as the economy begins to recover.;

answer: in the short-run firms will respond by raising the price of turkey.

explanation: initially the long-run equilibrium is at a price of $5 per pound of turkey and a quantity of 50 million pounds per year. now, when webmd claims that a protein found in turkey will increase your expected lifespan by 4 years. the consumers demand for turkey will increase at every price shifting the demand curve to the right from d1 to d2. while, there will be no change in the supply curve in the short-run as it is not possible for producers to adjust supply so quickly. as a result the new equilibrium will occur at a higher price and a higher quantity of turkey.

thus, in the short run firms will respond by increasing the price of turkey, selling more quantity at a higher price and earning economic profits.