Explain the importance of international trade to global economy.

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Answer 1

Question

Chapter 1, Problem 1Q

To determine

Explain the importance of international trade to global economy.

Expert Solution & Answer

Answer to Problem 1Q

International trade refers to exchange of goods and services between different nations. With the advent of globalization, every country is dependent on one another for meeting various needs like that of capital, raw materials and labor. Such a move where nations have opened their economy to each other has impacted global economy to a great extent.

Explanation of Solution

International Trade:

Economics is all about efficient allocation and utilization of scarce resources. International trade has facilitated smooth purchase and sale of goods in different markets of the world, thereby enabling fuller utilization of resources.

Some of the advantages of having international trade are enumerated below:

Facilitates economic growth: International trade brings about global competitiveness that enhances the efficiency of domestic market as they can make use of latest technology and expertise.
Utilize profuse resources: Some countries are endowed with certain resources while there are other countries that have limited access to these resources. International trade has brought together these nations that could sell excess resources to the countries that need them, thereby making efficient use of resources.
Countries gain from international trade: Corporations could export those goods that are available in abundance and import scarce ones. As such; they could make much more profits as compared to selling already abundant goods in the home country.

Conclusion

Therefore, it can be said that international trade has positively influenced global economy by bridging the gap between developing and developed nations.

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Students have asked these similar questions

ht = ences X On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $84,920 in assets to launch the business. On December 31, the company's records show the following items and amounts. Cash withdrawals by owner Consulting revenue Salaries expense Cash $ 8,450 Accounts receivable 16,950 Office supplies 4,080 Rent expense Land 46,020 Office equipment 18,860 Telephone expense Accounts payable 9,280 Owner investments 84,920 Miscellaneous expenses $ 2,930 16,950 4,420 7,900 860 680 Exercise 1-18 (Algo) Preparing an income statement LO P2 Using the above information prepare a December income statement for the business. ERNST CONSULTING Income Statement Revenues Rent expense Salaries expense Telephone expense Total revenues $ 4,420 7,900 860 $ SA Assets Cash 8,450 Accounts receivable 16,950 Office supplies 4,080 Land 46,020 Office equipment 18,860 navable 9,280 13,180 5 11 of 14 Next >

Equipment was acquired at the beginning of the year at a cost of $77,220. The equipment was depreciated using the straight-line method based upon an estimated useful life of 6 years and an estimated residual value of $7,560. P1 What was the depreciation expense for the first year? _______ P2 Assuming the equipment was sold at the end of the second year for $58,320, determine the gain or loss on sale of the equipment. $_______________ P3 Journalize the entry to record the sale. Refer to the Chart of Accounts for exact wording of account titles. 1. ____ Debit / Credit 2.____ Debit / Credit 3.____ Debit / Credit 4.____ Debit / Credit

Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $84,920 in assets to launch the business. On December 31, the company's records show the following items and amounts. Cash Accounts receivable Office supplies Land Office equipment Accounts payable Owner investments $ 8,450 Cash withdrawals by owner 16,950 4,080 Rent expense Consulting revenue Salaries expense 18,860 Telephone expense Miscellaneous expenses 46,020 9,280 84,920 $ 2,930 16,950 4,420 7,900 860 680 Check my work Exercise 1-21 (Algo) Preparing a statement of cash flows LO P2 Also assume the following: a. The owner's initial investment consists of $38,900 cash and $46,020 in land. b. The company's $18,860 equipment purchase is paid in cash. c. Cash paid to employees is $2,700. The accounts payable balance of $9,280 consists of the $4,080 office supplies…

Answer 2

Question

Chapter 1, Problem 1Q

To determine

Explain the importance of international trade to global economy.

Expert Solution & Answer

Answer to Problem 1Q

International trade refers to exchange of goods and services between different nations. With the advent of globalization, every country is dependent on one another for meeting various needs like that of capital, raw materials and labor. Such a move where nations have opened their economy to each other has impacted global economy to a great extent.

Explanation of Solution

International Trade:

Economics is all about efficient allocation and utilization of scarce resources. International trade has facilitated smooth purchase and sale of goods in different markets of the world, thereby enabling fuller utilization of resources.

Some of the advantages of having international trade are enumerated below:

Facilitates economic growth: International trade brings about global competitiveness that enhances the efficiency of domestic market as they can make use of latest technology and expertise.
Utilize profuse resources: Some countries are endowed with certain resources while there are other countries that have limited access to these resources. International trade has brought together these nations that could sell excess resources to the countries that need them, thereby making efficient use of resources.
Countries gain from international trade: Corporations could export those goods that are available in abundance and import scarce ones. As such; they could make much more profits as compared to selling already abundant goods in the home country.

Conclusion

Therefore, it can be said that international trade has positively influenced global economy by bridging the gap between developing and developed nations.

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Answer 3

Question

Chapter 1, Problem 1Q

To determine

Explain the importance of international trade to global economy.

Expert Solution & Answer

Answer to Problem 1Q

International trade refers to exchange of goods and services between different nations. With the advent of globalization, every country is dependent on one another for meeting various needs like that of capital, raw materials and labor. Such a move where nations have opened their economy to each other has impacted global economy to a great extent.

Explanation of Solution

International Trade:

Economics is all about efficient allocation and utilization of scarce resources. International trade has facilitated smooth purchase and sale of goods in different markets of the world, thereby enabling fuller utilization of resources.

Some of the advantages of having international trade are enumerated below:

Facilitates economic growth: International trade brings about global competitiveness that enhances the efficiency of domestic market as they can make use of latest technology and expertise.
Utilize profuse resources: Some countries are endowed with certain resources while there are other countries that have limited access to these resources. International trade has brought together these nations that could sell excess resources to the countries that need them, thereby making efficient use of resources.
Countries gain from international trade: Corporations could export those goods that are available in abundance and import scarce ones. As such; they could make much more profits as compared to selling already abundant goods in the home country.

Conclusion

Therefore, it can be said that international trade has positively influenced global economy by bridging the gap between developing and developed nations.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Chapter 1, Problem 1Q

To determine

Explain the importance of international trade to global economy.

Expert Solution & Answer

Answer to Problem 1Q

International trade refers to exchange of goods and services between different nations. With the advent of globalization, every country is dependent on one another for meeting various needs like that of capital, raw materials and labor. Such a move where nations have opened their economy to each other has impacted global economy to a great extent.

Explanation of Solution

International Trade:

Economics is all about efficient allocation and utilization of scarce resources. International trade has facilitated smooth purchase and sale of goods in different markets of the world, thereby enabling fuller utilization of resources.

Some of the advantages of having international trade are enumerated below:

Facilitates economic growth: International trade brings about global competitiveness that enhances the efficiency of domestic market as they can make use of latest technology and expertise.
Utilize profuse resources: Some countries are endowed with certain resources while there are other countries that have limited access to these resources. International trade has brought together these nations that could sell excess resources to the countries that need them, thereby making efficient use of resources.
Countries gain from international trade: Corporations could export those goods that are available in abundance and import scarce ones. As such; they could make much more profits as compared to selling already abundant goods in the home country.

Conclusion

Therefore, it can be said that international trade has positively influenced global economy by bridging the gap between developing and developed nations.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 1, Problem 1Q

To determine

Explain the importance of international trade to global economy.

Expert Solution & Answer

Answer to Problem 1Q

International trade refers to exchange of goods and services between different nations. With the advent of globalization, every country is dependent on one another for meeting various needs like that of capital, raw materials and labor. Such a move where nations have opened their economy to each other has impacted global economy to a great extent.

Explanation of Solution

International Trade:

Economics is all about efficient allocation and utilization of scarce resources. International trade has facilitated smooth purchase and sale of goods in different markets of the world, thereby enabling fuller utilization of resources.

Some of the advantages of having international trade are enumerated below:

Facilitates economic growth: International trade brings about global competitiveness that enhances the efficiency of domestic market as they can make use of latest technology and expertise.
Utilize profuse resources: Some countries are endowed with certain resources while there are other countries that have limited access to these resources. International trade has brought together these nations that could sell excess resources to the countries that need them, thereby making efficient use of resources.
Countries gain from international trade: Corporations could export those goods that are available in abundance and import scarce ones. As such; they could make much more profits as compared to selling already abundant goods in the home country.

Conclusion

Therefore, it can be said that international trade has positively influenced global economy by bridging the gap between developing and developed nations.

Answer 6

Chapter 1, Problem 1Q

To determine

Explain the importance of international trade to global economy.

Expert Solution & Answer

Answer to Problem 1Q

International trade refers to exchange of goods and services between different nations. With the advent of globalization, every country is dependent on one another for meeting various needs like that of capital, raw materials and labor. Such a move where nations have opened their economy to each other has impacted global economy to a great extent.

Explanation of Solution

International Trade:

Economics is all about efficient allocation and utilization of scarce resources. International trade has facilitated smooth purchase and sale of goods in different markets of the world, thereby enabling fuller utilization of resources.

Some of the advantages of having international trade are enumerated below:

Facilitates economic growth: International trade brings about global competitiveness that enhances the efficiency of domestic market as they can make use of latest technology and expertise.
Utilize profuse resources: Some countries are endowed with certain resources while there are other countries that have limited access to these resources. International trade has brought together these nations that could sell excess resources to the countries that need them, thereby making efficient use of resources.
Countries gain from international trade: Corporations could export those goods that are available in abundance and import scarce ones. As such; they could make much more profits as compared to selling already abundant goods in the home country.

Conclusion

Therefore, it can be said that international trade has positively influenced global economy by bridging the gap between developing and developed nations.

Answer 7

Chapter 1, Problem 1Q

To determine

Explain the importance of international trade to global economy.

Answer 8

Expert Solution & Answer

Answer to Problem 1Q

International trade refers to exchange of goods and services between different nations. With the advent of globalization, every country is dependent on one another for meeting various needs like that of capital, raw materials and labor. Such a move where nations have opened their economy to each other has impacted global economy to a great extent.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

Explanation of Solution

International Trade:

Economics is all about efficient allocation and utilization of scarce resources. International trade has facilitated smooth purchase and sale of goods in different markets of the world, thereby enabling fuller utilization of resources.

Some of the advantages of having international trade are enumerated below:

Facilitates economic growth: International trade brings about global competitiveness that enhances the efficiency of domestic market as they can make use of latest technology and expertise.
Utilize profuse resources: Some countries are endowed with certain resources while there are other countries that have limited access to these resources. International trade has brought together these nations that could sell excess resources to the countries that need them, thereby making efficient use of resources.
Countries gain from international trade: Corporations could export those goods that are available in abundance and import scarce ones. As such; they could make much more profits as compared to selling already abundant goods in the home country.

Answer 12

Conclusion

Therefore, it can be said that international trade has positively influenced global economy by bridging the gap between developing and developed nations.

Answer 13

Ch. 1 - Prob. 1Q Ch. 1 - 2. What accounting issues arise for a company as a...Ch. 1 - 3. Why might a company be interested in investing...Ch. 1 - 4. How important is foreign direct investment to...Ch. 1 - 5. What financial reporting issues arise as a...Ch. 1 - 6. What taxation issues arise as a result of...Ch. 1 - Prob. 7Q Ch. 1 - 8. Why might a company want its stock listed on a...Ch. 1 - 9. Where might one find information that could be...Ch. 1 - Prob. 10Q

Explain the importance of international trade to global economy.

Concept explainers

Explain the importance of international trade to global economy.

Answer to Problem 1Q

Explanation of Solution

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