Suppose that Greece and Austria both produce beer and cheese. Greece's opportunity cost of producing a pound of cheese is 4 barrels of beer while Austria's opportunity cost of producing a pound of cheese is 10 barrels of beer. By comparing the opportunity cost of producing cheese in the two countries, you can tell thathas a comparative advantage in the production of cheese andhas a comparative advantage in the production of beer.
Suppose that Greece and Austria consider trading cheese and beer with each other. Greece can gain from specialization and trade as long as it receives more thanof beer for each pound of cheese it exports to Austria. Similarly, Austria can gain from trade as long as it receives more thanof cheese for each barrel of beer it exports to Greece.
Based on this, which of the following terms of trade (that is, price of cheese in terms of beer) would allow both Austria and Greece to gain from trade?
a. 18 pounds of fish per pound of cheese.
b. 9 pounds of fish per pound of cheese.
c. 1 pound of fish per pound of cheese.
d. 3 pounds of fish per pound of cheese.

Alpha company uses the periodic inventory system for purchase & sales of merchandise. discount terms for both purchases & sales are, 2/10, n30 and the gross method is used. unless otherwise noted, fob destination will apply to all purchases & sales. the value of inventory is based on periodic system. on january 1, 2016, beginning inventory consisted of 350 units of widgets costing $10 each. alpha prepares monthly income statements. the following events occurred during the month of jan.: dateactivitya. jan. 3purchased on account 350 widgets for $11 each. b.jan. 5sold on account 400 widgets for $30 each. paid freight out with petty cash of $150.c. jan. 10purchased on account 625 widgets for $12 each. d.jan. 11shipping cost for the january 10 purchased merchandise was $400 was paid with a cheque by alpha directly to the freight company. e.jan. 12returned 50 widgets received from jan. 10 purchase as they were not the correct item ordered. f.jan. 13paid for the purchases made on jan. 3.g. jan. 21sold on account 550 widgets for $30 each. paid freight out with petty cash of $250.h. jan. 22authorize credit without return of goods for 50 widgets sold on jan. 21 when customer advised that they were received in defective condition. i.jan. 25received payment for the sale made on jan. 5.j. jan. 26paid for the purchases made on jan. 10.k. jan. 31received payment for the sale made on jan. 21.use this information to prepare the general journal entries (without explanation) for the january events. if no entry is required then enter the date and write "no entry required."