3) Supply and Demand Please read the article entitled "Oil Prices Fall as Investors Fear Less Demand" and answer the following questions. a) According to the article and our class notes, what do you think could have been causing the rise in the supply of oil? Please explain your answer. b) According to the article and our class notes, what do you think could have been causing the fall in demand for oil? Please explain your answer. c) Based upon the noted effects upon the supply and demand for oil, what do you think will happen to the price for oil? (Please use graphs to support your answer).

Required prepare the necessary adjusting entries in the general journal as of december 31, assuming the following: on september 1, the company entered into a prepaid equipment maintenance contract. birch company paid $3,400 to cover maintenance service for six months, beginning september 1. the payment was debited to prepaid maintenance. supplies on hand at december 31 are $3,900. unearned commission fees at december 31 are $7,000. commission fees earned but not yet billed at december 31 are $3,500. (note: debit fees receivable.) birch company's lease calls for rent of $1,600 per month payable on the first of each month, plus an annual amount equal to 1% of annual commissions earned. this additional rent is payable on january 10 of the following year. (note: be sure to use the adjusted amount of commissions earned in computing the additional rent.)

Stosch company's balance sheet reported assets of $112,000, liabilities of $29,000 and common stock of $26,000 as of december 31, year 1. if retained earnings on the balance sheet as of december 31, year 2, amount to $74,000 and stosch paid a $28,000 dividend during year 2, then the amount of net income for year 2 was which of the following? a)$23,000 b) $35,000 c) $12,000 d)$42,000

Because the demand for wheat tends to be inelastic. true or false