During its first year of operations, tron auto dealership (tad) bought vehicles from a manufacturer on account at a cost of $625,000. tad returned $169,000 of these vehicles to the manufacturer for credit on its account. tad then sold $397,000 of the remaining vehicles at a selling price of $702,000. tad’s customers rarely return vehicles, so tad records sales returns only as they occur. one customer did return a vehicle to tad, which had been sold to the customer for $154,000. the vehicle was in perfect condition, so it was put back into tad’s inventory at tad’s cost of $93,000.prepare journal entries to record these transactions, assuming tad uses a perpetual inventory system. (if no entry is required for a transaction/event, select "no journal entry required" in the first account field.)

6. why the aggregate supply curve slopes upward in the short run in the short run, the quantity of output that firms supply can deviate from the natural level of output if the actual price level in the economy deviates from the expected price level. several theories explain how this might happen. for example, the misperceptions theory asserts that changes in the price level can temporarily mislead firms about what is happening to their output prices. consider a soybean farmer who expects a price level of 100 in the coming year. if the actual price level turns out to be 90, soybean prices will , and if the farmer mistakenly assumes that the price of soybeans declined relative to other prices of goods and services, she will respond by the quantity of soybeans supplied. if other producers in this economy mistake changes in the price level for changes in their relative prices, the unexpected decrease in the price level causes the quantity of output supplied to the natural level of output in the short run.