Explanation:
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If market interest rates increase after a bond is issued, the market value of the bond is decreasing.
A bond is a fixed income debt instrument. The bond issuer pays investors interest rates and at the end of the investment period, the bond issuer pays the investor back her principal.
The value of a bond and its interest rate is inversely related. When the interest rate of a bond increases, the value of the bond decreases and when interest rate decreases, the value of the bond increases.
For example assume that the interest rate of a one-year bond with face value of 1000 is 5%. The value of the bond is 1000 / 1.05 = 952.38. If the interest rate increases to 8%, the value of the bond becomes 1000 / 1.08 = 925.93.
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2) A soft drinks manufacturer sells each can for 50p. The variable costs per can are 10p. Fixed costs per year are £4 million. How much profit will be made if the business sells 15 million cans?
A- £2 million
B- £3 million
C- £6 million
D- £3.5 million
Answer:
Profit on 15,000,000 cans = £2 million
Explanation:
Given:
Sales price per can = £0.5
Variable cost per can = £0.1
Fixed costs per year = £4,000,000
Find:
Profit on 15,000,000 cans
Computation:
Profit on 15,000,000 cans = (Sales price per can)(15,000,000) - Fixed costs per year - (Variable cost per can)(15,000,000)
Profit on 15,000,000 cans = (£0.50)(15,000,000) - £4,000,000 - (£0.10)(15,000,000)
Profit on 15,000,000 cans = £7,500,000 - £4,000,000 - £1,500,000)
Profit on 15,000,000 cans = £2,000,000
Profit on 15,000,000 cans = £2 million
Tom has brought $150,000 from his pension to a new job where his employer will match
401(k) contributions dollar for dollar. Each year he contributes $3,000. After seven years,
how much money would Tom have in his 401(k)? Show your calculations.
Tanner-UNF Corporation acquired as an investment $300 million of 6% bonds, dated July 1, on July 1, 2021. Company management is holding the bonds in its trading portfolio. The market interest rate (yield) was 8% for bonds of similar risk and maturity. Tanner-UNF paid $250 million for the bonds. The company will receive interest semiannually on June 30 and December 31. As a result of changing market conditions, the fair value of the bonds at December 31, 2021, was $260 million.
Required:
1. & 2. Prepare the journal entry to record Tanner-UNF’s investment in the bonds on July 1, 2021 and interest on December 31, 2021, at the effective (market) rate.
3. Prepare any additional journal entry necessary for Tanner-UNF to report its investment in the December 31, 2021, balance sheet.
4. Suppose Moody’s bond rating agency downgraded the risk rating of the bonds motivating Tanner-UNF to sell the investment on January 2, 2022, for $260 million. Prepare the journal entries required on the date of sale.
Journal Entry 4a
Prepare any journal entry needed to adjust the investment to fair value.
Journal Entry 4b
Record the sale of the investment by Tanner-UNF.
Answer:
1. July 1, investment in UNF bonds
Dr Investment in bonds HTM 300,000,000
Cr Cash 250,000,000
Cr Discount on bonds 50,000,000
December 31, interest revenue from investment in bonds
Dr Cash 9,000,000
Dr Discount on bonds 1,000,000
Cr Interest revenue 10.000,000
Discount on bonds = ($250,000,000 x 4% x 1/2) - ($300,000,000 x 3% x 1/2) = $1,000,000
2. Prepare any additional journal entry necessary for Tanner-UNF to report its investment in the December 31, 2018, balance sheet.
Investment in bonds HTM = $300,000,000 (face value) - $49,000,000 (discount on bonds) = $251,000,000
Changes in the market value of bonds held to maturity are not considered by the company.
4. Suppose Moody's bond rating agency downgraded the risk rating of the bonds motivating Tanner-UNF to sell the investment on January 2, 2019, for $310.0 million. Prepare the journal entry to record the sale.
Dr Cash 310,000,000
Dr Discount on bonds 49,000,000
Cr Investment in bonds HTM 300,000,000
Cr Gain on investment in bonds HTM 59,000,000
why do we have a graduated income tax?
Answer:
Progressive taxes are imposed in an attempt to reduce the tax incidence of people with a lower ability to pay, as such taxes shift the incidence increasingly to those with a higher ability-to-pay.
Explanation:
The price of a gallon of milk falls. Which of the following is a possible cause?
a discovery that milk cause diabetes
a drought that reduces supplies of feed grains fed to cows that produce milk
an increase in the income of the average household, with milk being a normal good
a decrease in the price of oatmeal, a complement to milk
When there is a fall in the price of the gallon of milk, the most possible cause among all the given causes is that “a discovery that milk causes diabetes”. Hence, Option A is correct.
What is the fall in the price?Both terms have the same meaning: it is a period in which the price of a commodity or any product falls in comparison to other products on the market, which can be its substitute or complement, or it can also be a competitive product.
There were reasons why the price of any product fell. Sometimes, the supply of any product in the market is in abundance. In that case, the price of any product will fall.
When it comes to the price fall of a gallon of milk, it is because people who consume milk find that the main reason or one of the reasons for diabetes is milk.
Thus, Option A is correct.
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Weighted Average Method, Separate Materials Cost
Janbo Company produces a variety of stationery products. One product, sealing wax sticks, passes through two processes: blending and molding. The weighted average method is used to account for the costs of production. After blending, the resulting product is sent to the molding department, where it is poured into molds and cooled. The following information relates to the blending process for August:
a. Work in Process on August 1, had 30,000 pounds, 20% complete. Costs associated with partially completed units were:
Materials $220,000
Direct labor 30,000
Overhead applied 20,000
b. Work in Process on August 31, had 50,000 pounds, 40% complete.
c. Units completed and transferred out totaled 480,000 pounds. Costs added during the month were (all inputs are added uniformly):
Materials $5,800,000
Direct labor 4,250,000
Overhead applied 1,292,500
Required:
1a. Prepare a physical flow schedule.
Janbo Company
Physical Flow Schedule
Units to account for:
Units in beginning work in process
Units started
Total units to account for
Units accounted for:
Units completed
From ending work in process
Total units accounted for
1b. Prepare an equivalent unit schedule.
Janbo Company
Schedule of equivalent units
Weighted Average Method
Units completed
Units in ending work in process
Total equivalent units
2. Calculate the unit cost. Round unit cost value to three decimal places.
$
3. Compute the cost of EWIP and the cost of goods transferred out.
Ending work in process $
Goods transferred out $
4. Prepare a cost reconciliation.
Janbo Company
Cost Reconciliation
Costs to account for:
Beginning WIP $
August costs
Total to account for $
Costs accounted for:
Transferred out $
Ending WIP
Total costs accounted for
$
5. Suppose that the materials added uniformly in blending are paraffin and pigment and that the manager of the company wants to know how much each of these materials costs per equivalent unit produced. The costs of the materials in BWIP are as follows:
Paraffin $120,000
Pigment 100,000
The costs of the materials added during the month are also given:
Paraffin $3,250,000
Pigment 2,550,000
Prepare an equivalent unit schedule with cost categories for each material.
Paraffin Pigment
Units completed
Units in ending WIP
Total equivalent units
Unit cost computation:
Costs in BWIP $ $
Costs added
Total costs $ $
Calculate the cost per unit for each type of material. Round your answers to the nearest cent.
Unit paraffin cost $per unit
Unit pigment cost $per unit
Harrison Ford Company has been approached by a new customer with an offer to purchase 10,000 units of its model IJ5 at a price of $3.90 each. The new customer is geographically separated from the company's other customers, and existing sales would not be affected. Harrison normally produces 75,000 units of IJ5 per year but only plans to produce and sell 60,000 in the coming year. The normal sales price is $12 per unit. Unit cost information for the normal level of activity is as follows:
Fixed overhead will not be affected by whether or not the special order is accepted.
Direct Materials $1.75
Direct Labor 2.50
Variable Overhead 1.50
Fixed Overhead 3.25
Total $9.00
1. What are the relevant costs and benefits of the two alternatives (accept or reject the special order)?
2. By how much will operating income increase or decrease if the order is accepted?
Answer:
For the special order the company will not incur any additional fixed cost as the special order is within the normal range of production.
Sales ( 10000 * 5 ) 50000
(-) Direct materials ( 10000 * 1.75 ) 17500
(-) Direct labor ( 10000 * 2.50 ) 25000
(-) Variable overhead ( 10000 * 1.50 ) 15000
Income / (loss) (7500)
Required 1 :
Answer : Reject
Required 2 :
Answer : Decrease by 7500
when sam returned home from the grocery Store, he realized that he did not have his wallet. His wallet contains his credit card, debit Card, drivers license, and some cash what would you do in this situation? explain answer. ty
Answer: go back and find the wallet and if I can’t find it go to the police so they can track my card
Explanation:
What is opportunity cost?
The tax that is paid on income
The fees that are paid for education
the value of an alternative you give up
the interest paid on a long-term investment
We are evaluating a project that costs $644,000, has an eight-year life, and has no salvage value. Assume that depreciation is straight-line to zero over the life of the project. Sales are projected at 70,000 units per year. Price per unit is $37, variable cost per unit is $21, and fixed costs are $725,000 per year. The tax rate is 35 percent, and we require a 15 percent return on this project.
Required:
a. Calculate the accounting break-even point.
b. Calculate the base-case cash flow and NPV. What is the sensitivity of NPV to changes in the sales figure? Explain what your answer tells you about a 500-unit decrease in projected sales.
c. What is the sensitivity of OCF to changes in the variable cost figure? Explain what your answer tells you about a $1 decrease in estimated variable costs.
Solution :
a).
Particulars Details
Selling price per unit 37
Less : variable cost per unit -21
Margin per unit 16
No. of units sold per unit 70,000
Gross margin 11,20,000
Less : fixed cost - 7,25,000
Profit before depreciation and tax 3,95,000
Less : depreciation -80,500
Profit before tax 3,14,500
Less : Tax -1,10,075
Net profit per year 2,04,425
Project Cost 6,44,000
Accounting breakeven point in years 3.15
b).
Calculating the base Cash - Cash flow and NPV
Particulars Amount
Net profit per year 2,04,425
Add : depreciation 80,500
Base Cash cashflow 2,84,925
Required rate of return 15%
Present value of base cash cash flow 12,78,550
received in 8 years.
Project cost -6,44,000
NPV 6,34,550
The present value of base cash cash flow received in 8 years is calculated as Present value of annuity received at the end of each year $ 2,84,925 at the rate of interest 15% for a period of 8 years.
The sensitivity of the NPV to 500 units decrease in projected sales :
Particulars Details
Selling price per unit 37
Less : variable cost per unit -21
Margin per unit 16
Number of units sold per year 69,500
Gross margin 11,12,000
Less : fixed cost -7,25,000
Profit before depreciation and tax 3,87,000
Less : depreciation -80,500
Profit before tax 3,06,500
Less : tax -1,07,275
Net profit per year 1,99,225
Add : depreciation 80,500
Base Cash cashflow 2,79,725
Required rate of return 15%
Present value of base cash cash flow 12,55,216
received in 8 years.
Project cost -6,44,000
NPV 6,11,216
Original NPV 6,34,550
Sensitive NPV -23,334
c).
Particulars Details
Selling price per unit 37
Less : variable cost per unit -20
Margin per unit 17
No. of units sold per year 70,000
Gross Margin 11,90,000
Less : fixed cost -7,25,000
Profit before depreciation and tax 4,65,000
Less : Depreciation -80,500
Profit before tax 3,84,500
Less : tax -1,34,575
Net profit per year 2,49925
Add : depreciation 80,500
Operating cash flow 3,30,425
Original operating cashflow 2,84,925
Sensitivity of OCF 45,500
Stuart Modems has excess production capacity and is considering the possibility of making and selling paging equipment. The following estimates are based on a production and sales volume of 2,600 pagers. Unit-level manufacturing costs are expected to be $36. Sales commissions will be established at $2.60 per unit. The current facility-level costs, including depreciation on manufacturing equipment ($76,000), rent on the manufacturing facility ($66,000), depreciation on the administrative equipment ($16,800), and other fixed administrative expenses ($79,950), will not be affected by the production of the pagers. The chief accountant has decided to allocate the facility-level costs to the existing product (modems) and to the new product (pagers) on the basis of the number of units of product made (i.e., 6,600 modems and 2,600 pagers).
a. Determine the per-unit cost of making and selling 2,600 pagers. (Do not round intermediate calculations. Round your answer to 3 decimal places.)b. Assuming the pagers could be sold at a price of $50 each, should Stuart make the pagers?
Answer:
Stuart Modems
a. The per-unit cost of making and selling 2,600 pagers is:
= $64.55
b. Assuming that Stuart could sell the pagers at a price of $50 each, it should still go with the plan to make and sell the pagers. The variable cost for producing a pager is $38.60. Each pager will make a unit contribution margin of $11.40, which will help to offset the facility-level costs since they will not be influenced by the production of the pagers.
Explanation:
a) Data and Calculations:
Production and sales volume = 2,600 pages
Unit-level manufacturing costs = $36
Total manufacturing costs = $93,600 ($36 * 2,600)
Sales commissions = $6,760 ($2.60 * 2,600)
Facility-level costs:
Depreciation on manufacturing equipment ($76,000)
Rent on the manufacturing facility ($66,000)
Depreciation on the administrative equipment ($16,800)
Other fixed administrative expenses ($79,950)
Total facility-level costs = $238,750
Overhead rate = $25.95 ($238,750/9,200)
Cost of making and selling 2,600 pagers:
Total manufacturing costs = $93,600
Overhead costs ($25.95 * 2,600) 67,470
Sales commissions = 6,760
Total cost of making and selling $167,830
Unit cost = $64.55 ($167,830/2,600)
Variable cost of making and selling a unit of pager:
Unit-level manufacturing costs = $36.00
Sales commissions = $2.60
Total variable costs = $38.60
Revenue per unit = $50.00
Contribution per unit = $11.40
A company share was exchanged at 36 pence per share on the stock exchange on the
6
th Oct. 2014. 25% of the value was wiped out from the share in the next day trading
(7th Oct.2014)
What is the new share price?
Answer: 27 pence
Explanation:
From the question, we are given the information that a company share was exchanged at 36 pence per share on the stock exchange on the 6th Oct. 2014 and that 25% of the value was wiped out from the share in the next day trading which was 7th Oct.2014.
The new share price will be gotten by deducting 25% of 36 pence from the former value which is 36 pence. This will be:
= 36p - (25% × 36p)
= 36p - (0.25 × 36p)
= 36p - 9p
= 27p
The new share price is 27 pence.
live is quamp so life quamp
Answer:
is this a question?
Explanation:
Answer:
yesssssssssssssssss
Explanation:
What is the name of a person or business that is a parial owner of a company.?
Answer:
Shareholder
Explanation:
A person or business that’s is a partial owner of a company
Willco Inc. manufactures electronic parts. They are analyzing their monthly maintenance costs to determine the best way to budget these costs in the future. They have collected the following data for the last six months.
Month Machine hours Maintenance cost
January 61500 125,000
February 82,000 15,1500
March 76000 132,400
APril 75400 40500
May 86300 151000
June 71750 122600
Using the high-low method and the Willco data, calculate the variable maintenance cost per machine hour (round to three decimal places).
a. $0.913/hr.
b. $1.048/hr.
c. $1.069/hr.
d. $1.848/hr.
e. $1.293/hr.
Answer:
Variable cost per unit= $1.048
Explanation:
Giving the following information:
Highest activity cost= $151,000
Highest activity units= 86,300
Lowest activity cost= $125,000
Lowest activity units= 61,500
To calculate the variable cost under the high-low method, we need to use the following formula:
Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)
Variable cost per unit= (151,000 - 125,000) / (86,300 - 61,500)
Variable cost per unit= $1.048
D
Lee Associates borrowed $60,000. The company plans to set up a sinking fund that
will pay back the loan at the end of 12 years. Assuming a rate of 8% compöunded
semiannually, the amount to be paid into the fund each period is):
Answer: $ 153698.2499
Explanation:
60000(1+0.08/2)^24=153798.2499
. Remember that Molly has a $2500 down payment saved for this purchase. The dealer will take the $500 Cash Allowance straight off her total
6. Using the Loan Calculator(https://www.bankrate.com/calculators/mortgages/loan-calculator.aspx) and the 1.9% APR offer, how much will Molly’s monthly payment be?
Answer: $286
Explanation:
First and foremost, we have to calculate the loan that is need by Molly which will be:
= $25495 - $2500 - $500
= $22495
At 1.9% APR, the monthly interest rate will be:
= 1.9%/12
= 0.0112
=0.001583
Since the number of payments is 84, then the monthly payment of Molly will be:
= 22495 × 0.001583 / (1-1/1.001583^84)
= $286
Give me a good example of operation and management please.
Answer:
Answersendiri goblob is a great place to work for a well and very friendly and friendly and welcoming hotel you are welcome to join us and join us in the evening and join us in the following luxury hotels in North Wales . Because he can't afford to stay there for a few days and we are away for a few weeks and we have booked for another holiday in the next few months we will be staying at the hotel
Elaborate on the meaning of lobbying and networking
Answer:
The description of the given topics is described below in the explanation portion.
Explanation:
Lobbying:
The certain effort by individuals or organizations of corporate profit to manipulate political policies that are seen as lobbying. It related in its initial sense to the attempts made by politicians throughout the lobby outside the legislature to manipulate their voting.Networking:
The interlinking of many computers is called computer networking, throughout the order to participate in computer tools.The total factory overhead for Bardot Marine Company is budgeted for the year at $600,000, divided into four activities:
Fabrication $204,000; Assembly $105,000; Setup $156,000; and Inspection $135,000.
Bardot Marine manufactures two types of boats: speedboats and bass boats. The activity-base usage quantities for each product by each activity are as follows:
Fabrication Assembly Setup Inspection
Speedboat 2,000 dlh 1,000 dlh 300 setups 1,100 inspections
Bass boat 3,000 dlh 3,000 dlh 400 setups 1,500 inspections
Each product is budgeted for 250 units of production for the year.
a. Determine the activity rates for each activity.
b. Determine(A) the activity rates for each activity and (B) the activity based factory overhead per unit for each product.
Answer:
Bardot Marine Company
a. Activity rates for each activity:
Fabrication = $40.80/dlh
Assembly = $26.25/dlh
Setup = $222.86/dlh
Inspection = $51.92/dlh
b. The activity based factory overhead per unit for each product:
Speed Bass
Boats Boats
Factory Overhead per unit $927.25 $1472.70
Explanation:
a) Data and Calculations:
Activities Budgeted Speed Bass
Overheads Boats Boats Total Activity rates
Fabrication $204,000 2,000 dlh 3,000 dlh 5,000 dlh $40.80/dlh
Assembly $105,000 1,000 dlh 3,000 dlh 4,000 dlh $26.25/dlh
Setup $156,000 300 dlh 400 dlh 700 dlh $222.86/dlh
Inspection $135,000 1,100 dlh 1,500 dlh 2,600 dlh $51.92/dlh
Total costs $600,000
Units budgeted 250 250 500 units
Speed Bass
Boats Boats
Fabrication = $40.80/dlh $81,600 $122,400
Assembly = $26.25/dlh 26,250 78,750
Setup = $222.86/dlh 66,850 89,144
Inspection = $51.92/dlh 57,112 77,880
Total assigned costs $231,812 $368,174
Units budgeted 250 250
Overhead per unit $927.25 $1472.70
You have the following information for Waterway Industries for the month ended October 31, 2022. Waterway uses a periodic method for inventory.Date Description Units Unit Cost or Selling PriceOct. 1 Beginning inventory 70 $26Oct. 9 Purchase 125 28Oct. 11 Sale 95 40Oct. 17 Purchase 95 29Oct. 22 Sale 70 45Oct. 25 Purchase 80 31Oct. 29 Sale 105 45A) Calculate the weighted-average cost. (Round answer to 3 decimal places, e.g. 5.125.)Weighted-average cost per unit______________B) Calculate ending inventory, cost of goods sold, gross profit under each of the following methods.(1) LIFO.(2) FIFO.(3) Average-cost. (Round answers to 0 decimal place, e.g. 125.)
Answer:
Waterway Industries
A) The weighted-average cost is $28.527
B) Ending Inventory, cost of goods sold, gross profit:
(1) LIFO (2) FIFO (3) Average-cost
Ending Inventory: $2,660 $3,060 $2,853
Cost of goods sold: $7,895 $7,495 $7,702
Gross profit: $3,780 $4,180 $3,973
Explanation:
a) Data and Calculations:
Date Description Units Unit Cost Selling Price Total
Oct. 1 Beginning inventory 70 $26 $1,820
Oct. 9 Purchase 125 28 3,500
Oct. 11 Sale (95) 40 $3,800
Oct. 17 Purchase 95 29 2,755
Oct. 22 Sale (70) 45 3,150
Oct. 25 Purchase 80 31 2,480
Oct. 29 Sale (105) 45 4,725
Oct. 31 Ending inventory 100
Total: Goods available 370 $10,555
Goods sold 270 $11,675
Weighted-average cost = Cost of goods available/Units available
= $10,555/370 = $28.527 per unit
Periodic method:
LIFO:
Ending inventory:
Oct. 1 Beginning inventory 70 $26 $1,820
Oct. 9 Purchase 30 28 840
Total Ending inventory = 100 $2,660
Cost of goods sold = Cost of goods available - Ending inventory
= $10,555 - $2,660 = $7,895
Sales Revenue $11,675
Cost of goods sold 7,895
Gross profit $3,780
FIFO:
Ending inventory:
Oct. 17 Purchase 20 29 $580
Oct. 25 Purchase 80 31 2,480
Total Ending inventory = 100 $3,060
Cost of goods sold = Cost of goods available - Ending inventory
= $10,555 - $3,060 = $7,495
Sales Revenue $11,675
Cost of goods sold 7,495
Gross profit $4,180
Average-cost:
Ending Inventory = $2,853 ($28.527 * 100)
Cost of goods sold = Cost of goods available - Ending inventory
= $10,555 - $2,853 = $7,702
Sales Revenue $11,675
Cost of goods sold 7,702
Gross profit $3,973
Tom has brought $150,000 from his pension to a new job where his employer will match
401(k) contributions dollar for dollar. Each year he contributes $3,000. After seven years,
how much money would Tom have in his 401(k)? Show your calculations.
Explanation:
the answer :171,000
the equation that you need ..is:150,000+3,000(x)
Adelberg Company has two products: A and B. The annual production and sales of Product A is 500 units and of Product B is 1,000 units. The company has traditionally used direct labor-hours as the basis for applying all manufacturing overhead to products. Product A requires 0.4 direct labor-hours per unit and Product B requires 0.2 direct labor-hours per unit. The total estimated overhead for next period is $68,756 The company is considering switching to an activity-based costing system for the purpose of computing unit product costs for external reports. The new activity-based costing system would have three overhead activity cost pools--Activity 1, Activity 2, and Order Size-with estimated overhead costs and expected activity as follows:
Expected Activity Activity Cost Pools Activity 1 Activity 2 Order size Total Estimated Overhead Costs $ 31,031 22,249 15,476 $ 68,756 Product AProduct B 1,000 1,600 200 300 300 200 Total 1,300 1,900 400
(Note: The Order Size activity cost pool's costs are allocated on the basis of direct labor-hours.)
The predetermined overhead rate under the traditional costing system is closest to:________.
a. $11.71 per DLH
b. $38.69 per DLH
c. $171.89 per DLH
d. $23.87 per DLH
Answer:
Predetermined manufacturing overhead rate= $171.89 per direct labor hour
Explanation:
To calculate the predetermined manufacturing overhead rate we need to use the following formula:
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Total direct labor hours= (500*0.4) + (1,000*0.2)= 400 direct labor hours
Predetermined manufacturing overhead rate= 68,756 / 400
Predetermined manufacturing overhead rate= $171.89 per direct labor hour
Question 5 of 10
The federal government creates the federal budget each year in order to:
A. remove government regulations about mandatory spending.
B. reduce the national debt as much as possible.
c. decide how much money the government will spend.
D. guarantee that the government will have a surplus.
SUBMIT
Answer: c. decide how much money the government will spend.
Explanation:
A budget simply refers to the estimation that's done with regards to the revenue that will be made and the expenses that'll be incurred for a particular time period.
The federal government creates the federal budget each year in order to decide how much money the government will spend.
The budget isn't created to remove government regulations about mandatory spending or reduce the national debt as much as possible.
Answer:
decide how much money the government will spend.
Explanation:
it been confirm that is the answer
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Does life remind you of a roller coaster? can you prepare for these unexpected twists and turns ?
if so how
Answer:
The person above is correct.
Explanation:
Solving for dominant strategies and the Nash equilibrium
Suppose Carlos and Deborah are playing a game in which both must simultaneously choose the action Left or Right. The payoff matrix that follows shows the payoff each person will earn as a function of both of their choices. For example, the lower-right cell shows that if Carlos chooses Right and Deborah chooses Right, Carlos will receive a payoff of 3 and Deborah will receive a payoff of 7.
Deborah Left Right Carlos Left 4, 6 6, 8 Right 7, 5 3, 7
The only dominant strategy in this game is for _______ to choose______. The outcome reflecting the unique Nash equilibrium in this game is as follows: Carlos chooses ______ and Deborah chooses ________.
Answer:
The dominant strategy is for Deborah to choose left.
Carlos chooses right while Deborah chooses left.
Explanation:
Nash equilibrium is a state where both the participants gain from the payoff matrix by choosing a strategy which is beneficial for both of them. The Deborah is in a state that she will gain when she chooses left. Carlos is indifferent as she can choose right also but to be in Nash equilibrium Carlos should choose right and Deborah should go with left.
3 different approaches of growth
An economist for the Brookings Institution argues that "a price on carbon would minimize the cost of steering economic activity away from the greenhouse gas emissions that threaten the climate."
Source: Fred Dews, "10 Things You Should Know about the Carbon Tax," brookings.edu, May 4, 2016.
In what sense does a carbon tax put a price on carbon?
A carbon tax puts a price on carbon by increasing the private cost of polluting.
C.
A carbon tax puts a price on carbon by decreasing the social benefit of polluting.
D.
A carbon tax puts a price on carbon by decreasing the private benefit of polluting.
Answer:
A carbon tax puts a price on carbon by increasing the private cost of polluting.
Explanation:
Going by the argument of the economist of Booking institution, it can be concluded that a carbon tax put a price on carbon "by increasing the private cost of polluting."
As the private cost of polluting increases, this will discourage the private individuals or businesses in carrying out activities that emit greenhouse gases in the human environment which in turn threatens the climate.
what is a tax bracket?
Answer:
its like different groups if you make more money your in a higher tax bracket but if you make less money your in a lower tax bracket.
Explanation:
The United States imports a lot of cars, despite having its own auto industry. Each of the following statements are arguments some people could make for restricting imports of cars into the United States. For each statement, identify the threat to the U.S. industry that the argument is trying to counter, and identify the opportunities that would be given up if the argument wins.
a. "Foreign manufacturers are offloading cars made with cheap foreign labor operating in unsafe and unhealthy factories. We must pass a law to prevent this exploitation."
b. "We need to foster the innovation of small car companies like Tesla that can truly change the auto industry. Allowing foreign electric vehicle manufacturers to sell cars in the U.S. will squander any chance of creating those car domestically."
c. "You shouldn't buy a car from Nissan or BMW! You're putting people here out of a job."
Solution :
a). An Anti dumping laws will prevent any unfair competition.
The foreign companies uses the method of of dumping for selling cars in the country. So US should impose anti - dumping law to prevent this unfair competition in its market. Doing this, the price of the foreign cars will increase and it will help reduce the demand of foreign cars in the US.
b). Protection can help the infant industries to develop.
To prevent the foreign companies from selling their hybrid electric cars in the US at a low price, US should impose high tax on these foreign electric vehicles. Therefore, protection can help the infant industries to develop and it will encourage the production as well as the distribution of the small scale industries in the market.
c). Foreign competition can lead to many job losses.
When an economy is consuming a lot of foreign goods, it will be a tough competition for the domestic manufacturers. The products of the domestic manufacturers will be less demanding and this lead to low production which will affect the manufacturer and therefore, it will lead to losses of jobs and massive unemployment.