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Romashka [77]
3 years ago
14

Mary Jane is a lawyer who can earn $150 per hour in her law practice. She is also an excellent carpenter who can build cabinets

three times as fast as the best carpenter, whose hourly wage is $20 per hour. Which of the following is a correct economic statement?a. Mary Jane has a comparative advantage in law so she should specialize in law and hire a carpenter to make her cabinets.b. Mary Jane has an absolute and comparative advantage in both law and carpentry, so she should make her own cabinets while continuing to practice law.c. Mary Jane is three times faster than any carpenter so she should give her law practice to become a carpenter.d. When carpenters work for lawyers, they should charge $150 per hour instead of $20 per hour.e. Because Mary Jane is an excellent carpenter, when the best carpenter works for Mary Jane, he can only charge one third as much, or $6.67 per hour.
Business
1 answer:
yaroslaw [1]3 years ago
5 0

Answer:

The answer is: A) Mary Jane has a comparative advantage in law so she should specialize in law and hire a carpenter to make her cabinets.

Explanation:

Mary Jane has a comparative advantage by working as a lawyer over working as a carpenter. As a lawyer she can earn $150 an hour.

Considering that Mary Jane is 3 times as fast as a good carpenter, her work as a carpenter could be valued as the combined work of three carpenters. But even three carpenters earn less than a lawyer; $60 an hour ($20 an hour per carpenter times 3 carpenters).

So Mary Jane definitely should work as a lawyer and hire a carpenter or even three carpenters to build her cabinets.

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Simone is a 26-year-old who lost her job as a copy editor for a local newspaper. She has spent the past few weeks out of work an
AlekseyPX

Answer:

Simone will be considered unemployed.

Explanation:

Simone is 26 years old, this means that she is in the adult population. She used to work as a copy editor for a newspaper. She has lost her job and is actively looking for work. She will be considered an unemployed person and will be included in the labor force.  

Those workers who do not have a job currently but are actively looking for one are considered unemployed. Those who are without jobs but are not actively looking for one are considered discouraged workers and are not included in the labor force. The labor force includes only employed and unemployed workers.

5 0
3 years ago
The present value factor for an ordinary annuity at 10% for 6 periods is 4.3553. The lease does not transfer the property to Whi
gogolik [260]

Complete question:

On January 1. Year 1. White Co. sold a property with a remaining useful life of 20 years to Blue Co. for $900.000. At the same time. White entered into a contract with Blue for the right to use the property (leaseback) for a period of 6 years. with annual rental payments of 580.000 that approximate the market rental payments for similar properties. On January 1. Year 1. the carrying amount of the property was 5680.000. and its fair value was 5770.000. A discount rate for the lease of 10% is used by both White and Blue. The present value factor for an ordinary annuity at 10% for 6 periods is 4.3553. The lease does not transfer the property to White at the end of the lease term and does not include a purchase option.  

What amount of lease expense for the right of use of the property is recognised by White in Year 1 ?

A. $0

B. $130,000

C. $90,000

D. $220,000

Answer:

$90,000 amount of lease expense for the right of use of the property is recognised by White in Year 1

Explanation:

If the leaseback is known as an operating lease, the original transition to the buyer-lessor of the asset should be taken into account as the selling of an asset, given that all the income identification requirements have been fulfilled.

If the deal is of equal value, the lender lease is informed of the gain or loss of sale between the purchase price and the sum of the land that is held. Yet this is not a equal value trade. The property's sale price is higher than its market value. Accordingly, the income or loss on sale seems to be the difference between the equal worth and the value of the land.

Therefore, on 1 January, White records a benefit of $90,000 in revenue of $770,000 (fair value of $680,000 in carrying amounts)

4 0
3 years ago
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ch4aika [34]

Answer: The rate of return on common stockholder’s equity is 23%.

Explanation:

Given that,

Net Income = $50,000

Preferred Dividends = 8,000

Average Common Stockholder’s Equity = 180,000

Average number of Common Shares Outstanding = 250,000 shares

Market Price = $2 per share

Therefore,

Return on equity = \frac{Net\ income - Preferred\ Dividends}{stockholder\ equity}

=  \frac{50000 - 8000}{180000}

= 23%

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vovangra [49]

Answer:

on your goal or achievement

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When members of the buying center agree to consider ibm, dell, and hewlett-packard in purchasing new computers because they are
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