Answer:
a) a positive externality
Explanation:
Higher education is a clear example of a positive externality. This is because producing highly educated individuals provides a large number of benefits to the overall society that was not part of creating this college graduate, therefore being a third-party but still benefiting from this scenario. The benefits that a highly trained and educated individual can bring to a society is huge and affects different areas such as architecture, economics, society wellness, etc.
Answer: False
Explanation:
Classification shifting is a method used whereby the core earnings are manipulated by misclassifying the items in the income statement.
One way that managers make use of classification shifting is by reporting the operating expenses for the business as nonoperating expenses. This is usually done in order to inflate the operating income.
The statement in the question is false as classification shifting by managers doesn't lead to under-reporting of total expenses and over-statement of bottom-line net income rather it lead to over reporting.
Answer: The answer is provided below
Explanation:
a. An increase in the number of cars will lead to an increase in demand as more people will demand for gasoline. This will lead to a rightward shift of the demand curve from D1 to D2. The increase in demand will also lead to the rise in price of gasoline from P1 to P2.
b. When the economy moves into a recession, people will purchase less cars because of the recession, as the income level of the consumers will have fallen. Due to the decrease in the number of cars, the demand for gasoline also reduces. This is denoted by the leftward shift in the demand curve in the attached diagram from D1 to D2.
c. The increase in the price of car insurance, taxes, maintenance will also lead to a reduction in the demand for cars which will in turn, reduce the demand for gasoline. Thereby the demand curve shifts from from D1 to D2 leftward.
d. The expectations of substantial increase in the price of gasoline, will lead to a higher demand for gasoline in the present period because due to the expectation of a higher price, the consumers will go and buy more gasoline and keep for future use. As the demand for gasoline rises, this will lead to the demand curve for gasoline to shift rightward and also the price will increase from P1 to P2.
The diagram has also been attached.
Non-allowable tax deductions are <em>A. Entertainment expenses</em>
- Allowable tax deductions include the expenses that a taxpayer incurs, which reduce the tax liability when using itemized deductions. Donations to charity, medical and educational expenses are allowable tax deductions. Though, these deductions have limits.
- The taxpayer cannot deduct these expenses above the approved limits. Unlike allowable tax deductions, non-allowable tax deductions cannot reduce a taxpayer's tax liability.
- Entertainment expenses (business-related) have completely been eliminated as allowable deductions from 2018 fiscal year.
Thus, a taxpayer cannot deduct expenses incurred for entertainment of any form.
Read more about tax deductions at brainly.com/question/13678440 and brainly.com/question/10657452
