Answer:
the options were missing:
- a tax of $9,000
- a tax of $14,000
- a tax of $15,000
- a tax of $18,000
the answer is a tax of $18,000
Explanation:
in this case, the seller surplus = $510,000 - $485,000 = $25,000, while consumer surplus = $525,000 - $510,000 = $15,000
Taxes decrease consumer surplus, but consumers are still willing to purchase goods if the price of the goods plus the taxes is equal or less to the maximum price that they are willing to pay. But $510,000 + $18,000 = $528,000 which is higher than $525,000
Answer:
The expected return on the portfolio is 15.5%.
Explanation:
The expected return on portfolio formula requires multiplying every asset's weight in the portfolio by their respective expected return, then summing up all values together.
Here,
<em>W</em> = weight of the respective asset
<em>R</em> = expected return of the respective asset
It is provided that:
The expected return on the U.S. stock market is 18%.
The expected return on the Canadian stock market is 13%.
The proportion of money invested in both stock markets is 50%.
Compute the expected return on the portfolio as follows:
Thus, the expected return on the portfolio is 15.5%.
Answer:
<u>an increase in the price of oranges.</u>
Explanation:
The price of oranges increased because there was an event that influenced the balance of demand and supply. The Florida freeze that devastated the orange crop was an event that affected supply, so as there was greater demand for an orange good, and lower supply for orange, there was an imbalance in the supply and demand curve that caused an increase in supply. price because demand is greater than supply.
Answer: A. The price will go up
Reason: Since supply is low, it will cost more to make more, raising the price for a temporary time
