Answer:
B
Explanation:
The union representative in this question is of the view that if there should be an increase in the amount of wages that union members receive, the workers tend to suffer a greater decline than proportional decline in employment. What he is trying to drive at is that should the wages be increased, there will not be a proportional decrease in the unemployment but rather a greater decrease in it.
What the question now seeks to know is that in what scenario would the assertion of this labor representative is true?
Now, this assertion made by him could be true if capital could replace union labor. The reason is this, even if the number of wages is increased, in a situation where labor is irreplaceable by capital cost, there would only be a proportional decline in the number of workers needed as there is no direct alternative for the labor if offset. But in a case where there are alternatives, for example having a machine that could carry out the same process, this in terms of capital cost acquisition, there would obviously be a decrease in the amount of labor force needed, and hence, a decline
Answer:
the tax rate should be of 45.83% to make indifferent for the investor
Explanation:
the municipal bonds pay no income tax according to United States IRS regulation
Therefore their rate will be the equivalent of the after-tax rate of a corporate bonds
to make it indifferent we should look at the rate that makes the after tax yield of the 12% equal to 6.5%
0.12 x (1-t) = 0.065
1 - 0.065/0.12 = t
t = 0.4583 = 45.83%
the tax rate should be of 45.83 to make indifferent for the investor
Answer:
D
Explanation:
Customers now have more restaurants available to choose from and decreases Burger Kings business
The correct answer is task attraction. Task attraction is
being defined as having to engage in attraction by which it involves of having
to be attracted towards other people in regards to their abilities or the
characteristic that the individual possess.
Answer:
the required sales needed to achieve management’s target net income of $60,000: $900,000
Explanation:
The required sales needed to achieve management’s target profit figure are calculated by using following formula:
The required sales = (Total fixed cost + Targeted profit) / Contribution margin ratio.
For Rivera Company, variable costs are 70% of sales. The contribution margin ratio is calculated by using following formula:
Contribution margin ratio = (Sales - Total Variable cost)/Sales = (Sales - 70% of sales)/Sales = 30%
The contribution margin ratio = 30%
The required sales = ($210,000 + $60,000)/30% = $900,000
