Ask question

Ask question

All categories

3 years ago

8

Identify whether each of the following transactions will take place in the factor marketLOADING... or in the product marketLOADI

NG... and whether households or firms are supplying the good or service or demanding the good or service. George buys a Tesla Model S.
a. George buys a Tesla Model S.
b. Tesla increases employment at its Fremont plant.
c. George works 20 hours per week at McDonald’s.
d. George sells the land he owns to McDonald’s so that it can build a new restaurant.

1 answer:

Debora [2.8K]3 years ago

6 0

Answer:

a. George buys a Tesla Model S.

Product market. Demanded by household and supplied by the firm

b. Tesla increases employment at its Fremont plant.

Factor market. Demanded by firm and supplied by the household

c. George works 20 hours per week at McDonald’s.

Factor market. Demanded by firm and supplied by the household

d. George sells the land he owns to McDonald’s so that it can build a new restaurant.

Factor market. Demanded by firm and supplied by the household

Explanation:

a. George buys a Tesla Model S.

The transaction took place in the product market.

The good was demanded by household

The good was supplied by the firm

b. Tesla increases employment at its Fremont plant.

The transaction took place in the factor market.

The labor was demanded by firm

The labor was supplied by the household

c. George works 20 hours per week at McDonald’s.

The transaction took place in the factor market.

The labor was demanded by firm

The labor was supplied by the household

d. George sells the land he owns to McDonald’s so that it can build a new restaurant.

The transaction took place in the factor market.

The factor of production was demanded by firm

The factor of production was supplied by the household

You might be interested in

The following information was taken from the records of Roland Carlson Inc. for the year 2017: income tax applicable to income f

avanturin [10]

Answer:

Following are the solution to the given question:

Explanation:

Revenue before continuing business 585000

less:income tax -187000

Continuous business revenue 398,000

Operations stopped

Loss of non-compliance -75000

Less: Applicable drop in income tax from 25500 - 49500

net sales 348500

Popular inventory per share

Continued operating revenue $[\frac{398000}{100000}] \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \$3.98$

Losses on disrupted businesses, tax net $[\frac{-49500}{100000}]$ Net-0.495

Net profits $[\frac{348500}{100000}] \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ \ 3.485$

8 0

3 years ago

g The $1,000 face value bonds of Trident Corporation have coupon of 5.5 percent and pay interest semiannually. Currently, the bo

Maslowich

Answer:

The answer is 5.73%

Explanation:

Given Coupon rate=5.5%; Years of maturity= 12years, Face value bonds= $1,000, Price=98.2

NPER= Years of maturity *2= 12*2=24

PMT= (Face value * coupon rate)/2= (1000*5.5)/2= 5500/2= 2.75

Therefore:

Rate = (NPER, PMT, -Price, Face value)= (24, 2.75, -98.2, 1000)= 2.87%

Yield to maturity= Rate *2= 2.87*2= 5.73%

6 0

3 years ago

The cash coverage ratio is used to evaluate the:Liquidity of a firmSpeed at which a firm generates cashLength of time that a fir

Studentka2010 [4]

Answer:

The correct answer is letter "C": Ability of a firm to pay the interest on its debt.

Explanation:

The cash coverage ratio is a metric that measures a company's ability to pay its financial obligations. Generally, the higher the coverage ratio the better for the business to meet its debt obligations. It is best to compare coverage ratios of companies in the same industry or sector in the economy. Comparisons across industries are not useful as companies in different industries use debt in different ways.

5 0

3 years ago

If you have identified a risk you have

almond37 [142]

The correct answer is obviously, You recognized that it exists, i have no idea what they were smoking when they wrote this question.

6 0

3 years ago

Read 2 more answers

Two guys walk into a bar; the third one ducks. If these three men acted independently, and the probability is 0.7 that a person

allsm [11]

Answer:

$0.063$

Explanation:

Given

Probability of a person to not enter into a bar or ducking is $0.7$

Probability of a person to enter into a bar

$1 -$ (Probability of a person to not enter into a bar or ducking)

Substituting the given value, we get

Probability of a person to enter into a bar

$= 1 - 0.7 \\= 0.3$

Total three men attempts to enter into the bar and their course of action is independent of each others

Thus, probability of observing the first two walking into the bar and the third ducking will be equal to the product of individual probabilities

$= 0.7 * 0.3 * 0.3\\= 0.063$

7 0

3 years ago