1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
BARSIC [14]
3 years ago
6

Suppose that, in a competitive market without government regulations, the equilibrium price of gasoline is $3.00 per gallon. Com

plete the following table by indicating whether each of the statements is an example of a price ceiling or a price floor and whether it is binding or nonbinding. Statement Price Control Binding or Not Due to new regulations, gas stations that would like to pay better wages in order to hire more workers are prohibited from doing so. The government prohibits gas stations from selling gasoline for more than $3.40 per gallon. The government has instituted a legal minimum price of $2.70 per gallon for gasoline.
Business
1 answer:
dexar [7]3 years ago
7 0

Answer:

Table is completed below.

Explanation:

A price ceiling (price floor) is the maximum (minimum) price that can be charged in the market, and is imposed lower than (higher) than free market equilibrium price in order to be effective and binding. Therefore, the given statements can be labelled as below:

(1) Government prohibits gas stations from selling for more than $3.20 - Price ceiling, Not binding

(2) Government instituted legal minimum price of $2.80 - Price floor, Not binding

(3) Due to new regulations, gas stations cannot hire more workers - Price ceiling, Binding

You might be interested in
Compute the current ratio and acid-test ratio for each of the separate cases. Camaro GTO TorinoCash $ 2,000 $110 $1,000Short-ter
aniked [119]

Answer:

The Current and Acid Test ratios help show whether a company will be able to pay of its current obligations with its current assets.

<h2>Current Ratio:</h2>

Camero :                                                                        GTO

= Current Assets / Current liabilities                          = 3,500 / 1,000

= 5,200 / 2,000                                                           = 3.50

= 2.60

Torino

= Current assets / Current liabilities

= 7,410 / 3,800

= 1.95

<h2>Acid-Test ratio </h2>

Camero

= (Current Assets - Inventory - Prepaid expenses) / Current liabilities

= (5,200 - 2,600 - 200) / 2,000

= 1.20

GTO

= (3,500 - 2,420 - 500) / 1,000

= 0.58

Torino

= (7,410 - 4,230 - 900) / 3,800

= 0.60

4 0
2 years ago
Imperial Jewelers manufactures and sells a gold bracelet for $403.00. The company’s accounting system says that the unit product
AysviL [449]

Answer:

a) Financial advantage   <u> $2,208 </u>

b) The company should accept the special order, as it will increase its profit by $2,208

Explanation:

<em>The relevant costs for decision to accept the special order are  </em>

<em>I Incremental Revenue from the special order  </em>

<em>2. incremental variable cost </em>

<em>3. The cost of the special tool</em>

Unit variable cost = 143 + 90 + 8 + 7 = $240

<em>Note that that the increase in material cost of $8 and the variable manufacturing overhead of $7 are relevant to the special order decision. Hence they are added.</em>

<em>And the balance of manufacturing overhead would be incurred either way. Therefore , they are not relevant for the decision</em>

                                                                                                       $

Sales revenue from special order

(22× $361.00)                                                                               7942

Variable cost of special order

(22× $240 )                                                                                    (5280 )

Cost of special tool                                                                      <u> (454)</u>

Financial advantage                                                                    <u> 2,208 </u>

The company should accept the special order, as it will increase its profit by $2,208

3 0
2 years ago
Should a speaker minimize his or her use of nonverbal communication?
Katyanochek1 [597]

no they should not   100% correct

8 0
2 years ago
Read 2 more answers
The ____ act requires banks and financial institutions to alert customers of their policies and practices in disclosing customer
maw [93]
<span>The Gramm-leach-Bliley Act requires banks and financial institutions to alert customers of their policies and practices in disclosing customer information. The act was created in 1999. If the customer did not like the policies and practices of the financial institutions they could opt out. A major concern was how financial institutions used customer's private information and what third parties the institutions sold the info to. This act helped customers avoid this.</span>
3 0
3 years ago
A test of your ability to learn to be an automobile mechanic would be considered a(n ________ test. aptitude intelligence achiev
disa [49]
<span>A test of your ability to learn to be an automobile mechanic would be considered an a</span>ptitude test. :)
7 0
3 years ago
Other questions:
  • Lopez Corporation incurred the following costs while manufacturing its product.Materials used in product $129,600 Advertising ex
    15·1 answer
  • Amesha will only purchase stock in corporations that practice and support social justice. which term refers to Amesha's type of
    11·1 answer
  • Who among the following is associated with contributions to quality control in operations management? Henry Ford Charles Babbage
    15·1 answer
  • EA5.
    14·1 answer
  • What technological superiority a major factor in the conquest of the Americas?
    8·1 answer
  • Developing human capital is essential to maintaining a competitive advantage in today's knowledge economy. Efforts and initiativ
    15·1 answer
  • THIS IS A RANDOM QUESTION can someone spill some tea bc im bored
    15·2 answers
  • Anne plans to save $40 a week, starting next week, for ten years and earn a rate of return of 4.6 percent, compounded weekly. Af
    6·1 answer
  • State 3 scenarios on how studying human behavioral organization can have a great impact on you as an individual in establishing
    8·1 answer
  • Why do you think governments frequently attempt to control apartment rents but not house prices?
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!