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OverLord2011 [107]
3 years ago
13

Eliza took her car to her regular mechanic, who had a private business. The mechanic often advertised on billboards, writing "Re

liable fixesand low costs" and "The cheapest prices." After getting her engine checked, she incurred over $2,000 in costs. Out of curiosity, she went toa competing private firm that also fixed cars, and the private firm said that she paid significantly more to her mechanic than the costs of boththe parts and labor. Eliza sued her mechanic, alleging that she had been misled by her mechanics advertisements. The court applied theCentral Hudson test, and found the mechanic’s advertisements were misleading. The mechanic argued that pursuant to his first amendmentrights, his speech was protected, especially because they were generalizations that should not have been taken literally. The court ruled infavor of Eliza, ordering the mechanic to pay Eliza for damages and to take the advertisements down.But what if the facts of the case were different? Select the appropriate set of facts below that would change the outcome of the case.a) The court found that the advertisements were not inherently misleading. However, it did find that regulating the advertisement in questionwas more extensive than necessary to protect the public interest.b) The court found that the advertising in question constituted commercial speech.c) The court found that the advertisements in question did not advance the state’s interest.d) The court finds that the speech in the advertisements is not misleading, but that the state’s interest would be advanced if the advertising in question were restricted.
Business
1 answer:
damaskus [11]3 years ago
5 0

Answer:

b) The court found that the advertising in question constituted commercial speech

Explanation:

The Central Hudson Test is used by the supreme court primarily to gauge if advertisement qualifies as commercial speech, which will satisfy the First Amendment requirements.

Formerly commercial speech had no protection but after the Central Hudson Gas vs Public Service Commission of NY, a framework was done to test validity of commercial speech.

A major part of this test was also if the government has substantial interest, and whether government interest will be promoted.

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Solomon works in the finance department of a hospital operated by the country’s national health service. The hospital wishes to
DochEvi [55]

Answer:

It would be unethical and a conflict of interest for Solomon to let his uncle in on the details because it would give his uncle an unfair advantage against the other bidding contractors. It's a form of nepotism

Explanation:

hope this helps have a great day

7 0
4 years ago
Read 2 more answers
G.R. Dry Foods Distributors specializes in the wholesale distribution of dry goods, such as rice and dry beans. The firm’s manag
slamgirl [31]

Answer:

d. The price will decrease, because dry beans and rice are inferior goods.

Explanation:

the options are missing, so I looked them up:

a. The price will decrease, because dry beans and rice are normal goods.

b. The price will increase, because dry beans and rice are normal goods.

c. The price will increase, because dry beans and rice are inferior goods.

d. The price will decrease, because dry beans and rice are inferior goods.

Inferior goods are those goods whose quantity demanded decreases as consumer income increases. This happens because inferior goods have several substitute products that cost more, but as consumer income increases, consumers will tend to purchase the more expensive substitute goods instead of the cheaper inferior ones. I.e. as consumer income increases, they will seek to purchase higher quality goods, and inferior goods are generally low quality goods that are mostly purchased by people located at the lower socio-economic classes. Other examples of inferior goods are canned meat, instant noodles and cheap frozen foods.

Since the quantity demanded of inferior goods decreases as the economy improves, the demand curve shifts to the left, which will result in a lower equilibrium price.

7 0
3 years ago
Spin Cycle Architecture uses three activity pools to apply overhead to its projects. Each activity has a cost driver used to all
hammer [34]

Answer:

a. predetermined overhead rate for each activity

initial concept formation  = $3,310 per Project Change

design  = $3 per Square feet

construction oversight  = $1,130 per Month

b. Classification

unit-level activities :

design

batch level activities :

initial concept formation

Product level activities :

design<em> </em>

Facility level activities :

initial concept formation

construction oversight

Explanation:

This question requires application of Activity Based Costing (ABC) method of allocating overheads.

For each overhead a rate is determined as follows :

<em>initial concept formation </em>

Predetermined overhead rate = Overhead Cost / Number of Project Changes

                                                  = $52,960/ 16

                                                  = $3,310 per Project Change

<em>design </em>

Predetermined overhead rate = Overhead Cost / Square feet

                                                  = $420,000/ 140,000

                                                  = $3 per Square feet

<em>construction oversight </em>

Predetermined overhead rate = Overhead Cost / Number of Months

                                                  = $118,650/ 105

                                                  = $1,130 per Month

<em>Classification</em>

The way the activity is to be absorbed in costing determine its classification

5 0
3 years ago
I purchase a 10 percent coupon bond. Based on my purchase price, I calculate a yield to maturity of 8 percent. If I hold this bo
Vedmedyk [2.9K]

Answer:

B) 8 percent.

Explanation:

The yield to maturity is the expected rate of return of a bonds if held until maturity.

We are asked precisely for what rate are we receiving if held at maturity so we receive the yield to maturity.

That is a rate at which the discounted coupon payment and maturity payment matches the price we urchase the bonds.

8 0
3 years ago
On January 1, 2019, Amazon issues $100,000 in bonds having a stated rate of 10%. The bonds mature in 2 years (Dec. 31, 2020) and
Nutka1998 [239]

Answer:

cash                   96,535 debit

discount on BP    3,465 debit

          Bonds Payable          100,000 credit

Explanation:

We need to determinate the price at which the bonds were issued:

Which is the present value of the coupon payment and maturity

C \times \frac{1-(1+r)^{-time} }{rate} = PV\\  

Coupon payment: 100,000 x 10% / 2 = 5,000

time 4  (2 years x 2 payment per year)

rate 0.06  (12% annual / 2 = 6% semiannual)

5000 \times \frac{1-(1+0.06)^{-4} }{0.06} = PV\\  

PV $17,325.5281  

 

\frac{Maturity}{(1 + rate)^{time} } = PV  

Maturity (face value)   $100,000.00  

time   4.00  

rate  0.06

\frac{100000}{(1 + 0.06)^{4} } = PV  

PV   79,209.37  

 

PV c $17,325.5281  

PV m  $79,209.3663  

Total $96,534.8944  

As the bonds are issued below face value there is a discount:

100,000 - 96,535 = 3,465

the entry will recognize the cash procceds and the creation of a liaiblity

we will also use an auxiliar account for the discount on the bonds

7 0
3 years ago
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