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3 years ago

Thaler's stolen bottles of wine illustrate the endowment effect because

1 answer:

6 0

It is because Thaler places a higher value on bottles of wine whe he owns them than when he does not own them. This is the reason as to why Thaler makes the statement " i am a good enough economist to know there's a bit of an inconsistency there'? Thaler's behavior is also inconsistence since he was ignoring the nonmonetary opportunity cost of the wine.

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A grain elevator operator bought a futures contract for 5,000 kilograms of rice at $1.50 per kilogram. The initial margin is $4,

Inessa05 [86]

Answer:

Given that,

Operator bought a futures contract = 5,000 kilograms of rice at $1.50 per kilogram

Initial margin = $4,000

Maintenance margin = $2,000

(a)

(i) Balance of Margin = Initial margin - maintenance margin

= $4,000 - $2,000

= $2,000 (loss)

(ii) Change in price = $\frac{2,000}{5,000}$

= $0.40

(b) Price per kilogram = Current price - Change in Price

= $1.50 - $0.40

= $1.10

So, change price per kg is $1.10

(c) Balance of Margin = Initial margin - maintenance margin

= $4,000 + $2,000

= $6,000 (loss)

Change in price = $\frac{2,000}{5,000}$

= $0.40

(d) Price per kg = Current price - change in price

= $1.50 + $0.40

= $1.90

3 0

3 years ago

Bravo company had $5,100 of supplies on hand at the beginning of 2016. on march 31 bravo purchased an additional $12,400 of supp

lana66690 [7]

Supplies expense is $11,400.00.

Expenses = Beg Inv + Addl Inv - Remaining
= 5,100 + 12,400 - 6,100
= 11,400

8 0

3 years ago

Read 2 more answers

Back2Work is considering replacing the receptionist who answers the phone with an automated answering system. Back2Work should _

aleksandr82 [10.1K]

Answer:

involve the current receptionist in the decision process.

Explanation:

When changes are to be made that will affect an employee, the best way to reduce resistance to the change is to involve the employee in the decision-making process.

By involving the employee they will get to see the benefits of the new initiative and this will also convince them that it is for the good of the business and not a ploy to replace them.

Employees have a higher buying and will drive implementation more when they were part of the process for change.

8 0

3 years ago

Read 2 more answers

On January 1, Greene Inc. issued $5,000,000, 9% bonds for $4,685,000. The market rate of interest for these bonds is 10%. Intere

skad [1K]

Answer:

b.$296,500.

Explanation:

Calculation to determine what Greene should report as unamortized bond discount

First step is to calculate the discount amount

Discount Amount= ($5,000,000 × .09) - ($4,685,000 × .10)

Discount Amount= $18,500

Now let determine the unamortized bond discount

Unamortized bond discount=$315,000 - $18,500 Unamortized bond discount= $296,500

Therefore Greene should report unamortized bond discount of $296,500

5 0

3 years ago

Hayleah is a california cpa practicing in california. to renew her license in active status, hayleah must to meet the basic requ

kenny6666 [7]

When performing work, there are specific requirements depending on which work Hayleah performs and these are B) Government auditing continuing education requirement

When dealing with governmental accounting:

There are certain rules that must be followed.
The specific rules imposed are to ensure better management of tax payer funds.

As a result, when a California CPA is involved in governmental work, specific rules known as the government auditing continuing education requirements will most likely apply.

In conclusion, option B is correct.

Find out more about different accounting standards at brainly.com/question/24441480.

7 0

2 years ago