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3 years ago

Label each of the following statements as an example of positive or normative analysis.

Business

1 answer:

STALIN [3.7K]3 years ago

4 0

Answer and explanation:

The difference between constructive and normative economic statements is considerable. Economists use both types of statements when addressing economic issues with varying degrees of objectivity. Positive statements state facts, which show no signs of endorsement or disapproval. Normative economics includes assumptions related to subjectivity and meaning.

1) The sugar quota in the United States costs consumers $6.08 billion a year. (Positive statement)

2) Higher tariffs on imported automobiles would decrease the demand for foreign-made cars. (Normative statement)

3) International trade should be limited because it can cause some workers to lose their jobs. (Normative statement)

4) International trade makes some people better off and some people worse off. (Positive statement)

5) The U.S. should impose import quotas in the market for consumer electronics to help domestic workers. (Normative statement)

6) The sugar quota in the U.S. is good public policy and should be made stronger. (Normative statement)

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A perfectly competitive market is initially in long-run competitive equilibrium. Then, market demand falls. By the time all adju

Brut [27]

Answer:

b. at; constant

Explanation:

The relationships in the long run between prices of any given industry and its products are positive correlated this means that if an industry price increases its cost must also increase and vice versa.

Given the options the only positive correlation is the option b.

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3 years ago

All planning strategies have the goal of creating: a. sustainable competitive advantage. b. undifferentiated markets. c. barrier

yaroslaw [1]

Answer:

The correct answer is letter "A": sustainable competitive.

Explanation:

Companies direct all their efforts to create a sustainable and competitive advantage. It represents what makes the firm different from its competitors and what could lead it to success. Competitive advantage could be based on producing at lower opportunity costs (comparative advantage) or manufacturing a good with unique characteristics (differential advantage). The longer the company can manage its strategy over time (sustainability) the most efficient the organization should become.

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3 years ago

Timothy Gates and Prada Singh decide to form a new company, TGPS LLC (a multimember LLC that will report its operations as a par

sasho [114]

Solution and Explanantion:

Prada has an excess business loss of $ 40000 . She may use $ 250000 of her share of $580000 LLC business loss to offset non business income.

As per new limit for IRS excess business loss will be for a single in excess of $250000. Any excess above this amount will be disallowed and treated as excess business loss which will be carried forward to next years .

Now here as Prada is single she has $290000 share in total loss of $580000 as per new IRS limits she is allowed up to $250000 to set off against current years non business income and $40000 she can carry forward future years this excess business loss of $40000 is treated as part of the taxpayer's NOL carry forward .

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3 years ago

What impact would the fed's raising the interest rate have on any inflationary pressure in the economy?

Licemer1 [7]

People will eventually start cutting back on their spending since increased interest rates result in greater borrowing costs. Then, when the demand for goods and services declines, so does inflation.

Interest and other expenses incurred by an entity in conjunction with borrowing money are referred to as borrowing costs. An asset that requires a significant amount of time to prepare for use or sale qualifies as a qualifying asset.

A qualifying asset's cost includes borrowing expenses that are directly related to its purchase, construction, or production. The expense of other borrowing costs is recognized.

The fundamental tenet of IAS 23 Borrowing Costs is that if borrowing costs can be directly linked to the purchase, development, or production of a qualifying asset, they should be capitalized. Additional borrowing expenses are deducted from profit or loss.

Learn more about borrowing costs here

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2 years ago

All of the accounts of the Grass is Greener Company have been adjusted as of December 31, 2016, with the exception of income tax

yulyashka [42]

Answer:

The income before tax is $370450, the income tax is $111135 and the net income is $259315.

Explanation:

As the data table is not visible,online a similar question is found for which the data is attached here with.

From the given data

Service Revenue=$943,000

Interest Revenue=$127,1000

Total Revenue=Service Revenue+Interest Revenue=$1070100

Now The expenses are given as

Supplies Expense=$349,200

Repairs and Maintenance Expense =$258,300

Depreciation Expense=$60,350

Rent Expense=$ 31,800

Total Expense=Supplies Expense+Repairs and Maintenance Expense+Depreciation Expense+Rent Expense=$699650

So the income before tax is given as

Income=Total Revenue-Total Expense

Income=$1070100-$699650

Income=$370450

So the income before tax is $370450.

Now the tax is estimated at 30% as given tax rate as

Tax=Rate*Income

Tax=30%*$370450

Tax=$111135

So the income tax is $111135.

Now the Net income is given as

Net Income=Income-Tax

Net Income=$370450-$111135

Net Income=$259315

So the Net Income is $259315.

8 0

4 years ago