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Vanyuwa [196]
3 years ago
13

What is the incidence of a tax?

Business
2 answers:
maksim [4K]3 years ago
6 0

A tax incidence is an economic term for the division of a tax burden between buyers and sellers. Tax incidence is related to the price elasticity of supply and demand. When supply is more elastic than demand, the tax burden falls on the buyers.

Sonbull [250]3 years ago
6 0

Answer:

The final burden of a tax

Explanation:

Just took the test and passed

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An investment of $115 generates after-tax cash flows of $50 in Year 1, $90 in Year 2, and $150 in Year 3. The required rate of r
WINSTONCH [101]

Answer:

The  correct answer is B.

Explanation:

Giving the following information:

An investment of $115 generates after-tax cash flows of $50 in Year 1, $90 in Year 2, and $150 in Year 3.

Rate of return= 20%

To calculate the present value, we need the following formula:

NPV= -Io + ∑[Cf/(1+i)^n]

Cf= cash flow

Io= 115

Cf1= 50/ 1.20= $41.67

Cf2= 90/1.2^2= $62.5

Cf3= 150/1.2^3= $86.81

NPV= -115 + (41.67 + 62.5 + 86.81)

NPV= $75.98

6 0
4 years ago
During the audit of wood pharmaceuticals, you are surprised to find several controldeficiencies in the company's internal contro
amid [387]
<span>I gather from the referenced paragraph that a company called Wood Pharmaceuticals was being audited.The process of auditing revealed some concerning issues to include several control deficiencies in the company's internal control which could result in adversities.I would notify the folks in charge and inform them of the steps required to resolve the issue in a timely manner.</span>
8 0
3 years ago
The benefit of saving some American jobs in specific industries protected from foreign competition Multiple Choice a. has risen
frutty [35]

Answer:

B. is much less than the costs to the whole American economy.

Explanation:

When foreign industries are prevented from entering the U.S. Market, the supply of the products that those foreign firms would provide is kept artificially low, in order to benefit domestic producers. This means that prices become more expensive than they should be, affecting all consumers.

For example, if the U.S. barred car imports from Japan, cars would become very expensive, and while the national car industry would benefit, the vast majority of consumers would be harmed by the higher prices.

7 0
4 years ago
Determine whether each of the following transactions contributes to the calculation of GDP as total spending, then, identify the
scoray [572]

Answer:

Michelin sells tires to Nissan to install on their 2019 Sentras that are produced and sold in the United States.

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American consumers import $3.5 billion of woven apparel from Bangladesh.

  • Included in the GDP as imports, which reduce total net exports (NX).

The U.S. government spent $523.1 billion on national defense.

  • Included in the GDP as government spending (G).

Entrepreneur and Shark Tank investor Barbara Corcoran purchases 15% of Cousins Maine Lobster food truck company for $55,000.

  • Not included int he GDP since sale of stocks or ownership stakes at businesses are not considered final goods or services.
8 0
3 years ago
Because there isn't one single measure of inflation, the government and researchers use a variety of methods to get the most bal
tangare [24]

Answer:

1. The GDP deflator for this year is calculated by dividing the<u> Value of all goods and services produced in the economy this year</u> using  <u>this year's prices</u> by the <u>Value of all goods and services produced in the economy in the base year </u> using <u>the base year's prices</u> and multiplying by 100.

However, the CPI reflects only the prices of all goods and services<u> bought by consumers</u>.

2. a. A decrease in the price of a Chinese-made car that is popular among U.S. consumers. <u>Affects CPI. </u>

This affects CPI because the CPI reflects only the prices of goods and services purchased by customers.

b. An increase in the price of a Waterman Industries deep-water reel, which is a commercial fishing product used for deep-sea fishing, made in the U.S., but not bought by U.S. consumers. <u>Affects GDP Deflator.</u>

This is a good produced in the United States so it will affect the GDP Deflator as that deals with GDP.

5 0
4 years ago
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