58:46

Suppose that the government wishes to decrease the market equilibrium monthly rent by increasing the supply the housing. Assumin

Allisa [31]

Answer:

,000 new apartments will make the equilibrium price = $1,500
10,000 new apartments will make the equilibrium price = $1,000
15,000 new apartments will make the equilibrium price = $500

Explanation:

<u>Rent</u> <u>Demand</u> <u>Supply</u>

2,500.00 10000 15000

2,000.00 12500 12500

1,500.00 15000 10000

1,000.00 17500 7500

500.00 20000 5000

The equilibrium quantity is 12,500 apartments with a $2,000 rent per month. If the government wants to lower the equilibrium rent price by increasing the supply of apartments, then it must build:

5,000 new apartments will make the equilibrium price = $1,500
10,000 new apartments will make the equilibrium price = $1,000
15,000 new apartments will make the equilibrium price = $500

8 0

3 years ago

Rita owns a sole proprietorship in which she works as a management consultant. She maintains an office in her home (500 square f

jekas [21]

Answer:

a) $7,400

b)$60,000

Explanation:

First, we need to complete the question

a) What is Rita's home office deduction for the current year?

b) What is Rita's AGI for the year?

Solution

a) Rita's Home Office Deduction for the Current Year

Description Amount ($)

Gross Income 13,000

Subtract: Her Business Expenses (5,600)

The balance 7,400

Subtract: Expenses under 1st Tier (6,700)

(Interest 5,100 + taxes 1,600)

Balance 700

Subtract: Expenses unde 2nd Tier (700)

($800 Operating Expernses before limit)

Balance 0

Subtract: Expenses under 3rd Tier (0)

1,600 Depreciation before limit

<u>Net income from Rita's Business 0</u>

The Deduction allowed Rita is $7,400 a totla of the home office expenses and the home operating expenses

Note that there was no expense subtracted for the Tier 3 expenses this is because Rita's income had reduced to $0 and there was nothing to subtract from

B) What is Rita's AGI for the year?

The AGI is the Rita's reported AGI of $60,000 + $0 which is the net calculated income from her business. So her AGI remains $60,000.

6 0

3 years ago

The managers at Movo Automobile Inc. want to diversify their business by acquiring a consumer electronics company. This acquisit

quester [9]

Answer:

C.principal-agent problems.

Explanation:

The acquisition of Movo Automobile is a typical example of AGENCY COST. Under the Agency cost theory, managers are agents of shareholders who represents principal in the principal - agent problem.

Agency cost is a situation where agents become selfish and pursue strategies and policies that will promote the self interest of agents and cause dissatisfaction to principals.

4 0

3 years ago

Which of these is a good?

Llana [10]

Explanation:

Option A: A fancy hair cut option is given but it is not associated with any of the price. So we cannot say it is good or worth for the money.

Option B: It seems to be valid. But when we consider all the given options, there are better options than this.

Option C: Rusted means a brown layer formed on the body of the car. So we cannot say it is good. So this option too is invalid.

Option D: Normally car wash costs $10. It is worth to do a complete car wash with $4.00. This option is the best choice.

4 0

3 years ago

Janet planned to purchase a McDonald's franchise. Meanwhile, Jason decided to open his own sandwich shop. Both decided to financ

Fantom [35]

Answer:

The correct answer is Banks view franchises as having fewer risks than other start-up businesses.

Explanation:

Franchising as an investment opportunity offers great advantages over other systems, this is an attractive alternative to develop a business; However, it will always be necessary to consider the pros and cons, before making a decision to franchise my business or not.

When I evaluate the possibility of franchising my business I have to be willing to assume a greater or lesser risk, that is, I am free to choose how much risk I am willing to accept in the development of my business model under the franchise scheme, and it is precisely this knowledge of the situation, which allows us to make the best decision about whether to expand my business (and under what conditions) or on the contrary wait for the business model to be at a more advanced stage of maturity before starting a project of franchise development.

4 0

3 years ago