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PART I:
1. What are the advantages and disadvantages of the corporation as a form of business organization? 2. Explain how the capacity utilization rate and the interest rate affect the level of investment. 3. Explain why building up capital takes a great deal of sacrifice. 4. What has happened to our personal savings rate in recent years, and how has that affected our level of investment? 5. Why are virtually all large business firms corporations? 6. The Swanson Company, a partnership, was formed in 1999 by Jill Swanson, Jenne Swanson, Duke Swanson, Gage Swanson, and Maggie Swanson. In 2000, Holly Swanson and Missy Swanson were taken into the partnership. In 2001 Duke Swanson left the partnership and Brenda Swanson and Jerry Swanson joined it. In 2002 Jill Swanson left the partnership and Buddie Swanson joined it. In 2003 Forrest Swanson joined the partnership. Explain why it would have been easier for this company to have begun as a corporation rather than as a partnership. 7. You and three friends have saved $100,000 and decided to form a computer repair business. Would you form a partnership or a corporation? Explain why you made this choice. 8. You own a furniture manufacturing company that employs 200 people, many of whom have worked for you for over 20 years. Although your company is profitable, you could raise your profits by 20 to 30 percent by shifting your production to Southeast Asia. Will you move your operations abroad? Explain why or why not. PART II: ESSAY Directions: Compose an essay that clearly presents your critical analysis of the thought that Americans spend more on services than on durable and non-durable goods. In addition, how is it possible to consume more than your income? Please provide real-world examples (this can be from the media or your own experiences). Please refer to the textbook and supplemental readings when completing this assignment. The reflection papers must be typed, double-spaced, with 1-inch margins and 12-point type following APA format. Your work should be a minimum of 2 pages (not including the title and reference pages). Please visit the Academic Resource Center for guidelines on using LIRN and APA format.
Suppose the government imposes a price floor of $25, and agrees to purchases any and all units consumers do not buy at the floor price of $25 per unit (3 points) a. Determine the cost to the government of buying firms' unsold units. b. Compute the ..
The new Millennium Dome Company (NMDC) must choose the entry fee for a new sports arena. Suppose an expensive consultancy firm has estimated the demand schedule to be as follows:
An excise tax of $1.00 per gallon of gasoline placed on the suppliers of gasoline in a market with downward sloping demand and upward sloping supply would raise the equilibrium price. a exactly $1.00 per gallon.
How do Minimum Wage Laws affect the equilibrium in the Labor Market? For your selected product, if the government places a mandated price ABOVE the equilibrium price, how would this affect the market equilibrium?
1. the widget industry in anytown is a monopoly controlled by widget corp. its demand curve for the local market is
Who bears the cost of import barriers protecting a job where the industry employing labor has lost its comparative advantage Consider the use of tariffs on steel imports into the U.S. during the recent Bush Administration.
Discuss some of the factors Autor identifies as having contributed to an increase in the demand for highly-educated workers and a decrease in the demand for less-educated workers.
If the price of a mouse pad is $7.00, describe the situation in the market. Explain how market equilibrium is restored. What is the market equilibrium if a fall in the price of a computer changes the quantity demanded of mouse pads by 20 a week at e..
A firm has enough retained earnings to finance an investment project. For this firm, the market interest rate:
As we have learnt in the course aggregate demand is equal to C+I+G+(EX-IM) where the only difference with RGDP is that in the above equation I does not include accumulated inventories.
(Money Demand) Suppose that you never carry cash. Your paycheck of $1,000 per month is deposited directly into your checking account, and you spend your money at a constant rate so that at the end of each month your checking account balance is zero. ..
if there is a natural monopolyone firm owns all the natural resources in the production of a good such as owning the
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