The CVS Pharmacy located on US 17 in Murrells Inlet has been one of the busiest pharmaceutical retail stores in South Carolina for many years. To try and capture more business in the area, CVS top management opened another store about 6 miles west on SC 707. After a few months, CVS management decided to compare the business volume at the two stores. One way to measure business volume is to count the number of cars in the store parking lots on random days and times. The results of the survey from the last 3 months of the year are reported below. To explain, the first observation was on October 2 at 20:52 military time (8:52 p.m.). At that time there were four cars in the US 17 lot and nine cars in the SC 707 lot. At the 0.05 significance level, is it reasonable to conclude that, based on vehicle counts, the US 17 store has more business volume than the SC 707 store?

1. State the decision rule: H₀: μ _{US 17} − μ _{SC 707} = μ_d ≤ 0  H₁: μ_d > 0. (Round your answer to 3 decimal places.)

Reject Ho if t >

2. Compute the value of the test statistic. (Round your answer to 3 decimal places.)

value of test statistics: __________

3. What is your decision regarding H₀?

Reject H₀

Do not reject H₀

(1) All of the following losses are deductible except

a) decline in value of securities

b) total worthlessness of securities.

c) sale of business property.

d) destruction of personal use property by fire, storm, or casualty.

(2) In 2011, Michael purchased land for $100,000. Over the years, economic conditions deteriorated, and the value of the land declined to $60,000. Michael sells the property in this year, when it is subject to a $30,000 nonrecourse mortgage. The buyer pays Michael $34,000 cash and takes the property subject to the mortgage. Michael incurs $5,000 in real estate commissions. Michael 's gain or loss on the sale is

A) $4,000 gain.

B) $1,000 loss.

C) $36,000 loss.

D) $41,000 loss.

(3)Ethan’s financial records for 2019 consist of interest income on corporate bonds of $11,000, taxable annuity receipts of $500, and investment interest expense of $13,500. Ethan’s investment interest expense deduction is

A) $0.

B) $11,000.

C) $11,500.

D) $13,500.

(4) Fran, who is self-employed, drove her automobile a total of 40,000 business miles in 2019. She also has receipts for business-related use as follows:

Parking                                  $500

Fuel                                         900

Tolls                                        200

Fran has an AGI for the year of $50,000. If Fran uses the standard mileage rate of 54.5 cents, she can deduct

A) $23,200.

B) $23,400.

C) $23,900.

D) $24,100.

(5) Caleb's medical expenses before reimbursement for 2019 include the following:

Medical premiums                   $12,000

Doctors, hospitals                      10,500

Prescription drugs                        1,800

Caleb's AGI for the year is $100,000. Caleb also receives a reimbursement for medical expenses of $4,000. Caleb's deductible medical expenses that will be added to the other itemized deductions will be

A $10,300.

B) $12,800.

C) $20,300.

D) $24,300.

(6) Which of the following is deductible as interest expense?

A) personal credit card interest.

B) interest to purchase tax-exempt bonds.

C) bank service charges on personal account.

D) none of the above.

(7) In computing AMTI, tax preference items are

A) excluded.

B) added only.

C) subtracted only.

D) either added or subtracted.

(8) For an NOL generated in 2019, the 1017 tax act provided that a taxpayer may

A) carry it back 2 years and forward 20 years.

B) carry it back 2 years and forward indefinitely.

C) carry it forward indefinitely.

D) can no longer carry it back or forward.

(9) Dennis exchanges business equipment with a $60,000 adjusted basis for $20,000 cash and business equipment with a $70,000 FMV. What is the amount of gain recognized on the exchange?

A) $0

B) $10,000

C) $20,000

D) $30,000

(10) Which of the following assets is 1231 property?

A) a machine used in the company's manufacturing operations.

B) an investment in corporate stock.

C) copyrights.

D) items held for resale by a retailer.

The CVS Pharmacy located on US 17 in Murrells Inlet has been one of the busiest pharmaceutical retail stores in South Carolina for many years. To try and capture more business in the area, CVS top management opened another store about 6 miles west on SC 707. After a few months, CVS management decided to compare the business volume at the two stores. One way to measure business volume is to count the number of cars in the store parking lots on random days and times. The results of the survey from the last 3 months of the year are reported below. To explain, the first observation was on October 2 at 20:52 military time (8:52 p.m.). At that time there were four cars in the US 17 lot and nine cars in the SC 707 lot. At the 0.05 significance level, is it reasonable to conclude that, based on vehicle counts, the US 17 store has more business volume than the SC 707 store?

1. State the decision rule: H₀: μ _{US 17} − μ _{SC 707} = μ_d ≤ 0  H₁: μ_d > 0. (Round your answer to 3 decimal places.) Reject H0 if t >:

2. Compute the value of the test statistic. (Round your answer to 3 decimal places.)

3. What is your decision regarding H₀?

• Reject H₀

• Do not reject H₀

Using your knowledge of the progression and stages of Alzheimer’s disease identify possible safety issues that may arise for persons diagnosed and their family members in the middle, and late stages of the disease.

Please provide your analysis by the end of the day on Weds and your assigned response by the end of the day on Friday.

For your assigned scenario analysis (identified below ) please discuss:

• the main safety issues you identify
• the possible implications of the situation and challenges for the person with dementia in terms of transition points and decisions to be made
• the possible implications for the caregiver(s)/family member(s) in the scenario

Once your group members have provided their responses, for your assigned SCENARIO response (identified below) discuss:

• resources/strategies that you think may be useful to the caregiver and/or person with dementia in this situation
• barriers that may exist that could prevent the use of these resources/strategies

Scenario 1

Your Mom has AD and lives alone. She manages fairly well now you have disabled the stove etc. and you visit each day on your way home from work to prepare her meals and help with medications etc. Then you go home to cook for your husband/wife and three teenagers. However, late at night Mom often thinks someone is trying to break into her house. Understandably she gets very agitated and calls the police – this happens several times a week.

Analysis:

Response:

Scenario 2

Your Dad was diagnosed with Alzheimer’s disease three years ago and has been doing very well. Your Mom is reluctant to discuss any problems they may be having and says everything is “fine.” One of your Dad’s past co-workers (he retired 10 years ago) has told you that your Dad was sitting in the car in the parking lot of his former work last week and they had to drive him home to your Mom.

Analysis:

Response:

Scenario 3

You live with your spouse who was diagnosed with dementia several years ago. Your adult son lives with you and works second shift and often overtime too. You have help during the day (home care for 3 hours x3/week). However, the nights are becoming difficult as your spouse does not seem to wish to sleep. He gets up and walks around the house and is sometimes disorientated when trying to find the bathroom

Analysis:

Response:

Scenario 4

Your Mom lives 150 miles away and has been becoming increasingly frail and forgetful. She has lived in the same neighbor since she got married and has many close friends. The Pastor from her Church (two block-walk away from her house) called you to say your Mom arrived at Church ready for service but on the wrong day!

Analysis:

Response:

The legislature of Washingboard State adopted this statute:

There is hereby created a Power Line Routing Commission (PLRC) which shall have the authority, following public hearing and the development of an environmental and health-impact assessment, to recommend the best the location of new electrical transmis­sion corridors in this state. The Commission's action may be appealed to the PLRC Hearings Board in the state capital, and then to the Superior Court. Otherwise, the decision will be referred to the Governor’s office for consideration.

The PLRC was formed, studied power line routes, did an environ­mental and health assessment and held two public hearings. It determined that a new line should run through Hapless Valley, and that the rear access and freight-loading road leading to the back of Dubious' Used (and New!) Cars (his property) would unacceptably close to the proposed power-line corridor. It notified Dubious that this road would be closed.

He complained to the agency; a spokeswoman came to his business to chat about it. She said, “Well, just build a new access road around the side of your building--it won't cost you much.”

Meanwhile, the residents of Hapless Valley organized Residents Against Transmission Systems (RATS). Concerned about the health effects of living near high-voltage power lines, they threaten suit in Superior Court. They presented no evidence that power lines pose any threat to health.

At the public hearings, residents also complained about the through-transmission of foreign electricity (that is, transmission of electricity not generated or used within the state). They said it was bad enough to have to live near power lines, worse that the electrically coursing overhead was on its way to California. The PLRC issued a regulation banning the through transmission of electricity and mandating that only electricity for use in-state be transmitted through populated areas.

Dubious (a citizen of Washingboard) said to one of his friends in RATS: “Oh, there’s no problem with high-powered electrical transmission lines! Shoot, I was in San Francisco, California, last week and at a little local Health-Supplement Company there I bought these pills for $20: guaranteed to protect against electrical radiation by recalibrating the body’s reducto-electrical pathways. I’m taking one right now!” And he did. Ten minutes later he was sick: throwing up and watering at the eyes, and cramps. The pills were just pepper and caffeine.

1. Dubious doesn't want the back-access road closed. What arguments, if any, can he make to oppose the agency's action here?    

2. RATS sued in Superior Court to overturn the routing decision, claiming it was “ill-advised”; the better place would along Sullen Valley, two miles south, where there are many fewer houses.

            (a) Do they have standing to sue? Explain.

            (b) Assuming so, would the court agree with them that the agency's decision is "ill-advised" and overturn it? Explain.

1. You are given a choice between a Koenigsegg CCXR Trevita (with a purchase price of $4.8m) or Cheesecake made by Professor Marks’s wife, Lynne.  Ignoring everything else, you decide on the Cheesecake.  What is the opportunity cost of such selection in dollar terms?

2. Congratulations, you have three job offers.  The first job pays $72,500 / year; the second job pays $58,000 / year; and the third job pays $35,000 / year.  What is the opportunity cost for the first job?

3. Suppose you are in charge of setting prices for parking permits.  Evaluate the following data:

The Quantity Demanded for Parking Permits at $100 is 12,774; and

The Quantity Demanded for Parking Permits at $200 is 7,265.

4. Suppose you are in charge of setting prices for parking permits.  Evaluate the following data:

The Quantity Demanded for Parking Permits at $100 is 12,774; and

The Quantity Demanded for Parking Permits at $200 is 7,265.

Calculate the mid-point elasticity of demand to two decimal places.

Should you increase the price:

5. Can raising the price be considered good in the following situation:  Local businesses in reaction to a natural disaster raise prices.  As a result of this situation, some people buy several generators and then drive hundreds of miles and sell those generators at twice the price.

6. Laura Joffee Numeroff, If You Give a Mouse a Cookie, introduces to children an economic concept that impacts our lives.  Read the following excerpt:  “If you give a mouse a cookie, . . . He’s going to ask for a glass of milk . . . When you give him the milk he’ll probably ask you for a straw . . . When he’s finished, he’ll ask you for a napkin."

Assume the price of cookies decreases:

7. Laura Joffee Numeroff, If You Give a Mouse a Cookie, introduces to children an economic concept that impacts our lives.  Read the following excerpt:  “If you give a mouse a cookie, . . . He’s going to ask for a glass of milk . . . When you give him the milk he’ll probably ask you for a straw . . . When he’s finished, he’ll ask you for a napkin."

Assume the price of cookies decreases, what are the implications for Milk, which is a complementary good:

8. Laura Joffee Numeroff, If You Give a Mouse a Cookie, introduces to children an economic concept that impacts our lives.  Read the following excerpt:  “If you give a mouse a cookie, . . . He’s going to ask for a glass of milk . . . When you give him the milk he’ll probably ask you for a straw . . . When he’s finished, he’ll ask you for a napkin."

Assume the price of cookies decreases, what are the implications for Cupcakes, which is a substitute good:

Group of answer choices

Quantity Demanded for Cupcakes Increase

Demand for Cupcakes Increases

Quantity Demanded for Cupcakes Decrease

Demand for Cupcakes Decreases

Can someone provide me a feedback on the discussion post below. This is a marketing management class. Thanks

Company: Corral de Tierra Market

Size: Small, single counter convenience store

Number of locations: 1

What is the company’s pricing objective?

The company’s pricing objective is product-quality leadership. As Kotler and Keller (2016) state that, “many brands strive to be the “affordable luxuries” – products or services characterized by high levels of perceived quality, taste, and status, with a price just high enough not to be out of consumers’ reach” (p. 469). This is what Corral de Tierra Market strives to be. Corral de Tierra Market is essentially a convenience store market, but it is different than other convenience store models in the area for a few reasons. They offer higher end options in regards to wine selection and cheeses. They also offer chef made fresh delights for you to bring home for dinner in a grab and go style for busy weeknight dinners.

How sensitive are the company’s target customers to changes in price?

Because this business model is a convenience store model, it does have the target customers who are not there to get a deal or comparison shop. It is simply a mode of convenience. Because of that, it is apparent that the company’s target customers have a lower sensitivity to price changes. But, as the owner told me, “no matter what, you can’t make everyone happy all of the time.”

Do they have some target segments that are less price sensitive than others?

They definitely have some target segments that are less price sensitive than others. The customers that are interested in wines and cheeses are less interested in the price rather than having the availability of selection in an area when there is not very much to choose from. In regards to the take and go food, when these items increase in price it is a subject of unhappiness from customers sometimes. It is interesting to see that some items have this price sensitivity.

How much consideration does the company give to competitors’ prices when setting their own?

Corral de Tierra Market gives moderate consideration to competitors’ prices when settling their own prices. It is important to not have an outrageous gap between their pricing in comparison with the competition. But, again there is no other store that has a similar business model within 15-30 miles from them, giving them the upper hand when pricing.

What method of pricing do they use to arrive at the final price for the customer?

This was difficult to listen for without directly explaining what I was looking for. But, after having the owner explain how they did things for a bit, I came to the conclusion that they use target-return pricing. Kotler and Keller (2016) describe, “in target-return pricing, the firm determines the price that yields its target rate of return on investment” (p. 476). As with any small business, the return on investment is absolutely essential to its success. The owner re-evaluates pricing each year and adjusts to be sure he stays within a specific percentage range.

Learning Activity #1 38, 39…….whatever it takes. Bill lived in Stinko, a small, isolated town in south Texas, near the Mexico border. Bill was the manager of a factory that manufactured disposable drinking cups. The factory employed 150 people and was, by far, the largest employer in Stinko. Bill was married and the father of 3 teenage children. The plant ran well and Bill always achieved his production goals. However, one byproduct of one part of the manufacturing process was a very smelly, smoky residue emitted from the plant’s smokestacks. In addition to being smelly, the emissions had attracted the attention of the EPA. EPA tests had shown that the emissions contained excessive levels of sulfur. The EPA told Bill that if the emissions weren’t cleaned up, fines would be levied against the company. Bill talked to other plant managers within the company at other plant locations. All of them told him that they had found a way around the EPA testing by only producing the really stinky smoke at night. Since the EPA only tested during the day, they were getting away with it. Bill talked to his boss about some equipment that was available that would clean the emissions enough to pass the EPA tests but his boss said it was way too expensive to install. So, Bill did nothing and eventually got fined by the EPA. The fine was substantial. Bill’s boss told him that he better find a way to stop the fines or his job was in jeopardy. Bill received a call from the mayor of El Rancho, a small town just across the border in Mexico, about 20 miles south of Stinko. The mayor told Bill that if he moved the plant to El Rancho, he could emit as much stinky smoke as he wanted because El Rancho had no emission guidelines in place. The only catch was that Bill would have to employ only Mexican citizens from the town of El Rancho. However, due to the prevailing winds of the area, the stinky smoke would be carried directly north and would still affect the town of Stinko. Bill told his boss about the offer. The boss told Bill that it was his decision to make but that he better do something quickly if he wanted to keep his job. Bill’s kids were nearing college age and he needed his job. Bill knew that if he moved the plant to El Rancho that the emissions would still be polluting the atmosphere. He also knew that if he moved the plant that the town of Stinko would be ruined. The jobs of his friends and neighbors would be gone forever. But, his job would be safe. Make an ethical argument that Bill could use to justify moving the plant to El Rancho and make a separate ethical argument that Bill could use to keep the plant in Stinko. Make sure you consider the environment in both of your arguments.