Questions
QUESTION 1 - Scenario: Assume the marginal revenue product, MRP, for minority workers is given by...

QUESTION 1 - Scenario: Assume the marginal revenue product, MRP, for minority workers is given by MRP = 40 − 5Nm , where Nm is the number of minority workers. The market wage for minorities is $5/hr. Discriminating firms devalue the contributions of minorities at a rate of$5/hr (i.e., d=5).

How many minority workers do non-discriminating firms hire? Supply integer value in your answer.

QUESTION 2 - Stay with scenario in Q1. What is the profit level of non-discriminating firm at their chosen quantity demanded of minority workers? Supply the answer rounded to the nearest tenth decimal point (e.g. 20.5).

QUESTION 3 - Stay with scenario in Q1. How many minority workers do discriminating firms hire? Supply an integer answer.

QUESTION 4 - Stay with scenario in Q1. What is the profit level of discriminating firm at their chosen quantity demanded of minority workers? Supply an integer value.

In: Economics

Elisa and Clyde operate a retail sports memorabilia shop. For the current year, sales revenue is...

Elisa and Clyde operate a retail sports memorabilia shop. For the current year, sales revenue is $55,000 and expenses are as follows:

Cost of goods sold $21,000
Advertising 1,000
Utilities 2,000
Rent 4,500
Insurance 1,500
Wages to Boyd 8,000

Elisa and Clyde pay $8,000 in wages to Boyd, a part-time employee. Because this amount is $1,000 below the minimum wage, Boyd threatens to file a complaint with the appropriate Federal agency. Although Elisa and Clyde pay no attention to Boyd's threat, Chelsie (Elisa's mother) gives Boyd a check for $1,000 for the disputed wages. Both Elisa and Clyde ridicule Chelsie for wasting money when they learn what she has done. The retail shop is the only source of income for Elisa and Clyde.

a. Calculate Elisa and Clyde's AGI.
$

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To be deductible, an expense must be incurred for the taxpayer's benefit or arise from the taxpayer's obligation. An individual cannot claim a tax deduction for the payment of the expenses of another individual. There is one exception.

b. Can Chelsie deduct the $1,000 payment on her tax return?

No

The obligation is that of Elisa and Clyde since it is related to their business.

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Correct

c. Assume instead that Chelsie makes a gift of the $1,000 to Elisa and Clyde and they pay the $1,000 to Boyd.

Can Elisa and Clyde deduct the $1,000 as part of the wage expense?

Yes

Can Chelsie (Elisa's mother) deduct the $1,000 payment to Boyd on her tax return?

No

In: Accounting

T/F. RBV = Revenue Based Value T/F. The more competitors there are in an industry the...

  1. T/F. RBV = Revenue Based Value
  2. T/F. The more competitors there are in an industry the intense rivalry is
  3. T/F. Product development starts with a goal
  4. T/F. Marketing is a support to sales but never makes a sale
  5. T/F. Price Points must consider sales volume and end profit goals

In: Accounting

The following data refer to Laredo Luggage Company for the year 20x2:   Sales revenue $ 1,000,000...

The following data refer to Laredo Luggage Company for the year 20x2:
  Sales revenue $ 1,000,000     
  Work-in-process inventory, December 31 30,000     
  Work-in-process inventory, January 1 36,000     
  Selling and administrative expenses 150,000     
  Income tax expense 80,000     
  Purchases of raw material 160,000     
  Raw-material inventory, December 31 25,000     
  Raw-material inventory, January 1 40,000     
  Direct labor 200,000     
  Utilities: plant 40,000     
  Depreciation: plant and equipment 50,000     
  Finished-goods inventory, December 31 50,000     
  Finished-goods inventory, January 1 10,000     
  Indirect material used 10,000     
  Indirect labor 9,000     
  Other manufacturing overhead 60,000     

41.

Required information

1. Prepare Laredo Luggage’s schedule of cost of goods manufactured for the year.

       

rev: 06_08_2015_QC_CS-17166


42.

Required information

2. Prepare Laredo Luggage’s schedule of cost of goods sold for the year.

     

43.

Required information

3. Prepare Laredo Luggage’s income statement for the year.

       

In: Accounting

The owner of Showtime Movie Theaters, Inc., would like to predict weekly gross revenue as a...

The owner of Showtime Movie Theaters, Inc., would like to predict weekly gross revenue as a function of advertising expenditures. Historical data for a sample of eight weeks follow.

Weekly
Gross
Revenue
($1,000s)
Television
Advertising
($1,000s)
Newspaper
Advertising
($1,000s)
96 5.0 1.5
90 2.0 2.0
95 4.0 1.5
92 2.5 2.5
95 3.0 3.3
94 3.5 2.3
94 2.5 4.2
94 3.0 2.5

(a)

Develop an estimated regression equation with the amount of television advertising as the independent variable. (Round your numerical values to two decimal places. Let x1 represent the amount of television advertising in $1,000s and y represent the weekly gross revenue in $1,000s.)

ŷ =

(b)

Develop an estimated regression equation with both television advertising and newspaper advertising as the independent variables. (Round your numerical values to two decimal places. Let x1 represent the amount of television advertising in $1,000s, x2 represent the amount of newspaper advertising in $1,000s, and y represent the weekly gross revenue in $1,000s.)

ŷ =

In: Statistics and Probability

The following data refer to Laredo Luggage Company for the year 20x2:   Sales revenue $ 950,000...

The following data refer to Laredo Luggage Company for the year 20x2:
  Sales revenue $ 950,000     
  Work-in-process inventory, December 31 30,000     
  Work-in-process inventory, January 1 36,000     
  Selling and administrative expenses 150,000     
  Income tax expense 90,000     
  Purchases of raw material 170,000     
  Raw-material inventory, December 31 25,000     
  Raw-material inventory, January 1 20,000     
  Direct labor 190,000     
  Utilities: plant 40,000     
  Depreciation: plant and equipment 40,000     
  Finished-goods inventory, December 31 50,000     
  Finished-goods inventory, January 1 15,000     
  Indirect material used 10,000     
  Indirect labor 12,000     
  Other manufacturing overhead 80,000     

1. Prepare Laredo Luggage’s schedule of cost of goods manufactured for the year

2. Prepare Laredo Luggage’s schedule of cost of goods sold for the year

3. Prepare Laredo Luggage’s income statement for the year.

In: Accounting

The three types of revenue sources you will cover are the following: Medicaid. Medicare. Managed Care....

The three types of revenue sources you will cover are the following:

  • Medicaid.
  • Medicare.
  • Managed Care.

For each of the revenue sources, you must do the following:

  • Explain the purpose of the program.
  • Analyze the process of reimbursement for health care organizations.
    • What steps must be taken in order to receive reimbursement for services?
    • How complicated is each step?
    • What kind of information is required from the organization?
    • How long does it take to receive reimbursement?
  • Explain the benefits of the program for both patients and health care organizations.

In: Operations Management

WEEK 6: RESPONSIBILITY ACCOUNTING What is a cost center? A revenue center? A profit center? An...

WEEK 6: RESPONSIBILITY ACCOUNTING

What is a cost center? A revenue center? A profit center? An investment center? Please explain in the context of your own business or industry, if possible.

In: Accounting

plain the meaning of (a) differential revenue, (b) differential cost, and (c) differential income. A company...

  1. plain the meaning of (a) differential revenue, (b) differential cost, and (c) differential income.
  2. A company accepts incremental business at a special price that exceeds the variable cost. What other issues must the company consider in deciding whether to accept the business?
  3. Cite and give credit to the author that you are citing

In: Accounting

Explain the meaning of (a) differential revenue, (b) differential cost, and (c) differential income. A company...

  1. Explain the meaning of (a) differential revenue, (b) differential cost, and (c) differential income.
  2. A company accepts incremental business at a special price that exceeds the variable cost. What other issues must the company consider in deciding whether to accept the business?
  3. Cite and give credit to the author that you are citing

In: Accounting