In a Heckscher-Ohlin model, suppose there are two countries: Scotland and Portugal. Two goods are produced in this world: cheese ( C) and wine (W). Cheese and wine are both produced using two factors of production: labour (L) and land (T). Wine is land-intensive while cheese is labour-intensive. Suppose that Scotland and Portugal have the exact same quantity of labour, but Scotland has more land than Portugal. Assume that the post-trade world relative price of cheese is the mean (average) of the two countries’ pre-trade relative prices, so that world relative prices converge exactly towards the middle of the two countries’ prices.

a) Draw Scotland and Portugal’s RS curves on a RS-RD diagram, clearly labelling each curve, each country’s pre-trade relative prices and quantities of cheese, as well as the world post-trade relative price and quantities of cheese. Briefly describe, in one or two sentences, why the RS curves of each country are located where you have drawn them.

b) Scotland suddenly receives an increase in labour. Assume that Scotland does not trade before or after the increase in labour, and that output prices do not change either. Describe what happens to Scotland’s production of each good, its factor prices, and input mix in each sector. Draw Scotland’s PPF before and after the increase in labour, with cheese on the horizontal axis and wine on the vertical axis.

c) Take the same increase in labour for Scotland from the previous part. Assume now that Scotland DOES participate in international trade both before and after the increase in labour, and that output prices can change as well. What happens, before and after the labour increase (assuming Scotland traded with Portugal both before and after), to: 1) Scotland’s RS curve (draw the RS-RD diagram with Scotland’s new and old RS curves, Portugal’s RS curve, and the RD curve), 2) Scotland’s production (using a PPF diagram), exports, and imports, and 3) Scotland’s output prices, factor prices, and input mixes. Hint: you may find that there is ambiguity about what happens because you do not know exactly how much labour is added, and that there are a few different scenarios that could occur, depending on how much labour is added. For full marks, you should describe what happens in each of those cases.

he novel corona virus disease (also known as COVID – 19) which started in WUHAN in December 2019 has grounded the global economy to a halt. World crude prices reached their lowest and trade among nations have generally slowed. Production has slowed and jobs are being lost across the globe.
Globally, over seven million people have contracted the virus and over four hundred thousand have died. Ghana announced its first two confirmed cases of COVID – 19 on 12 March, 2020 and as at June 14, 2020, the number of confirmed cases stood at 11,964 with 54 deaths. The impact of the COVID – 19 pandemic on Ghanaian economy and the global economy at large is predicted to be very severe. The government of Ghana, like many other governments, is spending more funds on containing the pandemic and limiting the effect of the pandemic on the economy. The IMF Executive Board approved the disbursement of US$1 billion drawn under the Rapid Credit Facility (RCF) for Ghana on April 13, 2020 after receiving application from the country’s government.
Given this background, briefly discuss the repercussions of the corona virus pandemic for the Ghanaian economy and foreign exchange market. Suggest ways of mitigating the effects of covid – 19 on Ghana’s balance of payments (BOP).

Having gone through the principles II class, imagine you are an intern at Floro agro florists and its
end year. The Warehouse Manager is overwhelmed with work and realizes that you can just be
the perfect person to help him with inventory related issues after he realizes a glitch in some
year’s records. The information for the years in question has been provided as follows;
2018 2019 2020
Current Assets 1,000 1,250 1,750
Non-Current Assets 5,000 6,250 8,750
Total Assets 6,000 7,500 10,500
Long term Liabilities 2,000 2,500 3,500
Revenue 1,000 1,250 1,750
Cost of Sales 40% on cost for all the Years
Assume that ending Inventory was overstated by K1, 500 in 2018 and Understated by K10, 000
ends of 2019.
Required
a. Calculate the Cost of goods sold for the years 2018, 2019, and 2020
b. Calculate the Owners Equity value for the years 2018, 2019 and 2020
c. Calculate the correct values for the below listed items in 2018 and 2019 indicating the effect
with an explanation.
i. Current Assets
ii. Non-current Assets
iii. Total Assets
iv. Long term Liabilities
v. Owners Equity
vi. Revenue
vii. Cost of sales
viii. Gross Profit

Exercise 23-17 (Part Level Submission)

Sage Inc., had the following condensed balance sheet at the end of operations for 2019.

During 2020, the following occurred.

b. Prepare the condensed balance sheet for jobim inc. as it would appear at december 31 2020

On December 31, 2020, Ainsworth, Inc., had 750 million shares of common stock outstanding. Twenty eight million shares of 5%, $100 par value cumulative, nonconvertible preferred stock were sold on January 2, 2021. On April 30, 2021, Ainsworth purchased 50 million shares of its common stock as treasury stock. Twenty million treasury shares were sold on August 31. Ainsworth issued a 4% common stock dividend on June 12, 2021. No cash dividends were declared in 2021. For the year ended December 31, 2021, Ainsworth reported a net loss of $180 million, including an after-tax loss from discontinued operations of $480 million.

Required:
1. Compute Ainsworth's net loss per share for the year ended December 31, 2021.
2. Compute the per share amount of income or loss from continuing operations for the year ended December 31, 2021.
3. Prepare an EPS presentation that would be appropriate to appear on Ainsworth's 2021 and 2020 comparative income statements. Assume EPS was reported in 2020 as $0.72, based on net income (no discontinued operations) of $540 million and a weighted-average number of common shares of 750 million.

Problem 16-1 (Algo) Single temporary difference originates each year for four years [LO16-2]

Alsup Consulting sometimes performs services for which it receives payment at the conclusion of the engagement, up to six months after services commence. Alsup recognizes service revenue for financial reporting purposes when the services are performed. For tax purposes, revenue is reported when fees are collected. Service revenue, collections, and pretax accounting income for 2020–2023 are as follows:

There are no differences between accounting income and taxable income other than the temporary difference described above. The enacted tax rate for each year is 25%.

(Hint: You will find it helpful to prepare a schedule that shows the balances in service revenue receivable at December 31, 2020–2023.)

Required:
1. to 3. Prepare the appropriate journal entries to record Alsup's 2021 income taxes, 2022 income taxes and 2023 income taxes. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollars.)

The novel corona virus disease (also known as COVID – 19) which started in WUHAN in December 2019 has grounded the global economy to a halt. World crude prices reached their lowest and trade among nations have generally slowed. Production has slowed and jobs are being lost across the globe. Globally, over seven million people have contracted the virus and over four hundred thousand have died. Ghana announced its first two confirmed cases of COVID – 19 on 12 March, 2020 and as at June 14, 2020, the number of confirmed cases stood at 11,964 with 54 deaths. The impact of the COVID – 19 pandemic on Ghanaian economy and the global economy at large is predicted to be very severe. The government of Ghana, like many other governments, is spending more funds on containing the pandemic and limiting the effect of the pandemic on the economy. The IMF Executive Board approved the disbursement of US$1 billion drawn under the Rapid Credit Facility (RCF) for Ghana on April 13, 2020 after receiving application from the country’s government. Given this background, briefly discuss the repercussions of the corona virus pandemic for the Ghanaian economy and foreign exchange market. Suggest ways of mitigating the effects of covid – 19 on Ghana’s balance of payments (BOP).

Question 1 The novel corona virus disease (also known as COVID – 19) which started in WUHAN in December 2019 has grounded the global economy to a halt. World crude prices reached their lowest and trade among nations have generally slowed. Production has slowed and jobs are being lost across the globe. Globally, over seven million people have contracted the virus and over four hundred thousand have died. Ghana announced its first two confirmed cases of COVID – 19 on 12 March, 2020 and as at June 14, 2020, the number of confirmed cases stood at 11,964 with 54 deaths. The impact of the COVID – 19 pandemic on Ghanaian economy and the global economy at large is predicted to be very severe. The government of Ghana, like many other governments, is spending more funds on containing the pandemic and limiting the effect of the pandemic on the economy. The IMF Executive Board approved the disbursement of US$1 billion drawn under the Rapid Credit Facility (RCF) for Ghana on April 13, 2020 after receiving application from the country’s government. Given this background, briefly discuss the repercussions of the corona virus pandemic for the Ghanaian economy and foreign exchange market. Suggest ways of mitigating the effects of covid – 19 on Ghana’s balance of payments (BOP).