Identify each of Knox​ Industries' transactions listed below as operating​ (O), investing​ (I), financing​ (F), noncash investing and financing​ (NIF), or a transaction that is not reported on the statement of cash flows​ Paste from Word(NA). Also indicate whether the transaction increases​ (+) or decreases ​(dash–​) cash. The indirect method is used for operating activities.

a. Issuance of common stock for cash

b. Purchase of new forklift with cash

c. Purchase of equipment by issuing note payable

d. Depreciation of building e. Decrease in raw materials inventory

f. Payment of cash dividend

g. Inccrease in prepaid rent expense

h. Purchase of treasury stock

i. Cash sale of land (no gain or loss)

j. Sale of long-term investment (no gain or loss)

k. Increase in salaries payable

l. Amortization of patent

m. Purchase building with cash

n. Decrease in accrued taxes payable

o. Gain on sale of equipment

p. Repayment of long-term debt

Assume a developed nation’s economy is in a long run equilibrium and shows signs of slow, steady growth. In addition to that, here are a few other facts and assumptions you should keep in mind: 1) Its currency has appreciated slightly over the last 6 months against all major currencies; 2) This nation recently abandoned all of its trade agreements with no word on if or when they might be renegotiated; 3) The central bank pushed the overnight bank-to-bank lending rate from 0% to 1% to 1 ½ % over the last 6 months; 4) The population is educated but lagging behind many other developed nations; 5) Consumer confidence is strong in some regions, weak in others; 6) Its monetary policy is sound. Fiscal policymakers plan to enact a significant tax cut. Given this nation’s current status, what impact will the tax cut have on this nation’s economy in the short run and long run? Use the AD/AS framework (but do not draw a graph) in your answer.

Assume a developed nation’s economy is in a long run equilibrium and shows signs of slow, steady growth. In addition to that, here are a few other facts and assumptions you should keep in mind: 1) Its currency has appreciated slightly over the last 6 months against all major currencies; 2) This nation recently abandoned all of its trade agreements with no word on if or when they might be renegotiated; 3) The central bank pushed the overnight bank-to-bank lending rate from 0% to 1% to 1 ½ % over the last 6 months; 4) The population is educated but lagging behind many other developed nations; 5) Consumer confidence is strong in some regions, weak in others; 6) Its monetary policy is sound. Fiscal policymakers plan to enact a significant tax cut. Given this nation’s current status, what impact will the tax cut have on this nation’s economy in the short run and long run? Use the AD/AS framework (but do not draw a graph) in your answer.

Markets for Factors of Production

Robert hires workers to pack the Haskap berries he is growing.

The market for Haskap berries is perfectly competitive, and the price of Haskap berries is $2 per bucket. The labour market is competitive, and the market wage rate is $16/hour.  

Table 1.0 below shows the workers’ total product schedule

Table 1.0

Answer the following:

1. What is the marginal product of the third worker hired, and what is that worker’s Value of Marginal Product?

2. How many workers will Robert hire to maximize profit and what will the workers produce?

3. If the market wage rate rises to $20/hour, how many workers will Robert hire?

1

INSTRUCTIONS

1. What kinds of items have served as money in the past? Provide three examples.

For each example, explain why the use of that item did not continue?

2. Discuss the characteristics of money and provide an example NOT indicated in the text for each of the four characteristics.

3. Why are chequing accounts also called demand deposits?

4. Why are savings accounts also called time (or notice) deposits?

5. Are credit cards money? Why or why not?

6. What is the bank rate at the Bank of Canada as of today? Do you consider that low or high? Why?

7. What are the five primary functions of the Bank of Canada?

8. Who is the Governor of the Bank of Canada?

9. What is the name of the policy conducted by the BoC to stabilize the economy?                             
10. List the 2019 revenues of the top five banks in Canada.

11. All students are to review the MLA tutorial posted on BB. You are to report back THREE things that you learned that you did not know before this exercise. Take screenshots of the three areas you learned and attach to your word document

An herbal medicine is tested on 10 patients with sleeping disorders. The table below shows the hours of sleep patients got during one night without using the

herbal medicine and the hours of sleep the same patients got on another night after the herbal medicine was administered. Assume underlying normal distributions. Remember the applets will only accept one word labels. Data must be organized in columns.

Patient 1 2 3 4 5 6 7 8 9 10

Hours

without 1.0 1.4 3.4 3.7 5.1 5.1 5.2 5.3 5.5 5.8

Hours

with 2.9 3.3 3.5 4.4 5.0 5.0 5.2 5.3 6.0 6.5

a. At a= 0.01, does the herbal medicine increase the number of hours of sleep during one night?

b. Construct a 95% confidence interval for the mean difference.

c. What is the point estimate for this interval?

d. What is the margin of error for this interval?

e. Interpret the confidence interval in the context of this problem.

Thomas, a poor university student, and his millionaire Dad enter into an arrangement where Thomas agrees that he will keep the front and backyards of the family property mowed, and he will ‘do a bit’ to keep the gardens looking tidy. In return, his Dad agrees to pay him a weekly allowance of $200. His Dad had previously used a garden contractor to do the job and paid him $350. They live on a large property, and the mowing alone takes half a day a week. After four weeks, Thomas’s Dad tells him that he can’t afford to pay $200 a week. He says that Thomas should be doing the work for nothing, as it is the responsibility of the whole family to look after the property; besides, he says, Thomas is getting free board and lodging. Advise Thomas on whether there is a contract between him and his Dad which the court will enforce. Required: Answer this question using the IRAC * method. (Word limit: Minimum of 300 words. Maximum of 400 words)

An extract of the Asset Register of Ace Pty Ltd (“Ace”) for the 2018 - 2019 Income year is shown as follows: Asset Cost Opening Adjustable Value Method Effective Life Decline in Value for This Period Closing Adjustable Value Printer 1,200 1,200 Diminishing Value 3 years 400 800 Desks 3,000 2,400 Prime Cost 10 years 300 2,100 Appliances 2,600 1,040 Prime Cost 5 years 520 520 All depreciable assets are 100% for business use and Ace uses a low-value pool for all eligible assets. The closing value of the low-value pool at 30 June 2019 was $8,000. Ace purchased a camera on 20 Jan 2020 for $840. Advise Ace of the Income Tax consequences arising out of the above information for the 2019 - 2020 Income year assuming Ace is not a small business entity. (7 marks. Word limit: Minimum of 120 words. Maximum of 150 words)