Authentic Car Services is the only transportation provider in a midsized county, about 65 miles outside of a major city. Licensed by the local government, the firm provides door to door service between the residents’ homes, the train station (which connects to the major city), local retail stores, and other key locations within and surrounding the town center. To access the service, residents may call for a specific pick-up time, or they could wait by any curb for an unscheduled curbside pick-up.

The market demand for transportation services is described by the equations: P = 8 – 0.015Q and MR = 8 – 0.03Q, where Q is the number of trips per week.

With regular maintenance on its fleet of vehicles as well as outstanding loan payments, the firm faces a weekly fixed cost of $200.

Authentic Car Services’ labor force includes drivers and dispatchers, and all report to work if the firm is providing service. Along with the labor force and the necessary materials needed for day-to-day operation, the firm’s additional costs can be described by the equations: MC = 2 + 0.01Q and AVC = 2 + 0.005Q, where Q is the number of trips per week.

1. Currently, Authentic Car Services provides _________ trips per week and charges $_________ for each trip.

2. At the current profit-maximizing quantity, Authentic Car Services’ profit is $______ per week.

3. The current market outcome ______ (either is or is not | is | is not ) efficient and a measure of this ______ (efficiency | efficiency or inefficiency | inefficiency) is $ _______.

Now consider that consumers’ income increases, and transportation services is a normal good. As a result, the new market demand for transportation services is described by one of the following equation sets:

Equation A: P = 7 – 0.015Q, and MR = 7 – 0.03Q

Equation B: P = 10 – 0.015Q and MR = 10 – 0.03Q

The market fully adjusts after the demand shock.

4. As a result of the shock, the new market demand is described by Equation ____ (A | B) .  Authentic Car Services now provides ______ trips per week and charges $_____ for each trip.

5. As a result of the shock, consumers’ surplus has decreased. Now, Authentic Car Services has _________ (a higher | a lower | no change in its) economic profit, and the overall market _______ (efficiency | efficiency or inefficiency | inefficiency) has _________ (decreased to | increased to | remains the same at ) $.___________.

Harry, Liam and Zayn have formed a business partnership. They own and manage a winery in the Adelaide Hills called One Direction. Zayn makes the wine. Harry and Liam are responsible for running the business and the cellar door.   They hold a meeting, and all decide to spend some money refurbishing the cellar door with new tables, chairs and lighting.    When they started the winery, they dealt with Niall who gave them a great deal on the original furniture at his business Best Restaurant Buys (BRB) and since then purchased additional lighting from him.
Both Harry and Zayn visit the shop, having all agreed on a maximum dollar amount to be spent on the refurbishments. They choose a particular set of tables and chairs and order the required number. Following this purchase, Harry leaves town for his annual, month long holiday.
Meanwhile when Zayn calls into Best Restaurant Buys the following day, he notices some chairs were upholstered in leather instead of the vinyl which he and Harry had chosen. Even though they cost more than five times the chosen chairs, taking the cost well over the agreed amount, Zayn changes the order and purchases these for the cellar door, as he thinks they would give the cellar a much more ‘up-market’ look. He does not inform Liam and thinks he should not bother Harry on his holiday.
When Harry returns and he and Liam see the amount owing for the new furniture, they are furious with Zayn and claim that Zayn had no authority to change the order and will have to pay the extra amount himself. Liam adds that as he had nothing to do with the choice of chairs, he is not liable. With business being a bit slow, and with the other refurbishment costs, the partnership funds are too low to pay the extra amount.
Zayn argues the furniture is for the partnership and, in any case, he now has no money. Zayn and his wife Gigi were in the process of separating and Zayn reveals that Gigi has taken all their money from their bank accounts. Best Restaurant Buys has threatened to sue all three if payment is not made immediately.
Using the Partnership Act 1891 (SA) and relevant cases, discuss the legal issues relevant to the partnership explaining who is liable for the debt.

Chapter 15

Spending, Income, and GDP

1. The most commonly used measure of an economy's output is:

A. the rate of employment.

B. the rate of inflation.

C. gross domestic product.

D. the Dow Jones stock market index

2. Gross domestic product (GDP) equals the ______ of final _______ produced within a country during a given period of time.

A. market value; goods

B. market value; services

C. market value; goods and services

D. quantity; goods and services

3. When economists use market values to aggregate output, they sum the:

A. number of items produced.

B. quantity of items produced.

C. price times the quantity of each item produced.

D. amount of each item produced.

    4. If total output is calculated by adding up the market value of goods and services produced, then more expensive items:

A. receive the same weighting as cheaper items.

B. receive a higher weighting than cheaper items.

C. receive a smaller weighting than cheaper items.

D. are double counted.

5. If an economy produces 3 million oranges that sell for $0.25 each and 100,000 cars that sell for $25,000 each, then when the market value of total output is calculated:

A. oranges receive a greater weighting than cars.

B. oranges receive the same weighting as cars.

C. oranges receive a smaller weighting than cars.

D. the market value of oranges is excluded.

6.  The value of unpaid work by a homemaker ___ included in GDP and value of housekeeping services sold in the market ___ included in GDP.

A. is; is not

B. is; is

C. is not; is not

D. is not; is

7. The value of intermediate goods are excluded from the measurement of GDP in order to:

A. adjust for inflation.

B. avoid double counting.

C. index economic activity.

D. measure GDP in constant prices.

8. Capital goods are treated as _______ goods and, therefore, _______ GDP.

A. final; included in

B. final; excluded from

C. intermediate; included in

D. intermediate; excluded from

9. Which of the following transactions would be included in the GDP of the United States?

A. Coca Cola produces soft drinks in England.

B. Honda produces cars in Ohio.

C. McDonalds sells hamburgers in Russia.

D. Ford Motors produces cars in Mexico

   10.  In the year 2006, Pete Rich purchases a painting done by Rembrandt in 1642 for $20 million. He also pays a one percent commission to the auction house that sold the painting. What is the contribution of this transaction to GDP in the year 2006?

A. $0

B. $200,000

C. $2 million

D. $20.2 million

   11.  The four categories of final users of GDP are:

A. businesses, firms, governments, and the foreign sector.

B. households, the Federal Reserve, governments, and the foreign sector.

C. businesses, corporations, firms, and farms.

D. households, firms, governments, and the foreign sector.

12. Total spending on final goods and services in an economy must equal total:

A. profits.

B. production.

C. revenues from all transactions.

D. investment.

13. Consumption spending includes spending on:

A. durables, nondurables, and services.

B. stocks, bonds, and other financial instruments.

C. capital goods, residential housing, and changes in inventories.

D. goods and services by federal, state, and local governments.

    14.  Spending on new capital goods, new homes, and the addition of unsold goods to company inventories is included in:

A. consumption expenditures.

B. investment.

C. government purchases.

D. service spending.

15. Government purchases include all of the following EXCEPT:

A. social security benefits paid by the federal government.

B. the construction of a new court house built by a county government.

C. the salary paid to an elementary school teacher employed by a local public school district.

D. the purchase of new military hardware by the U.S. Army.

Suppose I'm going to do a study to see if I can use the high school GPA of college students to predict their college GPA.

Please let me know What are the cases?

What would be an appropriate label?

Give four examples of variables I could use and state whether they are categorical or quantitative variables and also state possible values each variable can take:

Suppose that the market for wooden number 2 lead pencils is in equilibrium. Determine how the
     following shocks will affect the equilibrium price and quantity. Draw a graph to illustrate each answer.

1. Professors require ink on all exams.
2. The price of lead increases.
3. School attendance falls.
4. Environmental legislation restricts lumber harvests.
5. Pencil makers receive a large wage increase.
6. The price of ballpoint pens falls.

Consider all the activities involved with getting ready for work (or school) every morning, from the moment you wake up to the moment you walk out the door.   What activities might be modeled using discrete random variables? Describe the activity and how the results of the activity are described by the discrete distribution. Try to find at least one example for both the binomial and Poisson probability distributions.

You have been asked by your local elementary school principal to address a group of parents about the problem of obesity. Among the topics you have been asked to talk about are good nutrition, exercise, and lifestyle changes. Since all your parents are adult, list five principles of adult learning and describe how you would incorporate them into your teaching plan?

1. Last year, 30% of high school students in a particular county were able to find a summer job. A county official wants to estimate this quantity again this year. She wants to be 95% confident that the margin of error is no larger than 2%. Find the smallest sample size that would allow the official to achieve her goals.

   	a.	21
   	b.	2017
   	c.	10
   	d.	474