5.If the price elasticity of demand is 2.5, then a 40 percent decrease in the price of the good will lead to a _______ percent increase in the quantity demanded

A. 100.00 B. 22.5 C. 66.7 D. 150.00

6.Government intervention to reduce the level of pollution is prompted by the existence of

A. An inequitable distribution of income B. A monopoly C. Government failure D. Externalities

7.GDP is an incomplete measure of social welfare because

A. GDP includes the services of prison guards, so an increase in GDP could mean an increase in crime B. GDP does not include the value of volunteer activities, which may improve social welfare C. All of the above D. An increase in output may increase pollution and traffic congestion

8.In a competitive labor market, at wages above equilibrium, the

A. Labor-supply curve will shift to the left B. Quantity supplied of labor is greater than the quantity demanded C. Quantity demanded of labor is greater than the quantity supplied D. MRP of labor curve shifts to the right

9.A stock person who is laid off by a department store because retail sales across the country have decreased is _______ unemployed

A. Structurally B. Chronically C. Frictionally D. Cyclically

Suppose the government sets an effective price floor (that is, a price above equilibrium) in the market for oranges and agrees to buy all oranges that go unsold at that price. The oranges purchased by the government are discarded. Illustrate the number of oranges purchased by the government. Illustrate the gains and losses to all relevant groups of Americans and the deadweight loss.

Discussion, at least 150 words.

How Fair is “Check Into Cash?” In 1993, the first Check Into Cash location opened in Cleveland, Tennessee. Today there are 1,250 Check Into Cash centers among an estimated 22,000 payday advance lenders in the United States. There is no doubt about the demand for such organizations, but the debate continues on the “fairness” of payday-advance loans. A payday loan is a small, unsecured, short-term loan ranging from $100 to $1,000 (depending upon the state) offered by a payday lender such as Check Into Cash. A payday loan can solve temporary cash-flow problems without bouncing a check or incurring late-payment penalties. To receive a payday advance, borrowers simply write a personal post-dated check for the amount that they wish to borrow, plus the payday loan fee. Check Into Cash holds their checks until payday when the loans are either paid off in person or the check is presented to the borrowers’ banks for payment. Although payday-advance borrowers usually pay a flat fee in lieu of interest, it is the size of the fee in relation to the amount borrowed that is particularly aggravating to opponents of the pay-day advance industry. A typical fee is %15 for every $100 borrowed. Payday advance companies that belong to the Community Financial Services Association of America (CFSA), an organization dedicated to promoting responsible regulation of the industry, limit their member companies to a maximum of four rollovers of the original amount borrowed. Thus, a borrower who rolled over an initial $100 loan for the maximum of four times would accumulate a total of $75 in fees all within a 10-week period. On an annualized basis, the fees would amount to a whopping 391%. The 391% is an annual nominal rate {15% x (365/14 weeks). An annual rate of 391% is a huge cost in relation to interest charged on home equity loans, personal loans, and even credit cards. However, advocates of the payday-advance industry make the following arguments: Mot payday loan recipients do so either because funds are unavailable through conventional loans or because the payday loan averts a penalty or bank fee which is, in itself, onerous. According to Check Into Cash, the cost for $100 of overdraft protection is $26.90, a credit card late fee on $100 is $37, and the late/disconnect fee on a $100 utility bill is $46.16. Bankrate.com reports that non-sufficient funds (NSF) fees average $26.90 per occurrence. A payday advance could be useful, for example, if you have six outstanding checks at the time you are notified that the first check has been returned for insufficient funds and you have been charged an NSF fee of $26. A payday advance could potentially avert subsequent charges of $26 per check for each of the remaining five checks and allow you time to rearrange your finances. When used judiciously, a payday advance can be a viable option to meet a short-term cash flow problem despite its high cost. Used unwisely, or by someone who continuously relies on a payday loan to try to make ends meet, payday advances can seriously harm one’s personal finances. What is your opinion?

SPD Ltd has two divisions, Tomato Division and Canning Division. Tomato Division has an annual capacity of 10 000 units of Tomato paste concentrate. Canning Division's annual requirement of Tomato paste concentrate is 8000 units. SPD Ltd requires that divisions should purchase inputs internally where available and uses a cost-plus transfer price policy, where transfer price is set at variable cost plus 25 per cent. Therefore, Tomato Division always satisfies the demand of the Canning Division first, before selling the remaining Tomato paste concentrate to external suppliers at the market price of $10 per unit. The variable cost of one unit of Tomato paste concentrate at Tomato Division is $6.
What is the difference in Tomato Division's profit under the cost-plus transfer price policy and a market-price transfer price policy?

1. Create a class named Blanket with fields for a blanket’s size, color, material, and price. Include a constructor that sets default values for the fields as Twin, white, cotton, and $30.00. Include a set method for each of the first three fields. The method that sets size adds $10 to the base price for a double blanket, $25 for a queen blanket, and $40 for a king. The method that sets the material adds $20 to the price for wool and $45 to the price for cashmere.

In other words, the price for a king-sized cashmere blanket is $115. Whenever the size or material is invalid, reset the blanket to the default values. Include a toString() method that returns a description of the blanket.

2. Create a child class named ElectricBlanket that extends Blanket and includes two additional fields: one for the number of heat settings and one for whether the electric blanket has an automatic shutoff feature. Default values are one heat setting and no automatic shutoff. Include get and set methods for the fields.

Do not allow the number of settings to be fewer than one or more than five; if it is, use the default setting of 1. Add a $5.75 premium to the price if the blanket has the automatic shutoff feature. Also include a toString() method that calls the parent class toString() method and combines the returned value with data about the new fields to return a complete description of features.

the dividends are paid at the beginning of every quarter, and the quarterly grow rates are estimated to be 30%, 25%, 20%, 15% per quarter for the first quarters respectively, and stay constant as 5% thereafter. The effective quarterly interest rate is 10% per quarter. you are on dec 31st today and the next dividends shareholders are just about to receive is $1. what is the expected stock price at the end of 15 years in the future?

A 10-year, 12 % semiannual coupon bond with a par value of $1,000 may be called in 5 years, at a call price of $1,060. The bond sells for $1,300. (Assume the bond has just been issued).

a. What is the bond’s yields to maturity?

b. What is the bond’s current yield?

c. What is the bond’s capital gain or loss yield in the first year?

d. What is the bond’s yield to call?

   You are buying a car for $30,000 and have three options—all of which will take 60 months to pay. The first option gives a $3000 discount on the car, but charges 5.9% financing. The second option pays for the car at the full price, but charges 1.9% financing. The third option is also discounted $3000 but at 5.5% financing and has a $5000 balloon payment. Which option will cost the least amount of money?

On January 1, 2020, Archer Company issued ten-year bonds with a face value of $10,000,000 and a stated interest rate of 4%, payable semiannually on June 30 and December 31. The bonds were sold to yield 3%.

Instructions

1-Calculate the issue price of the bonds.

2-Record the bond issuance

3-Record the first interest payment and use the straight line method to amortize the discount or premium.