1.    For each of the following pairs of goods, which good is expected to have the more price elastic demand?

[i]    Milk [all brands, grades] or President's Choice Cola [a generic brand of cola]

[ii]   Cell phone usage or matches

[iii] Restaurant meals or food [generally defined]

           [iv] Auto gas during the next 3 months or during the next 3 years

2.    In the United States in 1916, the Ford Motor Company sold 500,000 Model T fords at a price of $440. Henry Ford, the founder of the Ford Motor Company, believed he could increase sales of the Model T by 40,000 cars if he cut the price to $400.

[a] Use the provided information to calculate the anticipated price elasticity of demand [PED] for the Model T Ford.   

[b] Based on your calculation in [a], did Henry Ford believe demand for the Model T was elastic or inelastic?

[c]   Based on your calculation in [a], if Henry Ford wished to increase total revenue from Model T sales, should he have increased or decreased price?

3.     [a] A recent study found that the cross-price elasticity of demand for marijuana and beer is –

               0.63. In light of this result, are marijuana and beer complements or substitutes?

        [b] The income elasticities of demand for movies and clothing have been estimated to be +3.4

               and +0.5, respectively. What do the associated numerical values imply about the items?

4.    Which good do you expect would you expect to have a smaller price elasticity of supply in the short term – baby-sitting services or rental accommodation?

The Keynesian revolution argued that unemployment is primarily voluntary.
True
False

In planned socialism, the state would own the means of production.
True
False

Cooperatives remain a large share of employment wherever they have been tried.
True
False

The former systems of the Soviet Union and Eastern Europe were market socialist systems
True
False

Economic theory suggests four approaches to the control of monopoly, all of which require state intervention.
True
False

(5-7 good thought out sentences) simple.

Every week for a month, two minority males between the ages oof 14-17 have been murdered in stockton. Many think the problem is gang related. You’ve noticed youth in your family and former middle school are hanging out with known gang members and their behaviors are changing.

What are immediate, short and long term actions you can identify and implement towards solutions.

The recently passed Coronavirus Relief package increased unemployment benefits by granting $600 a week (up to 4 months) to an unemployed individual, plus the normal unemployment benefit they would be entitled to (max $360 in Michigan); extended the duration of unemployment benefits another 13 weeks; makes former workers eligible (you need not have been laid off due to the pandemic). All of it is federally funded. Was this a good idea? What affects might there be on the labor markets? On the economy?  

Discuss how fluctuations in the value of the U.S. dollar could pose problems for Canadians buying and investing in the U.S.

1. Reaction of U.S. business to supply chain disruptions, uncertainties and growing intensity of the

U.S. – China trade war

The Alpha Corp. issues 1,000,000 restricted stock units at a time (1/1/18) when the market price of a share is $10. The vesting period is 3 years.

a. Record 2018 entry

b. Record the 2019 entry assuming it is now known that 40,000 awards will not be granted as the employees have left the company.

c. Record the 2020 entry

d. Record the issuance of stock in 2021

Jurassic Company purchased equipment for $900,000 on June 1 2019. DDB method is used, based on a 5-year life and $1,000 salvage value. At the end of 2020, Jurassic found that the expected future net cash flows from the use of the assets are expected to be $410,000. The fair value of the equipment is $380,000. Is this equipment impaired? If the answer is yes, prepare the journal entry to record the impairment loss.

On January 1, 2018, General Bell Company issued $1,200,000 par value, 8%, five-year bonds while the effective rate is 12%. The bonds are dated January 1, 2018. The interests are payable semiannually each June 30 and December 31. On January 1, 2020, General Bell calls half the issue at 101 and cancels it. Write all necessary journal entries.