In a perfectly competitive market, a profit-maximizing firm produces 2000 pounds of butter per week in the long run equilibrium. Answer each of the following questions with two diagrams, one for the butter market and another for the individual butter firm. If the market demand for butter increases …

a) How does it affect the butter market and the individual butter firm in the short run?

b) In the long run, how does the butter market adjust, and what will be the impacts on the individual butter firm?        

An individual buys 10 raffle tickets in hopes of winning one of 15 prizes to be given away by drawing tickets without replacement. The total number of raffle tickets sold is 168. Lt X be the number of prizes won by the individual.

A) Find the probability the individual wins at least one prize

B) Calculate the expected value E(X) accurate to 4 decimal places

C) Calculate the standard deviation SD(X) accurate to 4 decimal places

Jamie Bard is the owner Café Corner, a popular restaurant located at a busy traffic intersection in the city of Clutchmore.

For the financial year ended 30 June 2020:

• Café Corner earned a profit after income tax of $16,000. This was after taking into account sales of $821,000 and cost of sales of $623,000.

• Other operating expenses incurred to operate the business totalled $179,000. This figure included:
  1. depreciation expenses, and

2. interest expenses of $11,000 which were fully paid.

• There were some additional plant and equipment purchased for cash. However, there were no disposals of property, plant and equipment.

• The company paid $7,000 to the Tax Office in full settlement of its income tax obligations.

• The company received some interest income amounting to $4,000 when it placed some of its excess cash in an investment fund.

• The shareholders of Café Corner received dividends of $18,000 from the company.

The following are balances extracted from the Statements of Financial Position of Café Corner at the end of its most recent two financial years:

Jamie wants to understand the cash flow of Café Corner better and has asked for your assistance to help him prepare some information regarding the cash flows of the business.

Jamie Bard is the owner Café Corner, a popular restaurant located at a busy traffic intersection in the city of Clutchmore.

For the financial year ended 30 June 2020:
 Café Corner earned a profit after income tax of $16,000. This was after taking into account sales of $821,000 and cost of sales of $623,000.

 Other operating expenses incurred to operate the business totalled $179,000. This figure included:
(i) depreciation expenses, and
(ii) interest expenses of $11,000 which were fully paid.

 There were some additional plant and equipment purchased for cash. However, there were no disposals of property, plant and equipment.

 The company paid $7,000 to the Tax Office in full settlement of its income tax obligations.

 The company received some interest income amounting to $4,000 when it placed some of its excess cash in an investment fund.

 The shareholders of Café Corner received dividends of $18,000 from the company.

The following are balances extracted from the Statements of Financial Position of Café Corner at the end of its most recent two financial years:
30 June 2020 30 June 2019
$ $
Accounts payable 12,000 27,000
Accounts receivable 28,000 103,000
Accrued expenses 5,000 11,000
Accumulated depreciation 84,000 65,000
Cash 34,000 23,000
Inventory 72,000 46,000
Plant and equipment 293,000 228,000
Prepaid expenses 4,000 15,000
Share capital 180,000 160,000

Jamie wants to understand the cash flow of Café Corner better and has asked for your assistance to help him prepare some information regarding the cash flows of the business.

Required:

a) Calculate the cash receipts from customers, cash payments to suppliers and cash payments for other expenses. Show all workings. (7½ marks)

b) Using the direct method, prepare the Statement of Cash Flows for Café Corner for the financial year ended 30 June 2020. (6½ marks)

c) Prepare a reconciliation of Cash Flows from Operating Activities and Profit After Tax for Café Corner.

Rough and Rugged began operations on November 1, 2011. The transactions for November have already been recorded and posted to the T-Accounts Record the transactions in a journal using correct journal entry format. Post the journal entries to the ledger (T-Accounts).

Nov 1- Jamie contributed capital of $16,000 to begin the company.

Nov 2- signed a leased for a building and paid $1,200 for the first month's rent.

Nov 3- purchased canoes for $4,800 on account.

Nov 4-purchased office supplies on account, 750

nov 7- earned $1,400 cash for rental of canoes.

Nov 13- paid $1,500 cash for wages.

nov 15- jamie withdrew $50 cash from the business

Nov 16-received a bill for $150 for utilities (use separate payable account).

Nov 20-received a bill for $175 for cell phone expenses. (use separate payable account.)

Nov 22- rented canoes to early start daycare on account, $3,000.

Nov 26-paid $1,000 on account related to the november 3, 2018 purchase.

Nov 28- received $750 from early start daycare for canoe rental on november 22, 2018.

Nov 30- Jamie withdrew $100 cash from the business.

True/False for the following:

1) Venture capitalists rely on preferred stock in a company to skew investment returns in their favor relative to the owners of the common stock, gain a disproportionate level of control of key decisions relative to the common shareholders and ensure that their interests are aligned with the founders.

2) When a subsequent round of financing takes place at a lower price per share than previous round of financing; existing shareholders would suffer from the dilution of their ownership stake. If the existing shareholders required a clause in the terms of their financing that would obligate the company to offer them additional shares when subsequent shares are issued at a lower price than the paid is an example of an anti-dilution clause.

3) A Drag-Along clause in a term sheet will address the rights of shareholders who control a majority of shares relative to shareholders who control a minority of shares.

4) Use the “YIELD” function in Excel to find the yield to maturity of a bond with the following characteristics. The yield to maturity on this bond is over 7%

1. An amount of $3,000 is deposited into Fund X, which earns an annual effective rate of 8%. At the end of each year, the interest earned plus an additional $150 is withdrawn from the fund. At the end of the twentieth year, the fund is depleted. The annual withdrawals of interest and principal are deposited into Fund Y, which earns an annual effective rate of 10%.

   Determine the accumulated value of Fund Y at the end of year 20. Justify your answer

Mio was transferred from New York to Germany. He lived and worked in Germany for 347 days in 2019. Mio's salary for 2019 is $228,800. Assume a 365-day year. In your computation, round any division to four decimal places before converting to a percentage. For example, 0.473938 would be rounded to 0.4739. If required, round your final answer to the nearest dollar. What is Mio’s foreign earned income exclusion?

Mr. Gomez has spent 8 months saving $ 1000 at the beginning of each fortnight, the interest rate being equal to 10% capitalizable biweekly. The day he will make the seventeenth deposit, Mr. Gomez finds out that the interest rate goes up to from that moment on to 11.5% capitalizable every fortnight and decides to increase the biweekly savings to $ 1300 as of that moment. Calculate the amount and interest earned after two years

do Democrats and Republicans agree or disagree with what should count towards our GDP (i. e. Do they both agree with whether or not GDP should include activity in the "underground" economy, the increase in the value of leisure time (this is time not spent working in the legal labor market), social costs such as pollution (which is produced when goods and services are produced), and revenues earned from illegal activities such as prostitution and selling of illegal drugs)?