In continuous exchanges that set prices in accordance with the discriminatory selling rule, price is not utilized to balance supply and demand.
What Role Does Trade Play?There are many reasons why trade is important, but some of the more frequently mentioned ones are price reduction, maintaining or gaining competitiveness, building relationships, promoting growth, lowering inflation, promoting investment, and supporting higher-paying jobs.
What Benefits and Drawbacks Does Trade Have?Trade has various benefits, including raising living standards and promoting economic expansion. However, trading can be manipulated politically by using tariffs and embargoes to control trading partners. Language hurdles, cultural differences, and limitations on what can imported or exported are further problems.
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commercial policy insured's have similar loss exposures to personal policy insured's. all of the following are property loss exposures shared by both types of insured's, except:
A government's commercial policy is its approach to managing foreign trade. The phrase "commercial policy" is used to refer to a broad range of subjects that have to do with global trade. Often, trade policy is described as a scale between two extremes.
What do you mean by Commercial policy?
Property, liabilities, people, and net income loss exposures are the four categories of loss exposures that organizations must manage successfully. Insurance professionals can more accurately identify and analyze these loss risks by having a solid understanding of their definitions.The terms are loss exposure, loss, and claim. Loss Exposure is the term used to describe someone or anything that could be hurt, destroyed, vanished, killed, become crippled, or fall ill as a result of an accidental action on the part of another person. Most loss risks can be covered through insurance.To know more about Policy here
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a single-payment cash flow is received multiple choice question. one time in the future. multiple times in the future, but only one time a year. multiple times in the future.
A single-payment cash flow is received one time in the future. A single payment (received or made) made today or at a later date.
What is lump sum cash flow?A term commonly used in present value calculations to distinguish between a lump sum cash payment and an annuity (or series of equal payments).
What is the present value of a one-time payment?The present value of an individual amount is defined as the present value of a single payment or series of payments to be received at a future date, subject to certain timing adjustments based on assumptions about interest rates and inflation.
What is the future value of a single cash flow?The future value of an individual cash flow is its value after accumulating interest over a period of time. The future value of a series of cash flows is the sum of the future values of the individual cash flows.
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The Drogon Co. just issued a dividend of $3.05 per share on its common stock. The company is expected to maintain a constant 6.3 percent growth rate in its dividends indefinitely If the stock sells for $61 a share, what is the company's cost of equity? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Cost of equity 11.62%
The Drogon Co. just issued a dividend of $3.05 per share on its common stock. If the stock sells for $61 a share. Required rate or cost of equity is 11.62 %
Expected Div after 1 year = Just Paid Div (1 + growth rate)
= $ 3.05 * (1 + 0.063) = $ 3.24
Expected Div after 1 year is $ 3.24
Required Ret = [ Expected Div after 1 year/ Price Today] + Growth Rate
= [ 3.24 / 61] + 0.063 = 0.1162
What is cost of equity?
The return needed by either a business or an individual to justify an investment in equity is known as the cost of equity. Either the CAPM or the dividend capitalization model is used to calculate the cost of equity.
How is the cost of equity determined?
Divide the annual dividends per share by the current stock price to obtain an estimate of the cost of equity, and then include the dividend growth rate. The capital asset pricing model, in contrast, takes into account the investment's beta as well as the predicted market and real rates of return.
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since contingent workers are already specialists in a particular task, the hiring firm does not customarily incur which of the following?
Because contingent workers are already specialists in a particular task, the hiring firm doesn't customarily incur training costs.
Contingent workers are the ones who work for organizations without being hired as employees. Contingent workers may temporarily provide their services under a contract or on an as-needed basis. Contingent workers are often hired to complete a specific project, rather than accepting an ongoing and open-ended workload as a permanent employee does.
Independent contractors, freelancers, consultants are all examples of contingent workers.
Training is usually minimal for contingent workers since they are already experts or experienced in their own fields.
The question's multiple choices are probably these:
a) relocation expensesb) start-up costsc) training costsd) travel expensesIn that case, option c is the correct option.
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In the long run, government subsidies that promote the development of technology with widespread business applications will have which of the following effects?A. A negative supply shock and lower price levelB. A negative supply shock and lower economic growth rateC. A positive supply shock and lower price levelD. A positive supply shock and lower economic growth rateE. A lower aggregate demand and lower price level
In the long run, government subsidies that promote the development of technology with widespread business applications will have a positive supply shock and lower price level.
What are supply and demand shocks?A demand shock happens when demand changes unexpectedly and suppliers are unable to adapt soon enough. A supply shock, on the other hand, occurs when supply changes unexpectedly (often a sudden reduction, although supply shocks also exist when there is a glut). A beneficial supply shock is a sudden surge in supply that causes the short-run aggregate supply curve (SRAS) to move to the right, resulting in lower prices and higher real GDP. Lower costs derive from favorable supply shocks. Price reductions. Monetary inflation is one positive supply shock that might have a negative impact on output.
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If an increase in the demand for reserves causes a deviation in the federal funds rate from a target rate, the Fed can maintain the target by. A.causing the supply curve of reserves to shift to the left B.causing a downward movement along the supply curve of reserves C.causing the supply curve of reserves to shift to the right D.causing an upward movement along the supply curve of reserves
The Federal Reserve can maintain the target rate by increasing the supply of reserves to meet the increased demand. To do this, the Federal Reserve would need to shift the supply curve of reserves to the right.
Maintaining the Federal Funds Rate Target with Increased Supply of ReservesThe Federal Reserve can maintain the target rate by increasing the supply of reserves to bring the actual rate back in line with the target rate. Increasing the supply of reserves will cause the supply curve of reserves to shift to the right, which will increase the quantity of reserves available and lower the federal funds rate back to the target rate.
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indirect expenses are costs incurred for the joint benefit of more than one department; they cannot be readily traced to only one department.
True. Indirect expenses are costs incurred for the joint benefit of more than one department and are not associated with producing a specific product or service.
Benefits of Sharing Indirect Expenses Across DepartmentsIndirect expenses are costs incurred for the joint benefit of more than one department and are not associated with producing a specific product or service. Examples of indirect expenses include utilities, office supplies, rent, and insurance. These costs cannot be easily traced to a single department and are instead shared by the entire organization.
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which of the following would be allowed during the cooling off period allocating shares to investors
The following might be allowed for the duration of the cooling off duration allocating stocks to investors: B- Taking warning signs of interest.
The required details for Shares in given paragraph
A percentage is a unit of fairness possession in the capital inventory of a corporation, and might confer with devices of mutual funds, restrained partnerships, and actual property funding trusts. Share capital refers to all the stocks of an enterprise. The proprietor of stocks in a employer is a shareholder (or stockholder) of the corporation. A percentage is an indivisible unit of capital, expressing the possession dating among the employer and the shareholder. The denominated cost of a percentage is its face cost, and the overall of the face cost of issued stocks constitute the capital of a employer, which might not replicate the marketplace cost of these stocks.
The profits obtained from the possession of stocks is a dividend. There are one-of-a-kind forms of stocks which include fairness stocks, choice stocks, deferred stocks, redeemable stocks, bonus stocks, proper stocks, and worker inventory choice plan stocks.
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Complete question
Which of the following would be allowed during the cooling off period?
A) Taking orders
B) Taking indications of interest
C) Allocating shares to investors
D) Distributing a prospectus
which of the following taxpayers may qualify for the premium tax credit? each purchased health care coverage through the healthcare marketplace, and each received form 1095-a, health insurance marketplace statement. none received unemployment income. alanis. she files single and her tax liability is zero. caleb. he and his spouse file married filing separately, but live in the same house. jordan. he files head of household and was eligible for employer-sponsored coverage, but he chose not to enroll in the plan because it would have cost him 5% of his household income. sydney. she files single and will be claimed as a dependent on her grandmother's return.
The Premium Tax Credit is only available to those who purchase insurance through the Marketplace. You should receive a Form 1095-A, often known as the "Health Insurance Marketplace Statement," if you purchased your policy there.
A copy of the form is also given to the IRS. If you or a member of your family is enrolled in health insurance through the Marketplace, you may be eligible for a premium tax credit. Each will utilize the solitary filing status. Each person bought health insurance.
For years other than 2021 and 2022, your household income must not exceed 400 percent of the federal poverty level for your family size in order to qualify for the premium tax credit, though there are two exceptions for people with disabilities.
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an emergent strategy is one: question 14 options: that relates to emergent markets such as china that occurs when a firm sees an unexpected opportunity and takes advantage of it
An emergent strategy is one: that occurs when a firm sees an unexpected opportunity and takes advantage of it.
What is a Emergent Strategy?
An emergent strategy is one that results from spontaneous internal organizational actions and efforts.The organization is given a feeling of purposeful direction by deliberate strategies. Emergent strategy suggests that a company is still figuring out what works in the real world. Combining emergent and deliberate tactics in some way will aid in course control and promote learning inside the organization.The economy is the most obvious example of an emergent system developed by people; it manifests characteristics that no one person could control. We frequently consider markets to be little more than the location where buyers and sellers conduct business.To know more about Strategies here
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with blank selling, the salesperson is an expert on problem recognition and resolution, and novel solutions often arise, thereby creating unique value for the customer.
In partnership selling, the salesman is an authority on identifying and solving problems, and new solutions frequently surface, producing special value for the client.
What does a salespeople do?Simply said, a sales representative promotes a company's brand while selling their goods or services. From the sales lead outreach until the actual purchase, they manage client connections and function as the primary point of contact.
What makes a good salesperson?A competent salesperson has much more to give customers than just an engaging pitch; they are upbeat, resilient individuals who spend the time to learn about their clients' requirements, demonstrate empathy, then trade in a product with assurance.
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Choose the term that best matches the description given.
to sell the assets of a business, pay the bills and divide the remainder among stakeholders
collateral
O reorganization
O default
O liquidation
The term that refers to sell the assets of a business, pay the bills and divide the remainder among stakeholders liquidation. The option D is correct.
What is liquidation of company?In order to raise money, a corporation will typically liquidate its inventory by selling it off at a steep price. A liquidation sale typically precedes a business closing. The company is shut down once all the assets have been sold.
Due to order of court of voluntarily as per the prevailing corporate law, a company may went into liquidation because the fundamental accounting assumption going-concern may be questionable.
Further a company not able to generate future economic benefits from its operations then shareholder with the help of directors demand for liquidation.
Thus assets are sold , the realized amount of sale distributed to the stakeholders.
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Which of the following techniques listed below are not appropriate to use during a passive reconnaissance exercise against a specific target company?A.BGP looking glass usageB.WHOIS lookupsC.Registrar checksD.Banner grabbing
The following banner grabbing methods should not be used in a passive spying operation against a particular target company.
What does the term "company" mean?A collective of individuals can form a legal entity called a corporation to run and manage a commercial or industrial business. A firm may be formed up in a number of ways for tax and potential obligation reasons depending on the corporate law of its jurisdiction.
When was a company established?The following measures are all required during the registration phase and include: Association Articles: A Understanding Memorandum must be signed by the company's founders (MoA). A public company must employ a minimum of ten employees, whereas a private company just needs two.
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which of these hud programs allows mortgage lenders to obtain a better price for their mortgage loans in the secondary mortgage market?
These HUD programs allows mortgage lenders to obtain a better price for their mortgage loans in the secondary mortgage market by mortgage insurance for house loans is provided by the FHA (Community Development Block Grant).
What is a mortgage?
A mortgage is a contract between you and a lender that grants the lender the right to seize your property in the event that you are unable to repay the loan amount plus interest.
The value of an existing property may be used as collateral for a mortgage loan to help you purchase a new home.
Seven criteria to check for when getting a mortgage
The loan's size is one.The interest rate and any points attached to it.The expenses paid to the lender as part of the loan's closing costsThe Annual Percentage Rate (4.0%) (APR)The interest rate type and its flexibility (is it set or adjustable?)The loan duration, or the amount of time you have to pay back the loanWhether the loan includes any additional dangerous provisions, including a pre-payment penalty, a balloon clause, an interest-only period, or negative amortisationTo learn more about mortgage from the given link
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which of these hud programs allows mortgage lenders to obtain a better price for their mortgage loans in the secondary mortgage market?
which of the following ratios indicates the percentage of each sales dollar that is available to cover fixed costs and to provide a profit
The ratios that indicates the percentage of each sales dollar that is available to cover fixed costs and to provide a profit is Margin of safety ratio. The correct answer is A.
First off, the term "Margin of Safety" refers to a ratio used in the business and accounting worlds to identify the point at which a company knows it must sell as a matter of obligation because at that time, the company can be certain that its fixed costs have been covered and every subsequent sale will result in a profit. Because of this, the ratio shows what portion of each dollar of sales can be used to pay for those expenses.
Your question is incomplete but most probably your full question was
Which of the following ratios indicates the percentage of each sales dollar that is available to cover fixed costs and to provide a profit?
A. Margin of safety ratio
B. Costs and expenses ratio
C. Profit ratio
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A firm is more likely to engage in horizontal foreign direct investment if
Answer:
a form is more likely to engaging horizontal foreign direct investment if ...
managers are involved in traditional performance management process, while are involved in continuous performance management.
Managers are involved in traditional performance management process, while managers, peers, and direct reports are involved in continuous performance management.
What is performance management?
Performance management (PM) is the process of ensuring that a collection of actions and outputs effectively and efficiently achieves the objectives of an organization. A department, a person, a full company, or the systems in place to handle certain tasks can all be the subject of performance management. Senior leadership at an organization and task owners typically organize and communicate performance management standards, which may include outlining the duties and results of a job, giving prompt feedback and coaching, contrasting actual performance and behavior with desired performance and behavior, implementing rewards, etc. The effectiveness of performance management depends on clearly defining each person's job within the company in terms of their duties and responsibilities.
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managers are involved in traditional performance management process, while are involved in continuous performance management.
clear sky credit corporation asks dimension games company to agree to a security agreement that provides for coverage of the proceeds from the sale of after-acquired property. this is
Conflicting Imperfect Security Interests: When there are unfinished security interests within the same collateral held by two or maybe more secured parties.
The definition of "company"The Old French word "compagnie," it first appeared in the Sumptuary code and meaning "one who eats wheat with you," is where the English word "company" originates. To describe a "society, friendship, closeness, or body of troops," it was first utilized in 1150.
What does a company's kind mean?types of businesses Any business created in accordance with the 2013 Companies Act is referred to as a "company." The term "company" is typically associated with a privately owned corporation, but it can also generically refer to a one-person firm, a limited company, or a section 8 company.
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True orfalse : in the case of installment notes, interest expense is calculated as a constant percentage of the carrying value.
True, in the case of installment notes, interest expense is calculated as a constant percentage of the carrying value.
What is interest expense?
An interest expenditure is the cost incurred by a company to borrow money. The income statement item of interest expenditure is a non-operating item. It denotes the interest owed on all outstanding borrowings, including bonds, loans, convertible debt, and credit lines. To put it simply, it is calculated by multiplying the interest rate by the outstanding principle balance of the debt.
The amount of interest expenditure on the income statement represents interest accumulated over the reporting period as opposed to the amount of interest paid during that time. For enterprises, interest expenses are tax deductible; however, depending on the jurisdiction and the loan's purpose, it may not be the same for individuals.
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The opportunity cost of holding money Suppose you've just inherited
$5,000
from a relative. You're trying to decide whether to put the
$5,000
in a non-interest-bearing account so that you can use it whenever you want (that is, hold it as money) or to use it to buy a U.S. Treasury bond. The opportunity cost of holding the inheritance as money depends on the interest rate on the bond. For each of the interest rates in the following table, compute the opportunity cost of holding the
$5,000
as money. What does the previous analysis suggest about the market for money? The quantity of money demanded decreases as the interest rate rises. The supply of money is independent of the interest rate. The quantity of money demanded increases as the interest rate rises.
The opportunity cost of keeping the inheritance as cash is influenced by the bond's interest rate. in each area of interest. Let's say you recently received $10,000 from a relative.
Whether or not to deposit the $10,000 in a non-interest bearing account is something you must determine. Opportunity costs are by definition invisible, making it simple to ignore them. Recognizing potential missing chances for businesses. The Guide should be used to create your payee system and the savings or checking account that a representative payee maintains.
Treasury note The opportunity cost of keeping the inheritance as cash is influenced by the bond's interest rate. Calculate the opportunity cost of retaining the $5,000 in cash for each interest rate in the accompanying table.
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saving for education expenses is an important financial goal for many families. taxpayers often seek tax-advantaged ways to fund education costs for their children, grandchildren, or other beneficiaries. all of the following are savings vehicles that enable investment earnings to grow tax-free when the funds are used to pay qualified education expenses except: coverdell education savings account. education savings bond program. qualified tuition program. target-date mutual fund held in a standard investment account.
Answer: Target Date mutual fund held in a standard investment account.
Explanation: Target Date Funds
A number of companies offer “target date retirement funds,” sometimes referred to as “target date funds” or “lifecycle funds.” Target date funds, which are often mutual funds, hold a mix of stocks, bonds, and other investments. Over time, the mix gradually shifts according to the fund’s investment strategy. Target date funds are designed to be long-term investments for individuals with particular retirement dates in mind. The name of the fund often refers to its target date. For example, you might see funds with names like “Portfolio 2030,” “Retirement Fund 2030,” or “Target 2030″ that are designed for individuals who intend to retire in or near the year 2030. Most target date funds are designed so that the fund’s mix of investments will automatically change in a way that is intended to become more conservative as you approach the target date. Typically, the funds shift over time from a mix with a lot of stock investments in the beginning to a mix weighted more toward bonds. Target date funds are often available through 401(k) plans. Some 401(k) plans use these funds as the default investment for plan participants who have not selected their investments under the plan. Both before and after investing in a target date fund, consider carefully whether the fund is right for you.
https://www.investor.gov/introduction-investing/investing-basics/investment-products/mutual-funds-and-exchange-traded-6
jose is starting a mexican restaurant. he plans to borrow money to buy a building to house the restaurant. which of the following will jose most likely use to finance the building?
According to the declaration, Jose would probably utilize a secured, long-term bank loan to pay for the structure.
What is finance?The method of generating cash or finances for any type of spending is known as finance. It's the act of directing different financial resources—such as credits, loans, and invested capital—to that sectors of the economy that most require them or can use those best effectively.
Is college finance challenging?A major in finance may be extremely challenging. It is significantly more difficult than other degrees in the liberal arts, including history and philosophy but it isn't as difficult as majors in "STEM" (science, technology, engineering, and math).
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number 4 thank you. nn jb
The unpaid balance after 1 year to the couple who borrow $ 90, 000 for 25 years, with monthly payments of $579.87 is $ 88, 140.24.
The amount of interest paid by the couple in the first year is $ 5, 356.21.
How to find the unpaid balance ?To find the unpaid balance, first convert the periods to months:
= Total months for loan - months in first year
= ( 6 x 12) - 12
= 288 months
The interest is :
= 6 % / 12
= 0.5%
The amount remaining after the first year is :
= (579.87 x ( 1 - ( 1 + 0.5%) ²⁸⁸ ) ) / 0.5%
= $ 88, 140.24
The interest to be paid for the year is therefore :
= ( 12 x 579. 87 ) - ( 90, 000 - 88, 140.24)
= $ 5, 356.21
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if two companies in the same industry use different methods to value inventory, this makes comparisons more difficult but not impossible
Comparing two businesses in the same industry that value their inventories differently makes it more challenging but not impossible. To enable investors to more correctly compare financial accounts, the FASB mandates a separate remark in the financial statements to highlight the effects of inflation.
Comparing two businesses in the same industry that value their inventories differently makes it more challenging but not impossible. Ratio analysis is a very useful technique that investors can use to compare the financial performance of various organizations.
Some businesses employ multiple assumptions, one for a specific inventory item and a different one for the rest. the gathering of data on comparability criteria and comparable uncontrolled transactions for use in a comparability analysis.
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What is the difference between a job analysis and a job description?
A. A job analysis is done by potential employees, while the job
description is done by the company.
OB. A job analysis is a permanent element of a position, while a job
description is always changing.
OC. A job analysis doesn't include details of the job, while the job
description is very detailed.
OD. A job analysis analyzes the job as a whole, while the job
description is prepared for potential employees.
Answer: A. A job analysis analyzes
The difference between a job analysis and a job description is A job analysis is done by potential employees, while the job description is done by the company.
Option A is correct.
A job description describes the duties, skills, and responsibilities of a position. A job description reflects the qualifications and experience required for the job. Job analysis is a thorough evaluation of what the job entails, and the details of the job are reflected in the specification.
What is Job Analysis and Job Description in HRM?Job analysis is the process of gathering and analyzing information about job content and personnel requirements, and the context in which the job is run. This process is used to determine job placement. Under NU values, decision-making in this area is shared between the unit and HR.
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Answer: D. A job analysis analyzes the job as a whole, while the job description is prepared for potential employees
I just took the test!
Which of the following would be considered a key position within a company?
A. Customer
OB. Stockholders
OC. Sales associate
OD. Chief executive officer (CEO)
Answer: D. Cheif executive officer
Chief executive officer (CEO) would be considered a key position within a company. The appropriate response is option D.
What is the role of a Chief executive officer?The chief executive officer (CEO) holds the highest position within an organization and is in charge of putting into action the organization's current plans and policies, enhancing its financial stability, assisting with the ongoing digital business transformation, and establishing its long-term strategy.
A CEO oversees and guides the business in achieving its main goals and objectives. oversees hiring choices made at the company's top level. oversees a group of executives in the consideration of key choices, including as large-scale expansion, joint ventures, mergers, and acquisitions.
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In our study of economic history we learned that price controls and market regulation were causing markets to stall. It led to a decision by government to deregulate markets. Review the selections below and choose the one which best describes market deregulation. Select the correct answer below: The removal of government controls over setting prices and quantities in certain industries. The legal, technological, or market forces that may discourage or prevent potential competitors from entering a market. A government rule that gives the inventor the exclusive legal right to make, use, or sell the invention for a limited time.The body of law including patents, trademarks, copyrights, and trade secret law that protect the right of inventors to produce and sell their inventions.
The one which best describes market deregulation--The legal, technological, or market forces that may discourage or prevent potential competitors from entering a market.
Option B is correct.
What is market deregulation?Deregulation is the reduction or elimination of government powers in a particular industry, usually enacted to promote competition within the industry. Over the years, the battle between proponents of regulation and proponents of government non-interference has changed the landscape of the market.
Who benefits from deregulation?It generally lowers the barriers to entry into the industry, helping to increase innovation, entrepreneurship, competition and efficiency. This translates into lower prices and better quality for customers. Manufacturers have less control over their competitors, which may facilitate market entry.
Why is deregulation good for the economy?Increased competition spurs increased efficiency, leading to lower costs and prices for consumers. In some markets, such as airlines and telecoms, deregulation has enabled more business and lower prices for consumers.
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in the behavioral approach to managerial control, a company's widely shared values and beliefs guide worker's behavior and decisons. true or false?
False, In the behavioral approach to managerial control, a company's widely shared values and beliefs guide worker's behavior and decisions.
What is the central concept of the behavioral approach?Because human behavior is learnt, it is possible to unlearn it and adopt other behaviors in its stead. Behaviorism is primarily concerned with observable and measurable aspects of human behavior. As a result, when some habits become inappropriate, they can be unlearned. Positive reinforcement is a common example of behaviorism. If a student scores 100% on their spelling test, they get a tiny treat. Students will work hard and study for their tests in the future in order to receive the reward. Behavioral Learning Theory is a school of thinking that holds that individuals learn by connecting a stimulus with either a reward or a punishment. This learning theory is useful in understanding how to inspire humans to learn (your staff).
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Characterize the following decision as either tactical or strategic:
"To operate make-to-stock or make-to-order" Also explain in 1 or 2 sentences why you choose Tactical or Strategic?
a. Tactical
b. Strategic
The best choice is B. Strategic decisions are those that have an impact for years, decades, or even beyond the project's lifespan.
What are an example of a strategic decision?Strategic choices are based on a firm's mission, goal, and/or objectives. An instance. A cat restaurant chain manager observes that his consumers prefer fresher, higher-quality food to cat food that is sold in cheap, big amounts.
What three strategic choices are there?Any organization employs these three layers to determine its strategy. The level at which strategies work in a firm is what distinguishes the three tiers of policy in an organization. Strategic planning process, corporate planning strategy, and functional level strategy are the three levels.
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a large country importing desk chairs with free
The gain that domestic producers will get , given the domestic demand , and the quota , is b . 3 . 15 million .
How to find the producer gains ?The gain that domestic producers will gain as a result of the quota can be found by the formula :
= ( Domestic demand before quota x Value of quota ) - ( 1 /2 x difference between quota and domestic supply x Domestic demand )
Domestic demand before quota = 3 million
Value of quota = 1. 1 million
Difference between quota and domestic supply:
= 1. 1 million - 1 million
= 0. 1 million
The gain to producers is therefore :
= ( 3 x 1 . 1 ) - ( 1 / 2 x 0. 1 x 3 )
= 3. 3 - 0 . 15
= $ 3. 15 million
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The full question is :
a large country importing desk chairs with free trade at a world price of $60. a quota of 1.6 million is implemented, which raises the domestic price with quota to $63. with the quota in place, this large country can now import desk chairs at a price of $58. domestic supply with the quota is 1.1 million and domestic demand with the quota is 2.7 million. before the quota was implemented, domestic supply was 1 million and domestic demand was 3 million. the quota on desk chairs will cause domestic producers to gain:
a. 1.83 million
b.3.15 million
c.4.25 million
d.3 million