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Natali [406]
2 years ago
12

A professional gambler moves from a state where gambling is illegal to a state where gam-bling is legal. Most of his income was,

and continues to be, from gambling. His move a. raises GDP. b. decreases GDP. c. doesn't change GDP because gambling is never included in GDP. S D D after tax 10 20 30 40 50 60 70 80 quantity 1 2 3 4 5 6 7 8 9 10 price d. doesn't change GDP because in either case his income is included.
Business
1 answer:
Murrr4er [49]2 years ago
4 0

Answer:

The answer is: A) raises GDP.

Explanation:

If a gambler is a professional gambler (pays income tax on his gambling earnings) then when he moves from a state that prohibits gambling to a state that allows gambling, his earnings will increase the GDP.

The GDP only considers legal income, so illegal activities such as prostitution, drug trafficking, or illegal gambling are not included in the GDP. But if they become legal (e.g. some states legalized marijuana) then they should be included in the GDP.

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Suppose a year ago the exchange rate between Mexican pesos and dollars was 13.5 pesos per dollar, and that according to relative
Greeley [361]

Answer:

Correct option is E.

<u>14 pesos per dollar</u>

Explanation:

The exchange rate between Mexican pesos and dollars was 13.5 pesos per dollar.

According to the relative Purchasing Power Parity (PPP), the exchange rate was in equilibrium. But now,

Mexican inflation = 10%

U.S inflation = 3%

Now the Mexican peso is overvalued by = 10% - 3% = 7%

So, the possible increase in exchange rate (of pesos per dollar) considered with this assertion is = Exchange rate of pesos per dollar * Inflation rate

= 13.5 * 7%

= 13.5 * 7/100

= 0.945

The possible in exchange rate = Previous Exchange rate + Increase in exchange rate

= 13.5 + 0.945

= 14.445

= 14.4 (rounding off)

=14

7 0
2 years ago
Suppose Zenon Co. issued a long-term bond and received $250,000 cash from the issuance during 2015. The company also issued 12,0
Vesna [10]

Answer:

Option (c) is correct.

Explanation:

The net impact in Cash flow statement (Cash flow financial activities  will be:

= Amount received from issuing bonds + Amount received from issuing common stock + Paid for dividend

= $250,000 + $260,000 + $165,000

= $345,000

Note:

Long-term bond & issue of common stock are Cash inflow from financial operations.

Dividend paid is regarded as Cash outflow from financial operations.

5 0
2 years ago
Pharoah Company purchased $2600000 of 8%, 5-year bonds from Sheridan, Inc. on January 1, 2021, with interest payable on July 1 a
kobusy [5.1K]

Answer:

$75,260

Explanation:

Calculation for What should Pharoah Company report as other comprehensive income and as a separate component of stockholders' equity

Using this formula

Comprehensive income/separate component of stockholders' equity=Fair value-(Sales of bonds-July 1, 2021 Amortized premiums-December 31, 2021 Amortized premiums)

Let plug in the formula

Comprehensive income/separate component of stockholders' equity=$2,780,000 - ($2,724,740 - $9,820 - $10,180)

Comprehensive income/separate component of stockholders' equity=$2,780,000-$2,704,740

Comprehensive income/separate component of stockholders' equity= $75,260

Therefore What should Pharoah Company report as other comprehensive income and as a separate component of stockholders' equity is $75,260

8 0
1 year ago
When asked about those people who say his Sriracha sauce is too spicy, David Tran jokingly suggests the "use less" of the produc
just olya [345]

Answer:

An Undifferentiated Approach.

Explanation:

While dealing specifically with the marketing mix (product, price, place, promotion), an undifferentiated approach particularly refers to the situation when an organization provides its customers and market with the same product and offers even without considering the different needs and wants of different customer segments. Organization do not do segmentation and targeting, they believe that one single undifferentiated offer will fulfill the needs of their customers quite effectively.

4 0
2 years ago
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The demand for flip phones has drastically reduced, and there are only a few consumer electronics companies selling them at extr
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Answer:

<u>Laggards are in the late 16 % of the cycle of adoption of the technology.</u>

Explanation:

  • As technology adoption is a sociological model that is based on the acceptance of the newer product or innovation that defines the demographic characteristics.
  • Innovators, early adopters, early majority and late majority and laggards are all the demographic and psychological group of people that adopt the model based on the consideration as the flip phone are rarely available and they tend to have lower demands in the market hence only fewer companies keep those models.
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8 0
2 years ago
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