Economics of Enterprise Answers

Latesha​, a single​ taxpayer, had the following income and deductions for the tax year 2021.

Compute Latesha's taxable income and federal tax liability for 2021 ​(round to dollars and ignore the qualified business income deduction and​ self-employment taxes for this​ problem).

Salary $100,000

Business income $25,000

Interest income from taxable bonds $10,000

Interest income from tax-exempt bonds $5,000

Total income from whatever source derived $140,000

Minus: Exclusions, as provided in the tax law

 Interest income from tax-exempt bonds -($5,000)

Gross income $135,000

Minus: Deductions for Adjusted gross income

 Business expenses $?

Adjusted gross income (AGI) $?

Minus: Deductions from AGI:

 Account name? $?

Account name? $?

Taxable income $?

Tax $?

The demand for Habesha beer in Addis Ababa is hypothesized to be determined by price of beer (PRICE), Price of all other goods (OTHERSPR), Income (INC) and per capita advertising (ADVERT). And the OLS estimation result is given by

DD= -5463+0.3643 PRICE-0.15439 OTHERPR+0.8892 INC+0.0831 ADVERT

(11.2225)(1.7141)(1.0895)(6.7752)(2.6327)

R^2=0.950

DW statistics=1.716

a. Interpret the estimation result

b. What is the meaning of the R2?

c. What will happen to the demand of Habesha beer if the average income of the community is increased by 1000 birr?

Discuss the significance of international organizations in promoting social and economic growth

Jennifer is planning how to spend a particularly rainy Sunday, and the choice is between watching video movies (each lasting two hours) or studying her economics textbook. She has 10 hours available to her. If she decides to study, she could read the following number of pages at the rate as shown in the table below.

The total cost in thousands of shillings of producing q units of a given product is given by the function 1000+ 2q^2-12q^2.a) total fixed cost

b).The output level that will minimize the marginal cost.

c).The marginal cost when the level of output is 5000 units

you went to tae shop and found that the tae price is increased from rs.5 to rs.10. Therefore I, the demand for coffee increased from 20 cups to 50 cups. what will be the cross elasticity of demand

A man wishes to have an amount of P2,769.84 after 5 years. He deposited P500 each year into a savings bank that pay “r” percent per annum compounded continuously. Compute the value of “r”.

A man wishes to have an amount of P2,769.84 after 5 years. He deposited P500 each year into a savings bank that pay “r” percent per annum compounded continuously. Compute the value of “r”. 

An old boiler cost 2,400 a year to maintain. What expenditures for a new boiler is justified if no maintenance will be required for the first 3 years, 600 per year for the next 7 years, and 2,400 a year thereafter? Assume moounded annually and no other cost to be considered.

Mr. Ayala borrows 100,000 at 10% effective annual interest. He must pay back the loan over 30 years with uniform monthly payments due on the 1st day of each month. What does Ayala pay each month?