Economics Answers

Compose a poem about the economy or economic system containing a minimum of four (4)

stanzas. Each stanza shall compose of four or five lines.

Suppose you believe that Florio Company's stock price is going to decline from its current level of $82.50 sometime during the next 5 months. For $5.10 you could buy a 5-month put option giving you the right to sell 1 share at a price of $90 per share. If you bought this option for $5.10 and Florio's stock price actually dropped to $60, what would your pre-tax net profit be?

TOPIC: BANK RECONCILIATION

Directions: Research for the following questions and answer concisely using less than 5 sentences for each response.

1. Why are NFS Checks considered a debit memo?

2. Is a certified check considered to be an outstanding check?

if kaci finds $1000 under her bed and deposits in a bank what is immediate change in the required bank reserves?

Suppose that in 2015 a country has a population of 1 million and real GDP of $1 billion. In 2016, the population is 1.1 million and the real GDP is $1.1 billion. The real GDP per person growth rate is

The IMF projects that China’s real GDP per person will be 57,163 yuan in 2017 and 60,334 yuan in 2018 and that India’s real GDP per person will be 98,028 rupees in 2017 and 104,191 rupees in 2018. By maintaining their current growth rates, which country will be first to double its standard of living and when will that happen?

1.    Suppose the market demand curve for a good is Qd=1000-10p and the market supply curve is given by Qs=100+20p required.

i)            Calculate the equilibrium price.                             (4 Marks)

ii)          Calculate the equilibrium quantity.                        (2 Marks)

iii)        Illustrate the concept of market equilibrium.          (4 Marks)

If Veronica Vaughn spends all of her daily income on cigarettes and Yoo Hoo, she can afford 10 packs of cigarettes and 10 bottles of Yoo Hoo. She can also afford 6 packs of cigarettes and 22 bottles of Yoo Hoo.

Now suppose the price of cigarettes falls by $1 and the price of YooHoo roses by $1. If Veronica was consuming 5 packs of cigarettes and 30 bottles of Yoo Hoo prior to the price changes, how much must her income rise under the new prices in order for her to just afford the old bundle, (5,30)?

6.“Burgerina” is a country situated on the distant planet Jupiter. It produces only 2 types of burger and the  following information is presented to you:

In the year of 2016 the price & quantity of cheeseburgers -$4.00, 120

In the year of 2016 the price & quantity of Chickenburgers- $8.00, 10

In the year of 2017 the price & quantity of cheeseburgers- $5.00, 115

In the year of 2017 the price & quantity of Chickenburgers- $7.90, 7

In the year of 2018 the price & quantity of cheeseburgers- $8.00, 110

In the year of 2018 the price & quantity of Chickenburgers- $7.75, 2

a) Calculate nominal and real GDP (based on 2016) for Burgerina.

3. Based on the information presented in question 6, calculate the inflation rate for Burgerina for the years 2017 and 2018. Inflation should be calculated compared to previous years.

1.Based on the following statistic, form a price index (consider 2015 as the base year) for the country East Germany: Products

Computer Price & Quantity in 2015- $400,10 

Computer Price & Quantity in2016- $300,10

Mobile Price & Quantity in 2015- $2,14 

Mobile Price & Quantity in 2016- $10,14

Wheat Price & Quantity in 2015- $8,18 

Wheat Price & Quantity in2016- $9,18

a) After forming a price index, calculate and comment on inflation of East Germany.

2.Explain with a diagram how a decrease in human capital can lead to detrimental results for economic  growth (holding physical capital and technological progress constant)?