As the costs of consuming Petrol and Diesel are not fully taken into account by the consumer, the difference between the social costs and private costs results in a negative externality. Negative Externalities occur when an economics activity affects third parties; those not directly involved in the making of a decision. As producers are only interested in maximising profits; they only take into account private costs and benefits that arise from their decisions. Therefore they would supply a higher amount than optimum that would result in an overproduction at Q1. As the producer creating the externality does not take it into account and the consumer does not fully pay for the resulting externalities, market inefficiencies result in the form of market failure.
So, then this means that Dyer needs to be alert of the sales tax. The argument of Dyer definitely is not good enough for the discussions about the purchase of the sales person in regards to the disputed sales tax (Mallor, et al.,2007). This arrangement furthermore reveals no other agreements verbally or any whatsoever that is not acceptable other than the current paper contract that was endorsed by Dyer (Mallor,
If the IRR is less than the WACC, the project should be rejected, as it impoverishes the firm’s owners. If the IRR equals the WACC, it earns only normal profits (i.e., the owners’ opportunity costs) and accepting it is a matter of indifference. In this care the project’s IRR is 18.031 > 11.88%, therefore the IRR rule tells us the same as the NPV rule: this project will enrich the firm’s owners. We note in passing that in more advanced courses in finance you would learn about projects for which this rule cannot be used. Broadly speaking, they are projects whose cash flows changes sign more than once—e.g., from negative to positive to negative again.
Carter and George thought that it’s ok to achieve the results, no matter what means they’ve used. And Joe thought that it’s ok to cover up the whole thing. What’s worse, there’re opportunities for fraud since the internal control in this company is so weak in the sense that there’s no formal written procedures, no segregation of duties, no good accounting system, and no physical security protection for inventory. Employees are given access to records and valuables in the ordinary course of their jobs. Unfortunately, that access allows them to commit fraud.
Now there are some exceptions to the Buy American Act which include if the items are being used outside the United States; domestic items that are unreasonably priced; information technology that is a commercial item; when compliance to the Act would not be in the best interest of the government; and item purchased only for the commissary resale. Also, if the purchase is within the micro-purchase threshold of $3,000 then the Buy American Act does not apply. Explain whether or not you agree with the Buy American Requirements, and give the reasons for your
Through compromise Lisa may be able to earn the big contract. Lisa should look at the possible solutions to this problem. If they were to replace all their machinery with the new Sealgood items, she should see if they could get a discount or money off their bid as a compromise. By doing this it would build the relationship between the two as well as make both parties happy. Lisa should also try and negotiate as to which competitive products they must not do business with.
Do you think price ceilings and floors are more helpful or more harmful to consumers and the economy? Explain. (2-4 sentences. 1.0 points) A disadvantage of these is they lower the cost for any consumer and will encourage consumption, if they are not properly treated, they could have no purpose. Describe at least two negative outcomes of having too little money and credit in the economy.
The central flaw is that Singer uses a bad analogy of how the global economy actually is, it assumes that the child has somehow appeared there of his own devices and that a simple act will save him. Many of Singer’s key principals, such as the importance of impartiality and the irrelevance of distance are very strong and I find it hard to disagree with them. Whilst I do not agree that to adopt Singer’s solution will cause actual harm to me it is not convincing as the most effective way to solve the problems of poverty. To follow Singer’s principal will amount to everyone else jumping in the water and drowning to some small degree. I believe that while Singer develops his argument by claiming that while people in rich states can survive without luxuries; those in poorer ones where most are manufactured could not survive, as their economic base would fall apart.
The general rule is that, if an attempted transfer of property to trustees is imperfect, the trust is not completely constituted. Where consideration has been provided, the transfer may be treated as perfect in the eyes of equity even though in law it is not. Where there has been no consideration, however, no effective trust is created, since equity will not assist a volunteer. A failed gift cannot then be saved by treating it instead as a self-declaration of trust: if a settlor intends to use one method to confer a benefit on a person but fails to do so effectually, equity will not save the gift Milroy v Lord. Over the years, the courts have found a number of ways to avoid the harshness of the rule that equity will not perfect an imperfect
From the perspective of those affected, these effects may be negative or positive. Welfare economics has shown that the existence of externalities results in outcomes that are not socially optimal. Those who suffer from external costs do so involuntarily, while those who enjoy external benefits do so at no cost. In the language of economics, an externality is a cost or benefit that is not transmitted through prices, and is incurred by a party who did not have any decision in the action that is