Author Question: Suppose there is only one movie theatre in a town and the equilibrium price and quantity for movie ... (Read 48 times)

llesku · **on:** Oct 12, 2022

Question 1

Possible implications of corporate income taxes being levied on accounting profits include
1) underinvestment in new machinery and equipment;
2) a lower rate of adoption of the latest technologies;
3) faster productivity growth.
◦ 1 only
◦ 2 only
◦ 3 only
◦ 1 and 2
◦ 1 and 3

Question 2

Suppose there is only one movie theatre in a town and the equilibrium price and quantity for movie admissions is $9 and 850 visits per week. Now suppose the town government imposes a tax such that the new equilibrium price and quantity are $10.50 and 780 visits per week. What is the direct burden of this tax?
◦ $1275
◦ $0
◦ $1170
◦ $105
◦ There is not enough information to know.

bball_babe_123 · **Reply #1 on:** Oct 12, 2022

A FREE account is required to view all solutions!

Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.

Answer Preview

Only 50% of students answer this correctly