1. Joe Fixit has an appliance-repair business. He has more business than he can handle and wants to hire another repair person. Joe estimates that three appliances can be repaired each hour by a qualified person. Joe bills out labour at $45 per hour, but he stipulates that the minimum charge for appliance-repair estimates is $30 plus parts. What is the marginal revenue product of a qualified repair person? What is the maximum hourly wage that he would pay an employee?
2. Sara Lee just graduated from college with a degree in accounting. She had five job offers: Bean Counters CPA, $35,000; Assets R Us, $27,000; The Debit Store, $30,000; J & Jâ's CPAs, $33,000; and The Double Entry Shop, $40,000. What was her opportunity cost if she accepted the job with The Double Entry Shop?
3. Sam Club earned $50,000 and paid taxes of $10,000. Samantha Heart earned $60,000 and paid taxes of $12,000. If these taxes were paid to the same government agency, is the tax on income progressive, regressive, or proportional? How did you reach this conclusion?
4. Carol Jones wants her business to increase sales by 50 per cent over the next 5 years. To do this, she must hire three more people. She wants to determine how to evaluate these people, so she lists their job specifications and develops job descriptions. She also lists where these employees would work and what training they would require. What management functions is Carol performing, and how do they apply to this scenario?
5. Sam Jones, Mary Adams, and Larry Brown have been talking about starting their own business for several years. Sam is an electronic repairman, Mary is a partner in a large law firm, and Larry is an excellent salesperson. Sam and Larry will work in the business on an equal basis. It costs $100,000 to start this business. Sam has no money, Mary has $60,000, and Larry has $40,000. If they form a partnership, how would you recommend that they organize?
6. Joe Latte completed a business plan and determines that it will take $120,000 to open the coffee and gelato shop. He has $30,000 of his own money and will have to obtain $90,000 in loans or grants. How should Joe go about getting financing? What is the probability that he can obtain a grant to start a combination of coffee and Italian ice cream shop?
1. Joe Fixit has an appliance-repair business. He has more business than he can handle and wants to hire another repair person. Joe estimates that three appliances can be repaired each hour by a qualified person. Joe bills out labour at $45 per hour, but he stipulates that the minimum charge for appliance-repair estimates is $30 plus parts. What is the marginal revenue product of a qualified repair person? What is the maximum hourly wage that he would pay an employee?
2. Sara Lee just graduated from college with a degree in accounting. She had five job offers: Bean Counters CPA, $35,000; Assets R Us, $27,000; The Debit Store, $30,000; J & Jâ's CPAs, $33,000; and The Double Entry Shop, $40,000. What was her opportunity cost if she accepted the job with The Double Entry Shop?
3. Sam Club earned $50,000 and paid taxes of $10,000. Samantha Heart earned $60,000 and paid taxes of $12,000. If these taxes were paid to the same government agency, is the tax on income progressive, regressive, or proportional? How did you reach this conclusion?
4. Carol Jones wants her business to increase sales by 50 per cent over the next 5 years. To do this, she must hire three more people. She wants to determine how to evaluate these people, so she lists their job specifications and develops job descriptions. She also lists where these employees would work and what training they would require. What management functions is Carol performing, and how do they apply to this scenario?
5. Sam Jones, Mary Adams, and Larry Brown have been talking about starting their own business for several years. Sam is an electronic repairman, Mary is a partner in a large law firm, and Larry is an excellent salesperson. Sam and Larry will work in the business on an equal basis. It costs $100,000 to start this business. Sam has no money, Mary has $60,000, and Larry has $40,000. If they form a partnership, how would you recommend that they organize?
6. Joe Latte completed a business plan and determines that it will take $120,000 to open the coffee and gelato shop. He has $30,000 of his own money and will have to obtain $90,000 in loans or grants. How should Joe go about getting financing? What is the probability that he can obtain a grant to start a combination of coffee and Italian ice cream shop?
