Suppose That the Cost of Operating a Taxicab Is $25,000/year

question 1

Multiple Choice

Suppose that the cost of operating a taxicab is $25,000/year and that a cab in full-time operation will collect $35,000/year in fares.
-Refer to the information above.Suppose that entry into the taxi industry is restricted but medallions (licences) can be bought and sold.If the annual interest rate on savings accounts is 10%,then the equilibrium price of a medallion will be ________ and taxi drivers will earn ________ their opportunity cost.

• A) $10,000;more than
• B) $10,000;exactly
• C) $1000;exactly
• D) $100,000;more than
• E) $100,000;exactly

Acknowledge the impact of human activities on biodiversity and the environment.

Grasp the importance of model organisms in biological research.

Understand the role of biology in public policy decision-making.

Recognize the limitations and scope of scientific questions and hypotheses.

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Definitions:

IMA

Stands for the Institute of Management Accountants, a professional organization that promotes the practice of management accounting and financial management.

Price Variances

The difference between the actual cost and the standard cost of goods or services.

Direct Labor Cost Variance

The difference between the budgeted or expected cost of direct labor and the actual cost incurred.

Flexible Budget

A budget that adjusts or flexes with changes in volume or activity levels of the business.