Determine Whether the Specified Paradox Occurs Does the New-States Paradox Occur Using Hamiltonʹs Method of Apportionment

question 41

Multiple Choice

Determine whether the specified paradox occurs.
-A country with two states has 75 seats in the legislature. The population of each state (in Thousands) is given by: $$\begin{array}{l}\begin{array} { l l l l } \hline \text { State } & \text { A } & \text { B } & \text { Total } \\\hline \text { Population } & 3184 & 8475 & 11659 \\\hline\end{array}\\\text { A third state is added with } 2 \text { additional seats as shown below. }\\\begin{array} { l l l l l } \hline \text { State } & \text { A } & \text { B } & \text { C } & \text { Total } \\\hline \text { Population } & 3184 & 8475 & 330 & 11989 \\\hline\end{array}\end{array}$$
Does the new-states paradox occur using Hamiltonʹs method of apportionment?

• A) Yes
• B) No

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Definitions:

Fair Value

Fair value refers to the estimated market value of an asset or liability, reflecting the price at which it could be exchanged between knowledgeable, willing parties in an arm's length transaction.

Equity Method

A financial accounting approach for assessing investments in which an investor has significant influence over an associate, reflecting share in profits or losses.

Selling Price

The amount for which a good or service is sold to the customer.

Unrealized Holding Gain

The increase in value of an asset that has not been sold, hence the gain is not realized as actual profit.