Scenario 14.1 A Worker in Firm a Earns an Income of $5,000

question 37

True/False

Scenario 14.1
A worker in Firm A earns an income of $5,000 per month. He has been offered a job in Firm B where he will be paid a salary of $7,000 per month.
-Economic rent is the sum of actual earning and transfer earning.

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Definitions:

Securities Act

A law governing the issue and sale of securities to protect investors through requiring disclosures via registration of securities.

Public Securities

Financial instruments, such as stocks or bonds, that are traded openly in the public markets.

Industrial Corporation

A type of corporation that specializes in the manufacturing and production of goods in an industrial sector.

Scienter

The knowledge of the wrongfulness of an act or the intent to commit an act that is forbidden by law.