Arbiter Ltd

question 44

Multiple Choice

Arbiter Ltd. holds a 60% interest in Brown Ltd. On July 1, 2012, Brown Ltd. transferred a depreciable non-current asset to Arbiter Ltd. at a profit of $5,000. The remaining useful life of the asset at the date of transfer was 4 years and the tax rate is 30%. The impact of the above on the NCI share of net income for the year ended June 30, 2013 is:

• A)An increase of $2,625.
• B)A decrease of $2,625.
• C)An increase of $1,050.
• D)A decrease of $1,050.

Distinguish between absolute and comparative advantage in international trade.

Recognize the fallacies associated with low-wage labor and its implications for trade.

Comprehend the role of the Heckscher-Ohlin model in predicting trade patterns based on factor endowments.

Assess the impact of trade on the distribution of income within countries (wages and rents).

---

Definitions:

Medical Doctor

A qualified individual who practices medicine, diagnosing and treating diseases, injuries, and other physical and mental impairments.

Eye Medications

Medicinal substances formulated specifically for application to the eyes, used to treat a variety of ocular conditions.

Corrective Lenses

Optical lenses designed to correct vision impairments, such as myopia, hyperopia, astigmatism, and presbyopia, used in glasses or contact lenses.

Exam

A formal test of a person's knowledge or proficiency in a particular subject or skill.