Roger, an Individual, Owns a Proprietorship Called Green Thing

question 31

Essay

Roger, an individual, owns a proprietorship called Green Thing. For the year 2012, Roger has the following items:
· Business income-$200,000.
· Business expense-$150,000.
· Loss on a completely destroyed business machine. The machine had an adjusted basis of $25,000 and a fair market value of $20,000.
· Loss on a business truck. The truck had an adjusted basis of $8,000. The repairs to fix the truck cost $10,000.

Understand the concept and implications of whistle-blowing in organizations.

Grasp the philosophies underpinning moral capital and idealism in business ethics.

Recognize the impact of ethical decisions on environmental conservation and consumer safety.

Identify the underlying moral philosophies of capitalism and societal responsibility.

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Definitions:

CPI

Measuring the average price for a set basket of goods and services consumed by people, from food to healthcare and transportation, the Consumer Price Index employs their weighted average prices for assessment.

Price Level

The average of current prices across the entire spectrum of goods and services produced in the economy, often measured by inflation indicators.

Prosperity Phase

A period of economic growth and expansion, marked by high levels of production, employment, and consumer confidence.

Business Cycle

The fluctuation in economic activity that an economy experiences over a period of time.