On january 2, 2018, jensen corporation sells equipment it manufactured to lewisburg fabricators in exchange for an $80,000 note due in five years. the note bears no stated interest rate, but requires the entire $80,000 to be repaid at the end of five years. jensen recently sold the same equipment to another company for $54,447. when lewisburg fabricators sought bank financing for this purchase the company was offered the funds at 8%, but decided to let jensen hold the note. what amount will jensen recognize as interest income during 2018?

Aprice ceiling is “binding” if the price ceiling is set below the equilibrium price. suppose that the equilibrium price is $5. if a price ceiling is set at $6, this will not affect the market in any way since $5 remains a legally allowable price (since $5 < $6). a price ceiling of $6 is called a “non-binding” price ceiling. on the other hand, if the price ceiling is set at $4, the price ceiling is “binding” because the natural equilibrium price is $5 but that is no longer allowed. what happens when there is a binding price ceiling? at a price below the equilibrium price, quantity demanded exceeds quantity supplied. there is a shortage. normally, price increases eliminate shortages by increasing quantity supplied and decreasing quantity demanded. in this case, however, price increases are not allowed past the price ceiling. we therefore predict that the observed market price will be right at the price ceiling and there will be a permanent shortage. the observed quantity bought and sold will be dictated by the quantity supplied at the price ceiling. although consumers would like to buy more, there are no more units for sale

Penelope summers received certain income benefits in 2018. she received $1,400 of state unemployment insurance benefits, $2,000 from a federal unemployment trust fund and $3,700 workers’ compensation received for an occupational injury. what amount of the compensation must penelope include in her income

Who owns a renter-occupied apartment? a. the government b. a landlord c. the resident d. a cooperative