Hunter sailing company exchanged an old sailboat for a new one. the old sailboat had a cost of $110,000 and accumulated depreciation of $22,000. the new sailboat had an invoice price of $124,000. hunter received a trade-in allowance of $96,000 on the old sailboat, which meant the company paid $28,000 in addition to the old sailboat to acquire the new sailboat.

if this transaction lacks commercial substance, what amount of gain or loss should be recorded on this exchange?

a. $8,000 loss

b. $8,000 gain

c. $88,000 loss

d. $0 gain or loss

e. $96,000 gain

Suppose that electricity producers create a negative externality equal to $5 per unit. further suppose that the government imposes a $5 per-unit tax on the producers. what is the relationship between the after-tax equilibrium quantity and the socially optimal quantity of electricity to be produced?

Why is accountability important in managing safety

Answer the questions about keynesian theory, market economics, and government policy. keynes believed that there were "sticky" wages and that recessions are caused by increases in prices. decreases in supply. decreases in aggregate demand (ad). increases in unemployment. keynes believed the government should increase ad through increased government spending, but not tax cuts. control wages to increase employment because of sticky wages. increase employment through tax cuts only. increase as through tax cuts. increase ad through either increased government spending or tax cuts. intervene when individual markets fail by controlling prices and production.