An economist discussing trade policy in the new republic wrote: "one of the benefits of the united states removing its trade restrictions [is] the gain to u. s. industries that produce goods for export. export industries would find it easier to sell their goods abroad—even if other countries didn’t follow our example and reduce their trade barriers."which of the following statements is true about the effect of a reduction in restrictions of imports? check all that apply. a. exports will increase. b. the real exchange rate will remain unchanged. c. imports will increase. d. net exports at any given real exchange rate will increase. e. the demand curve for dollars will shift to the left. f. the equilibrium level of net exports will remain unchanged

Fanning company is considering the addition of a new product to its cosmetics line. the company has three distinctly different options: a skin cream, a bath oil, or a hair coloring gel. relevant information and budgeted annual income statements for each of the products follow. skin cream bath oil color gel budgeted sales in units (a) 110,000 190,000 70,000 expected sales price (b) $8 $4 $11 variable costs per unit (c) $2 $2 $7 income statements sales revenue (a × b) $880,000 $760,000 $770,000 variable costs (a × c) (220,000) (380,000) (490,000) contribution margin 660,000 380,000 280,000 fixed costs (432,000) (240,000) (76,000) net income $228,000 $140,000 $204,000 required: (a) determine the margin of safety as a percentage for each product. (b) prepare revised income statements for each product, assuming a 20 percent increase in the budgeted sales volume. (c) for each product, determine the percentage change in net income that results from the 20 percent increase in sales. (d) assuming that management is pessimistic and risk averse, which product should the company add to its cosmetics line? (e) assuming that management is optimistic and risk aggressive, which product should the company add to its cosmetics line?