COMM1100-Business Decision Making - T1/2025
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Suppose that the annual market demand for new cars in New South Wales is given by
P = 80,000 – Q,
and the supply is given by
P = 20,000 + 0.5Q.
If the government imposes $15,000 per car stamp duty (tax), paid by sellers, what will be the government revenue and deadweight loss associated with the tax?The graph below represents the labour market.
If the government imposes a minimum wage of $30, what will be the size of the unemployment?
On the graph below, which area represents the lost economic surplus due to a binding minimum wage in a perfectly competitive labour market?
Your sales team reported that the price-elasticity of demand for your brand of coriander is –1.9. You are considering increasing the price of your coriander by 4.02%. This will cause which of the following?
(Recall: Elasticity = % change in Quantity/% change in Price)
Jane is a director of a corporation that she founded called JCo Pty Limited. A few weeks ago, Jane told you that corporations are great in that they have their own personality. This means that the corporation can sue and be sued in its own right. Jane also let you know that JCo Pty Limited can incur debts.
Today, Jane is very upset. She lent $5,000 to JCo Pty Limited so that the corporation could pay its trade creditors. When Jane tried to get the money back, she was told that repayment may take some time. As a result, she has taken legal action against JCo. The other members of the JCo Board have alleged that Jane had breached her duty as a director. What were the issues that may have caused Jane to breach her duty as a director?
What distinguishes a company's responsibilities towards employees from those towards suppliers, under the umbrella of corporate responsibility?
Suppose that the annual market demand for new cars in New South Wales is given by
P = 80,000 – Q,
and the supply is given by
P = 20,000 + 0.5Q.
If the government imposes $15,000 per car stamp duty (tax), paid by sellers, what will be the government revenue and deadweight loss associated with the tax?The graph below represents the labour market.
If the government imposes a minimum wage of $30, what will be the size of the unemployment?
On the graph below, which area represents the lost economic surplus due to a binding minimum wage in a perfectly competitive labour market?
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