2/3/2019 Homework 02: Econ 104 WC Sec 1 Spring 2019 1/19 Homework 02 Due Feb 3 at 11:59pm Points 100 Questions 36 Available until Feb 4 at 4am Time Limit None Instruc±ons A±empt History Attempt Time Score LATEST Attempt 1 2,778 minutes 70 out of 100 Correct answers will be available on Feb 4 at 11:59pm. Score for this quiz: 70 out of 100 Submitted Feb 3 at 12:57am This attempt took 2,778 minutes. Homework 02 Lessons 03 and 04 100 points This homework is composed of multiple choice, fill-in-the-blank and true/false questions. Select or enter your responses for each question. There is no time limit. It will be available for review starting the day after the assignment is due. Part 1: 32 questions at 3 points each for a total of 96 points FOR FILL-IN-THE-BLANK questions: If your answer is in decimal form, round to 2 decimal places. For example, if your answer is .412, enter it into the fill-in-the-blank as .41, or if your answer is 1.415, enter it into the fill-in- the-blank as 1.42. If there are no decimals in your answer, you will simply enter the number; so if your answer is 2, enter 2 with no decimals. Do not enter any extra spaces, do not enter commas or $ or % symbols.
2/3/2019 Homework 02: Econ 104 WC Sec 1 Spring 2019 2/19 3 / 3 pts Question 1 Use the information below to answer questions 1-6 Consider an economy that produces only two goods: fresh apricots and dried apricots. In this economy, the technology of producing dried apricots is to place fresh apricots on special racks and allow them to dry in the sun. Fannie’s Farms is the only company that grows fresh apricots, while Darryl’s Dried Victuals is the only producer of dried apricots. Fannie’s sells some of its apricots directly to consumers for consumption. The relevant revenue and cost information for each of the two firms in the economy is given below: Darryl's Dried Victuals Revenue from selling dried apricots: $2,750,000 Cost of buying fresh apricots from Fannie’s: 1,800,000 Interest on funds borrowed to buy drying racks: 200,000 Wages paid to employees 550,000 Taxes 90,000 Fannie’s Farms Revenue from selling fresh apricots: $2,350,000 Rent on land (including apricot trees) 400,000 Wages to employees 1,100,000 Taxes 180,000 Darryl's profit from selling dried apricots is: $5,390,000 $150,000 None of these are correct
2/3/2019 Homework 02: Econ 104 WC Sec 1 Spring 2019 3/19 $110,000 $670,000 3 / 3 pts Question 2 Fannie’s profit from selling fresh apricots is: $4,030,000 None of these are correct $670,000 $110,000 $300,000 3 / 3 pts Question 3 Use the income approach to calculate nominal GDP. Fill in the blanks in the table below. Enter numbers with no commas, no dollar signs and no decimals. For example, if your answer is $12,000 you would enter 12000 into the appropriate box. a. Total wages 1650000 b. Interest 200000 c. Rent 400000 d.Total profit* 780000
2/3/2019 Homework 02: Econ 104 WC Sec 1 Spring 2019 4/19 Answer 1: Answer 2: Answer 3: Answer 4: Answer 5: Answer 6: e. Total taxes 270000 f. Nominal GDP =(a+b+c+d+e) 3300000 *hint: get total profit by adding your answers for #1 and #2!