Explain the three primary barriers to free trade that can exist, and why a country might erect such barriers. Give an example of each.
What will be an ideal response?
Barriers include protective tariffs, import quotas, and embargoes. Countries often use such barriers as a form of trade protectionism, the use of government regulations to limit the import of goods and services, to protect their domestic industries against foreign competition. The justification they often use is that this saves jobs.
Tariffs are duties or taxes levied on imports. Tariffs may be used to raise money for the government (revenue tariffs) or to protect domestic production (protective tariffs). An example of the second type is the U.S. tariff on Chinese tires.
Import quotas are limits on the numbers of a product that can be imported. These also protect domestic industries. The United States has also used this technique to protect domestic steel production against Japanese competition.
Embargoes are complete bans on import or export of particular products. This may be done to protect domestic production or for reasons of foreign policy or protection of technological secrets. For example, the United States has banned the import of Cuban cigars and sugar for political reasons.
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Newcastle Enterprises had net income for 2018 of $103,000. Newcastle had 39,000 shares of common stock outstanding at the beginning of the year and 43,000 shares of common stock outstanding at the end of the year. There were 6000 shares of preferred stock outstanding all year. During 2018, Newcastle declared and paid preferred dividends of $29,000. What is Newcastle's earnings per share? (Round the answer to two decimal places.)
A) $2.51 B) $2.40 C) $1.80 D) $1.72
Explain the follow-up step of the creative selling process
What will be an ideal response?
When delivering bad news it is best to only imply the message
Indicate whether the statement is true or false.
Norwood Corporation uses a predetermined overhead rate of $20 per machine hour. In deriving this figure, the company's accountant used:
A. a numerator of actual machine hours for the current accounting period. B. a numerator of budgeted machine hours for the current accounting period. C. a denominator of budgeted machine hours for the current accounting period. D. a denominator of actual machine hours for the current accounting period. E. a denominator of actual machine hours for the previous accounting period.