Bargains, Inc. manufactures and markets toys. Selected income statement data from 2010 and 2009 appear below:Bargains, Inc. Selected Income Statement dataFiscal year end12/31/2010 12/31/2009(amounts in thousands of dollars)Net sales $5,320,185 $4,980,000Cost of Goods Sold -3,520,415 -3,340,290Gross profit $1,799,770 $1,369,710 998,934Required:a. An analyst can sometimes estimate the variable cost as a percentage of sales for a particular cost by dividing the amount of the change in the cost item between two years by the amount of the change in sales for those two years. The analyst can then multiply the variable cost percentage times sales to determine the total variable cost. Subtracting the variable cost yields the fixed cost for that particular item. Follow this procedure to determine the cost structure for costs of goods sold for Bargains, Inc. b. Bargains, Inc. projects sales to grow at the following percentages in future years: 2011, 10 percent; 2012, 12 percent; 2013, 16 percent. Using this information, project sales, cost of goods sold and gross profit for Bargains, Inc. for 2011 to 2013.

The amberssen specialty company is a chain of twelve retail stores that sell a variety of imported gift items, gourmet chocolates, cheeses, and wines in the toronto area. amberssen has an is staff of three people who have created a simple but effective information system of networked point-of-sale registers at the stores and a centralized accounting system at the company head- quarters. harry hilman, the head of amberssens is group, has just received the following memo from bill amberssen, sales director (and son of amberssen’s founder). harry—it’s time amberssen specialty launched itself on the internet. many of our competitors are already there, selling to customers without the expense of a retail storefront, and we should be there too. i project that we could double or triple our annual revenues by selling our products on the internet. i’d like to have this ready by - giving, in time for the prime holiday gift-shopping season. bill after pondering this memo for several days, harry scheduled a meeting with bill so that he could clarify bill’s vision of this venture. using the standard con- tent of a system request as your guide, prepare a list of questions that harry needs to have answered about this project.

Suppose that real interest rates increase across europe. this development will u. s. net capital outflow at all u. s. real interest rates. this causes the loanable funds to because net capital outflow is a component of that curve.

Suppose a firm faces a fixed price of output, 푝푝= 1200. the firm hires workers from a union at a daily wage, 푤푤, to produce output according to the production function 푞푞= 2퐸퐸12. there are 225 workers in the union. any union worker who does not work for this firm is guaranteed to find nonunion employment at a wage of $96 per day. a. what is the firm’s labor demand function? b. if the firm is allowed to choose 푤푤, but then the union decides how many workers to provide (up to 225) at that wage, what wage will the firm set? how many workers will the union provide? what is the firm’s output and profit? what is the total income of the 225 union workers? c. now suppose that the union sets the wage, but the firm decides how many workers to hire at that wage (up to 225). what wage will the union set to maximize the total income of all 225 workers? how many workers will the firm hire? what is the firm’s output and profit? what is the total income of the 225 union workers? [hint: to maximize total income of union, take the first order condition with respect to w and set equal to 0.]