Jennifer is looking to sell her one-person Laser sail boat, which she has kept in excellent condition. Ordinarily this type of sail boat sells second-hand for $2,000 but as Jennifer has looked after hers extremely well, she will only want to sell it for $2,400. Tom is looking to buy a second-hand sail boat and is willing to pay up to $2,600 for a boat in excellent condition. Tom has no inexpensive way to determine whether Jennifer's boat is in good condition or not. Answer the following questions: Thinking like an economist, would Tom definitely buy the boat from Jennifer? . Type Y for Yes or N for No. What is the DWL, as a result of the inefficiency caused by the asymmetric information, if Tom did not buy the boat at Jennifer’s price? $. Answer to the nearest whole dollar (with no decimal places). Over the next few months, if the proportion of sailboats on the market that are in excellent condition like Jennifer's falls from 25% to 11%, the second hand market for these sail boats best fits what description? . Type in M for Moral hazard, A for Asymmetric information, C for Competitive market, L for Lemons Model, P for Principal agent issue.

Sailaway Travel has a last-minute sale ona Caribbean cruise at 20% off. Theiradvertisement reads, “You save $249.99.”What is the sale price of the cruise?

Rachel walked up and down the aisles at Costello's Watercraft. She wanted something she and her husband, Arnel, could enjoy during their summer at the family lake house.The clerk pointed to a brand-new canoe. "This is our top seller. Dependable, good reviews, comes with a ten-year warranty."But while Rachel was inspecting the canoe, another customer approached her."Are you sure you want to spend all that money on a canoe? I've got an old pedal boat I could sell you for a quarter of the price," he offered.Later that day, Rachel and Arnel went to the man's house to check out the pedal boat. It had a lot of dents, and the man admitted that he hadn't taken it out on the water in three years. But the price was too good to beat."The boat would be sold in the condition it's in," the man warned. "All sales final."But Rachel and Arnel were already talking about the fishing gear they could buy with the money they would be saving. They bought the pedal boat immediately.When summer arrived, Arnel took the boat for a test run on the lake, while Rachel watched from the shoreline. The boat hardly went fifty feet before the front started sinking. Rachel's summer fantasy sunk along with it. She remembered the brand-new canoe she'd passed up and felt foolish. The pedals stuck as the boat sunk deeper, and Arnel had to swim back to shore.At least the fishing rods worked. Rachel and Arnel spent the summer catching perch and shaking their heads over their mistake.Which of the following best describes the main theme or lesson of the story?If you don't do your research, people will take advantage of you.Trying too hard to save money can cost you.Deep down, people always know what is truly best for themselves.Submit

Hunter Sailing Company exchanged an old sailboat for a new one. The old sailboat had a cost of $210,000 and accumulated depreciation of $105,000. The new sailboat had an invoice price of $230,000. Hunter received a trade in allowance of $115,000 on the old sailboat, which meant the company paid $115,000 in addition to the old sailboat to acquire the new sailboat. If this transaction has commercial substance, what amount of gain or loss should be recorded on this exchange?Multiple Choice$115,000 gain$0 gain or loss$10,000 loss$105,000 loss$10,000 gain

The cost of a pair of skis to a store owner was $600$⁢600, and she sold the pair of skis for $960$⁢960.Step 2 of 3 :  What was her percent of profit based on cost? Follow the problem-solving process and round your answer to the nearest hundredth if necessary.

John is looking to sell his car and Mary is looking to buy it. John values the car at $2000 and Mary values it at $3000. John places an add in the newspaper and Mary must either accept the offer or ignore it. Which of the following prices would be the best price for John to advertise the car for?Group of answer choices$2000John is indifferent between any of these prices.$2999$3500$2500