Jessie, a pharmacist, is planning on opening her own pharmacy. Jessie Pharmacy is expected to generate yearly revenue of $600,000. Jessie will run the pharmacy herself on full-time basis. Jessie’s alternative employment options are as follows: - Continue to work as a senior medical representative for $50,000 per year. - Accepts a research position in another company for $70,000 per year. Jessie expects to spend $350,000 per year on purchasing drugs and cosmetics for resale to her customers. She will also need to hire three employees: an assistant, an accountant and a custodian, for whom the total salaries to be paid are expected to be $48,000 per year. Jessie owns the building in which her pharmacy is supposed to be; however, she could rent out the pharmacystore space for $42,000 per year. Calculate Jessie’s accounting profit and economic profit. In your opinion, should Jessie proceed with opening her own pharmacy? Justify your answer

If Jasmine had not taken a job at a restaurant, she would have taken a job at a department store. The opportunity cost of her taking the restaurant job is the difference in future earnings because of not pursuing an advanced degree. the difference in present expenses due to not moving back to her home state to live with her grandparents. the total value of the job at the department store, including wages, work experience, and so on. the total expenses associated with interviewing for the restaurant job, including transportation, time, and anxiety. the total expenses associated with the restaurant job, including clothing, transportation, and so forth.

How does the average Waste Management annual salary compare with that of Switzerland as a whole country? A) Waste Management between CHF 11,000 and CHF 13,000 less than average B) Waste Management between CHF 9,000 and CHF 11,000 less than average  C) Waste Management between CHF 7,000 and CHF 9,000 less than average D) Waste Management between CHF 5,000 and CHF 7,000 less than average E) Waste Management between CHF 3,000 and CHF 5,000 less than average

According to the Economics Policy Institute (Mishel and Wolfe, 2019) CEO pay has grown 940% since 1978 while the compensation of the average worker has only risen 12%. While you can easily find sources that provide statistics that conflict with these numbers, you would be hard pressed to find any credible source that refutes the idea that the rate of pay of CEO’s and other upper-level managers has not dramatically increased relative to an organization’s lower-level employees in just about any 10 or more year period over the past 60 years. In the world of Adam Smith, the “invisible hand” of the free market capitalistic model would address inequities/out of balances. Are the forces represented by the “invisible hand” working? Why or why not? Is there an ethical dimension to the discussion of upper-level manager compensation? Why or why not? How does (or does it?) levels of pay of upper management impact the rest of us commoners?

Emily regularly works from 8:00 am to 5:00 pm. Because of an emergency in the workplace, she worked from 8:00 am to 7:00 pm on Christmas day. How much will be her total pay for that day if her daily wage is P400?

Planes frequently push back from the gate on time, but then wait 2 feet away from the gate until it is time to queue up for takeoff. This increases fuel consumption and increases the time that passengers must sit in a cramped plane awaiting takeoff. The following table shows the pay schedule for the flight crew. Pay Flight Attendant Captain First Officer Per diem $3 $3 $3 Holding pay per hour $20 $20 $20 Hourly wage (after push back) $38 $184 $50   Per diem pay indicates how much the flight crew earns once it checks into the airport. Holding pay indicates how much the flight crew earns after it loads the plane. Hourly wage indicates how much the flight crew earns after it pushes back from the gate and turns on the beacon. In this scenario, who has an incentive to push back from the gate as early as possible? Check all that apply. First officer   Passengers   Captain   Flight attendants     True or False: Reducing crew members' hourly…

Problem #3: Labor Unions (20 points) Sarah is thinking if she should join the labor union in their company. Her utility function is U (c, 1) = (cl)05, where c denotes consumption, and I denotes leisure. She has 16 hours each day to allocate between work and leisure. 1. Given her non-labor income is zero, how many hours will Sarah work at $7 wage/hour? In addition, how much consumption and leisure can she afford, and how much utility can she achieve from this? 2. If the labor unioh bargains for a $10.5 overtime pay rate for work hours beyond 8 hours, will Sarah benefit from this proposal? 3. If, instead, the labor union proposes an 8-hour workday, will Sarah benefit from it?