During regular economic times in Canada, the maximum length of time a worker can collect employment insurance is 26 weeks. During recessions, however, Parliament often increases the length of time in which workers can collect benefits. During the recent recession, workers could collect benefits for more than 45 weeks in some regions. This system will:

Instructions: You may select more than one answer.

a) encourage people to search longer for a job.

b) provide workers with an adequate safety net.

c) prolong the amount of time a person stays out of work.

d) increase the number of workers looking for work.

e) allow more people to start businesses.

Lincoln company has an accounting policy for internal reporting purposes whereby the costs of any research and development projects that are over 70 percent likely to succeed are capitalized and then depreciated over a five-year period with a full year of depreciation in the year of capitalization. in the current year, $400,000 was spent on project one, and it was 55 percent likely to succeed, $600,000 was spent on project two, and it was 65 percent likely to succeed, and $900,000 was spent on project three, and it was 75 percent likely to succeed. in converting the internal financial statements to external financial statements, by how much will net income for the current year have to be reduced? a. $180,000b. $380,000c. $720,000d. $900,000

Tara incorporates her sole proprietorship, transferring it to newly formed black corporation. the assets transferred have an adjusted basis of $240,000 and a fair market value of $300,000. also transferred was $10,000 in liabilities, $1,000 of which was personal and the balance of $9,000 being business related. in return for these transfers, tara receives all of the stock in black corporation. a. black corporation has a basis of $241,000 in the property. b. black corporation has a basis of $240,000 in the property. c. tara’s basis in the black corporation stock is $241,000. d. tara’s basis in the black corporation stock is $249,000. e. none of the above.

Acoase solution to a problem of externality ensures that a socially efficient outcome is to