Photo Case Study Part 2: The Market System
1. From an economist's perspective, what is wrong with the way the advert has been
written?
2. What is the person advertising here?
3. Is the reference to low cost airport transfers telling us that the firm owning the
fleet of vehicles have acquired them for these prices or are we being told that the
price of getting to the airport for passengers is as advertised? Explain,
4. How might an economist reword the advert to make it clearer (and more accurate)
what is being advertised?
5. How does this image highlight the working of the free market?

Exercise 4-9presented below is information related to martinez corp. for the year 2017.net sales $1,399,500 write-off of inventory due to obsolescence $80,440cost of goods sold 788,200 depreciation expense omitted by accident in 2016 43,600selling expenses 65,800 casualty loss 53,900administrative expenses 53,500 cash dividends declared 43,300dividend revenue 22,100 retained earnings at december 31, 2016 1,042,400interest revenue 7,420 effective tax rate of 34% on all items exercise 4-9 presented below is information relateexercise 4-9 presented below is information relate prepare a multiple-step income statement for 2017. assume that 61,500 shares of common stock are outstanding. (round earnings per share to 2 decimal places, e. g. 1.49.)prepare a separate retained earnings statement for 2017. (list items that increase retained earnings first.)