Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Business Economics Expert

Tom earns $15 per hour for up to 40 hours of work each week. He is paid $30 per hour for every hour in excess of 40. Tom faces a 20 percent tax rate and pays $4 per hour in child care expenses for each hour he works. Tom receives $80 in child support payments each week. There are 110 (non-sleeping) hours in the week.

(b) (4 pts) For all hours Tom works up to his first 40, what is his after-tax, after-child care wage? If he works 40 hours, what is his consumption level and hours of leisure?

(c) (4 pts) For all hours Tom works over 40, what is his after-tax and after-child care wage? If he works for 110 hours and has no leisure at all, what is his consumption level?

Business Economics, Economics

  • Category:- Business Economics
  • Reference No.:- M91709704

Have any Question?


Related Questions in Business Economics

Suppose that thenbspwall street journalnbspreports that we

Suppose that the  Wall Street Journal  reports that we are headed for a recession. You are the manager of a firm that produces Starcho Lunch. Your marketing research people tell you that the demand for your product is gi ...

Suppose the production function for a firm is given

Suppose the production function for a firm is given by:  q=4L 0.5 K 0.25 . In the short run, the firm has  16 units of capital.  Find the Marginal Product of Labor (MP L ). Fill in the appropriate numbers in the function ...

Albert hoffmans wife has an ipod shuffle with five songs in

Albert Hoffman's wife has an iPod shuffle with five songs in her library: November Rain  by Guns 'N Roses Ain't No Mountain High Enough  by Nicholas Ashford and Valerie Simpson Call Me Maybe  by Carly Rae Jepsen Rainbow ...

A financial analyst examined the possible returns from

A financial analyst examined the possible returns from several financial investments. When the performance of these investments was later examined, it turned out that 25% performed much better than the market average, 25 ...

While doing data entry you realize that you have made a big

While doing data entry, you realize that you have made a big mistake. every data value in your mistaken dataset is ten points less than it should have been. The standard deviation of the mistaken dataset was 201.2. You c ...

From a random sample of 68 businesses it is found that the

From a random sample of 68 businesses, it is found that the mean time that employees spend on personal issues each week is 5.8 hours with a standard deviation of 0.35 hours. What is the 95% confidence interval for the am ...

What are the pros and cons of developing a global set of

What are the pros and cons of developing a global set of rules governing MNC (MNE) investment?

If you are tossing a fair coin 10 times what is the

If you are tossing a fair coin 10 times, what is the probability of getting exactly 9 heads out of the 10 coin tosses?

Given a binomial random variable x successes where the

Given a binomial random variable, X = # successes, where the sample size (n) and the probability of a success (p) are given on right, calculate P(X   n =20   p =0.3   a =2     Given a binomial random variable, X = # succ ...

Suppose the demand schedule in a market can be represented

Suppose the demand schedule in a market can be represented by the equation QD = 500 -10P, where QD is the quantity demanded and P is the price. . Also, suppose the supply schedule can be represented by the equation QS = ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As