--%>
Assignment Help - homework help

Illustrate the effect of tax on the graph

The U.S. market for rice is illustrated below.

 

1057_gh1234.png


The world price of rice is $12 per bushel and the U.S. can purchase all of the rice that it desire at that price. The government places tax on imported rice of $2 per bushel. Illustrate the effect of this tax on the graph above. What will turn out to the amount of rice the U.S. imports?
The tax will raise the world price of rice to $14. Therefore, the U.S. will import less rice

 

1693_34536.png

   Related Questions in Managerial Accounting

  • Q : The provision of management accounting

    explain how the provision of management accounting information can assist the management of a company with planning, controlling, decision making and communicating

    		•
  • Q : Define the term Strategic management

    Briefly define the term Strategic management and also state the reason why it is designed?

    		•
  • Q : Features of partnership Write some main

    Write some main features of partnership? Answer: Essential elements or major features of Partnership are as follows: A) Two or m

    		•
  • Q : Comparability-Accounting information

    What do you mean by the term Comparability which is accounting information?

    		•
  • Q : Capital expenditure Expenditure that

    Expenditure that increases the dollar amount of fixed assets on the balance sheet. These outlays either increase the value of assets already owned or add additional assets. The payments increase the future benefit of an asset by extending the life of the asset, increa

    		•
  • Q : Partners-firm and firms name What do

    What do you understand by the terms partners, firm and firms name? Answer: The persons who have entered into a Partnership with each other are individually termed 'P

    		•
  • Q : Define Indirect Cost Indirect Cost : A

    Indirect Cost: A cost which can’t be recognized particularly with or traced to a specified cost object in an economically feasible manner.

    		•
  • Q : Why most of the larger businesses are

    Why most of the larger businesses are not managed as the single unit through one manager?

    		•
  • Q : Cash budget A plan for the cash coming

    A plan for the cash coming into and going out of a business. Based on the sale forecast,  the timing and amounts of  cash receipts. Based on forecast of resources necessary to  meet the sale forecast, management budgets the cash disbursements. This proc

    		•
  • Q : What is Partnership Partnership :

    Partnership: Whenever two or more persons enter into an agreement to take on business and share its gain and losses, it is a condition of partnership. It can also define as: "Partnership is the relation among persons and who have granted to share the

    		•