(b)Three months into the business, Discovery Tours is doing well. The governmentbudget has just announced a series of new policies to help support newbusinesses. Explain and discuss the consequences of the following for DiscoveryTours.(i)(ii)The government will raise the VAT rate for all businesses from 9% to 15%.The government announce a wage subsidy for all tourism business to helpboost the sector and help cover labour costs.It is expected that international travel will not resume this year and thatconsumers are encouraged to holiday at home.A major UK tourism and activity adventure company – AdventureSeekers hasjust announced plans to launch and begin trading in Ireland. This is a majorcompetitor and is expected to possibly undercut prices in the industry.Insurance costs for business particularly personal and business liabilityinsurance is expected to increase by 25% this year.(iii)(iv)(v) Question 2Susan and Patrick (Discovery Tours) are keen to progress with their idea andhave begun to look at what is happening in the economy.(a)Based on your understanding of micro and macro economics, identify andexplain FOUR micro or macro economic concepts or terms that would berelevant to the young owners successfully running their adventure /tourismbusiness. (students should clearly explain the relevance to Discovery Tours).

disclaimer :- as you posted Multipart questions we are supposed to solve first 3 questions only.…

(b) Three months into the business, Discovery Tours is doing well. The government budget has just announced a series of new policies to help support new businesses. Explain and discuss the consequences of the following for Discovery Tours. The government will raise the VAT rate for all businesses from 9% to 15%. The government announce a wage subsidy for all tourism business to help boost the sector and help cover labour costs. It is expected that international travel will not resume this year and that consumers are encouraged to holiday at home. (i) (ii) (ii)

(b) Three months into the business, Discovery Tours is doing well. The government budget has just announced a series of new policies to help support new businesses. Explain and discuss the consequences of the following for Discovery Tours. The government will raise the VAT rate for all businesses from 9% to 15%. The government announce a wage subsidy for all tourism business to help boost the sector and help cover labour costs. It is expected that international travel will not resume this year and that consumers are encouraged to holiday at home. (i) (ii) (ii)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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