Four students from your economics class are sitting in a local restaurant discussing the market for coffee. below are quotes from each of the four students. all of the following quotes are logically correct except one. which quote indicates incorrect economic analysis? a. nicholas: "if brazil is hit hard by such a severe freeze that half of its crop is wiped out, then the price of coffee will probably rise."b. kendra: "if the price of caffeinated soft drinks such as mountain dew went down, then consumer demand for coffee would go down since they're substitutes for each other."c. sergei: "if the demand for coffee were to increase, then i would expect the price to rise, which would then cause the demand to fall back down to its original position."d. tasha: "if coffee drinkers expect the price of coffee to rise next month, then current demand will go up and lead to a price increase this month."

crow design, inc. is a web site design and consulting firm. the firm uses a job order costing system in which each client is a different job. crow design assigns direct labor, licensing costs, and travel costs directly to each job. it allocates indirect costs to jobs based on a predetermined overhead allocation rate, computed as a percentage of direct labor costs. direct labor hours (professional) 6,250 hours direct labor costs ($1,800,000 support staff salaries ,000 computer ,000 office ,000 office ,000 in november 2012, crow design served several clients. records for two clients appear here: delicious treats mesilla chocolates direct labor 700 hours 100 hours software licensing $ 4,000 $400 travel costs 8,000 1. compute crow design’s direct labor rate and its predetermined indirect cost allocation rate for 2012. 2. compute the total cost of each job. 3. if simone wants to earn profits equal to 50% of service revenue, how much (what fee) should she charge each of these two clients? 4. why does crow design assign costs to jobs?