In a competitive labor market, the demand for and supply of labor determines the equilibrium wage rate and the equilibrium level of employment.  

Discuss the relationship between how these markets determine the wage rate and the quantity of labor that should be employed.

Share an example, that demonstrates this relationship.

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1. What will be the capital cost allowance (CCA) in year 2 related to the following capital expenditure? Cost of asset: $$200,000 Salvage value: $45,000 CCA rate: 20% Tax rate: 30% Rate of Return: 15% Life of project: 5 years 1. What will be the capital cost allowance (CCA) in year 2 related to the following capital expenditure? Cost of asset: $$200,000 Salvage value: $45,000 CCA rate: 20% Tax rate: 30% Rate of Return: 15% Life of project: 5 years