Question

Employment opportunities for more than five hundred people will be lost when New Development Solutions, Inc., closes its headquarters in the city of Nowhere, USA.

Service industries will close.
The population will decrease.
Public employees will receive higher salaries.
Tax revenues will decrease.
People will move to Nowhere.

Answer 1

The answers to this question would be the first, second, and fourth answers. Service industries will close, the population will decrease, and tax revenues will decrease.

Answer 2

Answer:

A. Service industries will close.  

B. The population will decrease.

D. Tax revenues will decrease.

Explanation:

When company will close its headquarter, service they used to provide to local people in that city would be terminated. As the headquarter of any company has an importance in that particular city where it is situated, so people of Nowhere will not get more benefits of headquarter services.

500 People who will become unemployed will move to other cities, towns, countries so the population of the city will decrease

As 500 people and their families will leave the city, so tax revenue will be affected. Because of shifting to other places, the city tax revenue will decrease.