Welcome to The Globe and Mail’s business and investing news quiz. Join us each week to test your knowledge of the stories making the headlines. Our business reporters come up with the questions, and you can show us what you know.
This week: The Canada Revenue Agency experienced a technical issue in processing the returns of Canadians who opened a first home savings account (FHSA) in 2023, delaying the tax refunds for some individuals by up to a month. The U.S. Department of Justice and 15 states on Thursday sued Apple, accusing it of driving up prices for smartphones and charging business partners, like credit card firms, in ways that ultimately raise prices for consumers. And Lululemon annual revenue and profit numbers came in below expectations on Thursday as demand waned for its high-end cozy clothes.
Also: Lululemon wasn’t the only clothing brand in the news, Japan did something for the first time in a long time and Canadians are happy, relatively speaking.
d. Is putting the entire company up for sale. Gildan has been at war since the board dismissed the company’s long-time chief executive, Glenn Chamandy, in December. Several of the company’s biggest shareholders want to replace the board and reinstate Mr. Chamandy.
a. Raised interest rates. The Bank of Japan became the last of the world’s central banks to say goodbye to negative interest rates when it raised rates this week. However, its move, which ended eight years of negative interest rates in Japan, still leaves short-term rates around zero.
b. Between 10 and 20. Canada came in at No. 15, well below No. 1 Finland, but higher than Britain (No. 20), the United States (No. 23) or Germany (No. 24).
c. Chief administrative and strategy officer. The departure of Christoph Knoess raises questions about how RBC is progressing on two big challenges – cutting costs at newly acquired HSBC Canada and addressing problems at Los Angeles-based City National Bank.
a. Canada and Britain. Inflation in Canada and Britain came in below expectations, suggesting that central banks in both countries may soon be in a position to cut interest rates.
d. Sells Birkin handbags only to customers it deems worthy. Two California residents allege Hermès allows only customers with “sufficient purchase history” to buy Birkin handbags. If true, the practice would violate U.S. antitrust law by tying the sale of one item to the purchase of another.
a. Luna. Mr. Kwon is also wanted by U.S. federal prosecutors for his role in the collapse of Terraform Labs.
d. Charging extra to buy tickets online. The Competition Bureau says the extra $1.50 charge for online tickets is a form of deceptive marketing because consumers don’t see the full price. Instead, they see a ticking clock that pressures them to complete the purchase.
c. Real estate agents. U.S. home sellers had filed lawsuits that challenged commissions of 6 per cent on most residential property sales. The settlement – which has been described as “seismic” in its implications -- could slash fees on the average homes sale by US$5,000 to US$13,000.
c. $200-million. The award of options and restricted shares to the Shopify chief is one of the largest compensation packages in Canadian history. It has divided opinion, with some experts asking why Mr. Lutke is getting such a big reward when Shopify shares remain well below the highs they reached in 2021.
b. Claiming AI is driving investment decisions when it really isn’t. Regulators are cracking down on companies that make deceptive claims about how they are using AI. This week, for instance, Toronto-based Delphia Technologies agreed to pay a US$225,000 fine to settle charges brought by the U.S. Securities and Exchange Commission. The SEC says Delphia falsely claimed it was using AI to make better investing decisions.
b. The ice cream business. Unilever plans to spin off its ice cream business, which includes the Ben & Jerry’s and Magnum brands. The move is part of a three-year cost-cutting strategy, which aims to shed about 7,500 jobs worldwide.
Ian McGugan