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In an annual worth calculation, the capital recovery portion consists of all the following EXCEPT:
Initial investment
Salvage value
Annual operating cost
Non-recurring costs
Normal Failure Law
The lifetime of a component can be described by a Normal Failure Law (i.e. the Failures of such component is following a Normal Distribution). The Mean lifetime is 5900 hours and the standard deviation of the lifetime is 700 hours.
(a) What is the probability that a component will function for a time-period of 4500 hours? (i.e. there is no failure until after 4500 hours.)
(b) What is the probability that one of such component will be functioning between (5900-700, 5900+700) hours?
John advertises his used car for $5,000 in the newspaper. He would be willing to sell his car for as little as $4,000. Bill values the car at $4,800 but offers $4,500 for it and John accepts. How much producer surplus is created by this trade? How mu..
If $80 is charged for a design fee, and the monthly studio rent is 1,600; write an equation for the profit, P, in terms of x. Then how much is the profit when 50 award designs are sold in a month? How many award designs must be sold in order to maxim..
Elucidate however, are not sure of their own internal auditors at this point also the dual system in place.
Henderson Office Supply is considering a more liberal credit policy to increase sales, but expects that 9 percent of the new accounts will be uncollectible. What is the level of accounts receivable to support this sales expansion? What would be Hende..
Assume that at price index of 154, the quantity demanded of Real GDP is 9,000 billion worth of goods and services. Elucidate do these data represent aggregate demand or a point on aggregate demand curve.
When the wage rate increases, individuals recognize that the opportunity cost of leisure has risen, choose to substitute labor for leisure, and thus offer to work more hours. This is called the
What could the FED ( Federal reserve system) do in 2002-2003 in order to bring the economy back to full-employment ? What did the FED actually do ? Explain in detail
Rumors and discussions lead me to believe that the fed will increase interest rates early this fall. I've also heard and read that we NEED to increase our rates now to be prepared for the next economic down-turn. What does this all mean? How will thi..
An office building should last 60 years, but this owner will sell it at 20 years for 40% of its construction cost. For the first 20 years it can be leased as Class A space, which is all this owner operates. When the building is sold, the land’s cost ..
A monopoly is considering selling several units of a homogeneous product as a single package. A typical consumer’s demand for the product is Qd = 60 - 0.25P, and the marginal cost of production is $80. Determine the optimal number of units to put in ..
An increase in the reserve requirement would:
Suppose that consumers decide to consume less (and therefore to save more) for any given amount of disposable income. Specifically, assume that consumer confidence (c0) falls. What will happen to output.
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