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Q1. The sales tax rate applied to all purchases within a state was 0.04 (4 percent) throughout 2006 however increased to 0.05 (5%) during all of 2007. The state government collected all taxes due, but its tax revenues were equal to $40 million each year. What happened to the sales tax base between 2006 and 2007? What could account for this result?
Q2. Suppose you have a production technology that can be characterized by a learning curve. Every time you increase production by one unit, your costs decrease by $6. The first unit costs you $64 to product. If you receive a request for proposal (RFP) on a project for four units, what is your breakeven price?
Calculate the amount of former foreign monopoly profit that is transferred as tariff revenue to the home country when the home country imposes the tariff.
Distinguish between the resources market and the product market in the circular flow model.
Should a company hire temporary workers or hire new workers to handle increase demand for the company's product.
What are the annual accounting costs for the firm described above? What are the annual explicit costs for the firm described above?
The bank and pays interest at the market interest rate of 4 percent. Is it correct to say that the cost to Mary of living in her house is less than the cost to John.
Consider a small economy in which consumers buy only two goods pies and tarts. In order to compute the consumer price index for this economy for two or more consecutive years.
Coke could have followed the price per unit down, but it didn't. Total soft drink demand increased, and Pepsi took a larger share of the demand.
If there was a capital gain tax of 30 percent, what is the after-tax real interest rate, with the inflation rate of 8 percent.
Should the seniority rule be eliminated, what is MOST likely to gain greater influence over the process of selecting committee chairs.
If MMM's capital structure consists of 25% debt and 75% equity, stated in total funds, what is the WACC break point that is associated with retained earnings
How great an open market purchase or sale of securities should the central bank undertake to restore the original interest rate.
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