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you are comparing a municipal bond and a US treasury bond as a possible investment for your corporation both bonds have the same maturity and both bonds are equally risky and equally liquid the treasury bonds yield 7% your corporations marginal income tax rate is 40% what heals on the municipal bonds would make you in different between the main Isable bond in the treasury bond
Suppose Frank is a monopolist in the garden gnome market and is producing his profit-maximizing level of output. Suppose further that at this level of production his average total cost is $150, his average variable cost is $130, and the price of one ..
Assume that you have two ways to get the money, one way is to have it at present, so PV=10,000, another way is to get it in the future, so FV=11,000. Which one would you like to choose ? Why?
Illustrate what are the major determinants of price elasticity of demand. Use those determinants and your own reasoning in judging whether demand for each of the following products is probably elastic or inelastic.
What should she charge per bus to maximize her profit? What would her profit be?
Suppose that instead of just fixed level of taxes T = Texogenous, we also include an income tax (t) in our Keynesian model (t = tax rate = .1) . Now the tax function is T = Texogenous + t (Y).
Compute the yield to maturity to the nearest percentage point.
If average costs and marginal costs are constant then
A profit-maximizing firm in a competitive market is currrently producing 100 units of output. Elucidate firm's profits, marginal cost, and average variable cost respectively.
If there are no fixed costs of production, the q that solves the firm’s first-order condition is
If the mortgage interest rate is 7 percent, approximately how much are home owners paying in annual mortgage interest? b. If the interest rate drops to 6 percent, by how much will annual percentage decline?
How will this technological advance impact production and pricing plans. How it will impact BlackSpot's profit.
Nepal as a small open economy declared war on Germany on 4 September 1939, in which its government purchases increased and the rest of the world's government purchases also increased due the large defense spending. Then, for Nepal, holding others thi..
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