Declining balance depreciation method

Assignment Help Macroeconomics
Reference no: EM131049100

1. Suppose Wave detergent is sold in a monopolistically competitive market. If the price of Wavedetergent is currently $6 and the ATC is $4, in the long-run we expect

a. The demand curve for Wave to shift to the left
b. The demand curve for Wave to shift to the right
c. The producers of Wave to go out of business
d. The producers of Wave to earn economic profits greater than zero
e. The producers of Wave to earn economic losses

2. In the long run, there will be no unexploited scale economies (excess capacity) in

a. competitive markets
b. monopolistically competitive markets
c. oligopoly markets
d. monopoly markets

3. A perfectly price-discriminating monopolist is able to

a. exercise illegal preferences regarding the race and/or gender of its employees.
b. maximize profit and produce a socially-optimal level of output.
c. maximize profit, but not produce a socially-optimal level of output.
d. produce a socially-optimal level of output, but not maximize profit.

Reference no: EM131049100

Questions Cloud

What is the discount rate : Consider a 30 year series of cash flows that pays $1,000 at the end of each year, and has present value of $12,500. What is the discount rate? (One way, but by no means the only way, to solve this problem is to use the Solver in a Microsoft Excel s..
Original assumption that all projects have average risk : The managers of United Medtronics are evaluating the following four projects for the coming budget period. The firm's corporate cost of capital is 14 percent. Project Cost IRR. What is the firm's optimal capital budget? Return to the original assumpt..
High-tech equipment to produce specialized aluminum products : ALUM, Inc. uses high-tech equipment to produce specialized aluminum products for its customers. Each one of these machines costs $1,520,000 to purchase plus an additional $48,000 a year to operate. The machines have a five-year life after which they ..
What are the visible effects of omitting these frames : Use mpeg play to play an MPEG-encoded video. Experiment with options, particularly -nob and -nop, which are used to omit the B and P frames, respectively, from the stream.
Declining balance depreciation method : The net annual value added that can be attributed to this machine is constant over eight years and a mounts to $15,000. An effective income tax-rate of 40% is used by the company, and the before-tax MARR equals 25% per year. Use 150% Declining Bal..
Depreciated straight-line to zero over four-year tax life : The Market Place is considering a new four-year expansion project that requires an initial fixed asset investment of $2.8 million. The fixed asset will be depreciated straight-line to zero over its four-year tax life, after which time it will have a ..
Calculate NPV and IRR for each machine : The MIT Whitehead Institute must choose between two cDNA microarray machines to expand their high-throughput genomic laboratory. Both of these machines have the same function, and the firm will only choose on vendor from which to purchase their machi..
Calculate person federal tax liability if filing status : Suppose an individual’s income for 2015 consisted of $42,000 in wages, $200 of qualified dividends, $500 in bank interest, and a $1,200 gain from the sale of stock purchased in 2010 and sold in 2015. Calculate this person’s federal tax liability if t..
Production companies in a federal district court : FACTS Spectrum Stores, Inc., and other U.S. gasoline retailers (the plaintiffs) filed a suit against Citgo Petroleum Corporation and other oil production companies in a federal district court.

Reviews

Write a Review

Macroeconomics Questions & Answers

  Consider a bond that promises to pay 100 in one yeara what

consider a bond that promises to pay 100 in one year.a. what is the interest rate on the bond if its price today is 75?

  What can repair on the outlet works of a small dam

If the vave is left as it is, the probability of a failure of the valve seats, over the life of the project, is 60%; the probabiity of failure of the valve stem is 50%; a,d of failure of the valve body is 40%. If the valve is repaired, the probabi..

  To find the future value in investment

Find the future value one year from now of a $7,000 investment at a 3% annual compound interest rate.if the investment is made for 2 yeaars also calculate the future value.

  Why retail market for books in fort does not qualify

"Pumping the price war is Borders Rewards, the loyalty program that Borders Group introduced at the start of the year. Members get weekly coupons via e-mail and a ‘personal shopping day' when they can save 10 percent on most purchases on a day of ..

  Acceleration of economic development

How would you account for the great divergence that is acceleration of economic development in the West in 19th century while much of the rest of world remained characterized through low rates of economic growth?

  Economic forecast to make economical decisions

Describe how companies use economic forecast to make economical decisions and how companies make important decision with so much economical unrest.

  Effects of wage inequality in the us

Several believe that wage inequality in the United States will generate shifts in labor markets such that gap between most highly skilled in the population and least skilled will start to fall in the near future.

  What will happen to the equilibrium interest rate

Illustrate the following situations using supply and demand curves for money. No graph needed only state what will happen to the supply and/ or demand curves for money and what will happen to the equilibrium interest rate.

  Describe the concept of economics of scale

Describe the concept of economics of scale and how long run costs curves shape the economic structure of industries.

  What would jodie have to earn at the end of year

Jodie earns 25,000 atthe end of year 1,when the CPI was 460. If the CPI at the end ofyear 2 is 504, what would Jodie have to earn at the end of year 2to maintain a constant real wage?What would she ahve to earn in year 2 to obtain a 5% increasein her..

  To calculate the real value of our savings

Suppose you have $7,000 in savings when the price level index is at 100.then what is the real value of your savings if the price level declines by 10 percent.

  Watermelons is highest during summer also lowest winter

The demand for watermelons is highest during summer also lowest during winter. Yet watermelon prices are normally lower in summer than in winter.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd