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Determine the capitalized cost of $1,000,000 at time 0, $125,000 in years 1 through 10, and $200,000 per year from year 11 on. Use an interest rate of 10% per year. Show the standard notation, interest factor formula and solution
Would Natasha be willing to buy insurance to protect against the variable income associated with the new job? If so/how much would she be willing to pay for that insurance? (Hint: What is the risk premium?)
List three of the highest paying occupations. Why do you think they are high paying jobs? Does a strike for a raise of 5 cents/hour make any sense? What kind of long-term benefit might a union gain from such a strike? If poor people don't want to wor..
How many workers should DD employ to maximize profit?
kevin smith received a welcome surprise in this management science class the instructor has decided to let each person
yumi is a lawyer specialized in mampa. when she takes a case she receives 1000 as a basic payment. if she manages to
The economic value which can be created by a transaction between two people, Ed (seller) and Luis (buyer), is $50 as Ed's opportunity cost of selling is $135 and Luis' valuation of the good is $185. If each gains $25 from this transaction,
If this firm was under perfect competition, what would be the efficient level of output in the long run?
George has been selling 5,000 T-Shirts per month for $8.50. When he increased the price to $9.00 he sold only 4,000 T-Shirts. What is the demand elasticity? If his marginal cost is $4 per shirt, what is his desired markup and what is his initial a..
A loan of $1,000 (in year 0) is paid back in equal, end-of-year payments of $125 (in years 1,2,…,n). Assuming an interest rate of 8.45%, roughly how many payments were made? (i.e., what is n?)
a contract or agreement does not have to be between two companies. another example of a dispute can be that of
Bargaining outcomes in a market-related situation are in general indeterminate and not obvious to the parties in the negotiation. Develop a bargaining situation from which you would conclude that access to market-related information does in fact a..
suppose the hotel in the lecture example raised its price from 30 to 30.50. with the new price the hotel expects 96
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