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The engineering firm is considering to keep the crane for future projects. The cost of the crane is the one described in problem 2 (including transportation costs). Its market value at the end of year one will be $300,000 decreasing by 15% every year to minimum of $100,000. The crane operating costs will be a gradient series of $25,000. The maintenance costs will be equal to 20% of the operating costs. MARJR. is 10%. Determine the optimum replacement interval.
When people have insurance against a certain event, the notion that those people are less likely to guard against that event occurring is called a _____________________ .
Suppose a monopolist has a constant marginal cost of $20 per unit, and a fixed cost of $100. The demand curve for the product of the monopolist is given by P=100-Q, and its corresponding marginal revenue is given by MR=100-2Q, where Q is the amount o..
A corporation has ten employees, all of whom want a more pleasant work environment. Accordingly, they are considering removing litter from the grounds of plant.
What does the Production Possibilities Frontier show? How can it be a useful tool for explaining the tradeoffs that countries have to make between capital and consumer goods?
How might you use information about design concepts to help you make future decisions? For example, when reading studies reported in newspapers or magazines how will the nature of the study influence your decisions to either take action or change you..
We know that investment spending depends on real interest rates, yet the demand for money is dependant on nominal, not real, interest rates. Why should money demand be dependant on nominal rates?
Compare he rates of core and headline inflation for the most recent months and the past year
Hong Kong dollar, and the one-year forward exchange rate is 9 yen per dollar. Determine whether or not there is an arbitrage opportunity and, if possible.
Identify and discuss the most common pattern or stages involved in corporate violence. What are the worst specific consequences of corporate violence, and which claims about corporate violence seem least warranted? Which industries seem to have the w..
Illustrate what is the underlying factor which seems to help clarify whether or not the economy is self-adjusting.
Draw a new set of graphs that illustrate long-run equilibrium in a constant-cost competitive industry. Use two graphs, one for the market and another for a representative firm. a. Show and discuss the effect an increase in market demand has on the re..
Consider the Tragedy of the Commons game with two shepherds, A and B. LetsA and sB denote the number of sheep each shepherd grazes on the common pasture. Assume the benefit per sheep equals 300−sA −sB. Compute the flock sizes and shepherds’ total ben..
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