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A manufacturer is considering replacing a production machine tool. The new machine, costing $37,000, would have a life of 4 years and no salvage value, but would save the firm $5000 per year in direct labor costs and $2000 per year in indirect labor costs. The existing machine tool was purchased 4 years ago at a cost of $40,000. It will last 4 more years and will have no salvage value. It could be sold now for $10,000 cash. Assume that money is worth 8% and that differences in taxes, insurance, and so forth are negligible. Use an annual cash flow analysis to determine whether the new machine should be purchased.
In the United States there are few “permanently poor.” Income mobility studies indicate that fewer than 5 percent of those in poverty stay there. They better themselves and move up the income ladder. Given this information, do you believe we need to ..
Elucidate why haven't the changes to campaign finance laws passed in 2002 been effective in stopping the flow of soft money
Give examples of the following kinds of functions:
Standing for "free soil" and "free labor," the Republican Party was able to appeal to northern farmers and native-born workers, but at the price of alienating many northern manufacturers. Is this True or False?
Discuss conflict theory as a theory that society and its structural arrangements are organized and held together by the power and dominance of certain groups over others, based upon their greater economic,polotical and cultural resources. is this per..
Explain why might Industries in industries with high fixed costs be inclined to prevent strikes or end strikes quickly.
q.suppose there is a business firm that holds a global monopoly on a particular product but is currently selling the
Calculate the dominant firm’s residual demand, and marginal revenue of its residual demand. Plot them on the graph. Calculate the equilibrium quantity and price set by the dominant firm. Also calculate the equilibrium quantity supplied by each compet..
Examine the following proposed tax reforms. Evaluate them according to the following three principles for optimal taxation: equity, efficiency, and complexity considerations.
Identify the following as primarily public or private sector projects. a. Bridge across Ohio River b. Coal mine c. Baja 1000 race team d. Consulting engineering firm e. County courthouse f. Flood control project g. Endangered species designation h. F..
The city of Econville has three bookstores on the Main Circle that is 1 mile long. The bookstores have no costs. The distance between any two neighboring stores is the same and equal to 1/3 miles. There are 100 residents uniformly located along the M..
All licensed drivers are required by law to purchase a minimum level of auto and motorcycle insurance (well, if they own either of the two). However, the vast majority choose to buy much more insurance than the required minimum. It’s also true t hat ..
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