Explain why the cart must be staffed by one clerk

Assignment Help Econometrics
Reference no: EM13239548

Suppose Jan and Tina decide to start a small business selling turquoise belts in Miami International Airport. To get into the business they need to invest in a fancy push cart. The price of the push cart is $20,000 with all the display attachments built in. Suppose that Jan and Tina estimate that they will sell 3,000 belts each year for $10 each. Further assume that each belt costs $5 from the supplier. Finally, the cart must be staffed by one clerk, who works for an annual wage of $14,000. Alternatively, Jan and Tina could realize a 10% return if they invest in corporate bonds as against a push cart.

Reference no: EM13239548

Questions Cloud

How has the price ceiling affected producer surplus : Assume the government sets a price ceiling below the Pe. Plot this price ceiling price on your diagram. What is the new market situation How will it be decided who can buy the quantity supplied of gasoline
Define the methyl benzoate and acetanilide react with hno3 : The methyl benzoate and acetanilide react with HNO3, H2SO4, and glacial acetic acid. Need to know the possible products and then the one that actually forms.
Calculate the blocks acceleration : A block whose weight is 41.0 N rests on a horizontal table. A horizontal force of 36 N is applied to the block, what will be the block's acceleration? (If not, enter 0.)
Define the concentration of the zinc in the unknown solution : Each was extracted with three 5-mL aliquots of CCl4 containing an excess of 8-hydroxyquinoline. The extracts were diluted to 25 mL and their fluorescence was measured. What is the concentration of the zinc in the unknown solution Volume of Zn sta..
Explain why the cart must be staffed by one clerk : Suppose Jan and Tina decide to start a small business selling turquoise belts in Miami International Airport. To get into the business they need to invest in a fancy push cart. The price of the push cart is $20,000 with all the display attachments..
Determine the specific heat of the aluminum : Suppose that the aluminum cup inside a calorimeter has a mass of 48 g and contains 84 g of water. Both the cup and water are initially at a temperature of 5.6 degrees C, what is your best estimate of the specific heat of the aluminum
What are the pros and cons of the options : In the late 1990s, several East Asian economies had their currencies pegged to the U. S. dollar. Suppose there is an economic boom in the United States that leads to an increase in U. S. interest rates.
Define the final temperature of the water in the calorimeter : A coffee cup calorimeter contains 10.0 grams of water at 59.00 degrees C. If 3.00 grams Au at 15.20 degrees C is placed in the calorimeter, what is the final temperature of the water in the calorimeter. The specific heat of water is 4.18 J/g C; th..
Find the linear charge density along the arc : A charge -318e is uniformly distributed along a circular arc of radius 7.00 cm, which subtends an angle of 49o, What is the linear charge density along the arc

Reviews

Write a Review

Econometrics Questions & Answers

  Based on after-tax cash flows find internal rate of return

A machine has an initial cost of $500,000, and was estimated to have a salvage value of $30,000 at the end of its 7 years useful life. The machine is expected to generate annual net savings of $125,000. A loan of $200,000 at 7% interest will help ..

  What annual amount will you be able to withdraw

You decide to open an individual retirement account (IRA) at your local bank that pays 8 percent/year compounded annually. At the end of each of the next 40 years, you will deposit $4,000 into the account. Three years after your last deposit.

  What is the quantity supplied and the quantity demanded

If the current price of the product is $150, what is the quantity supplied and the quantity demanded How would you describe this situation and what would you expect to happen in this Market

  How many cupcakes does regis get from his purchase

Regis hungry for a snack. Here is the value he places on a cupcake: Value of first cupcake 5dollars Value of second cupcake 4dollars Value of third cupcake 3dollars Value of fourth cupcake 2dollars From this schedule, derive regi's demand schedule. G..

  Calculate the expected value and standard deviation

A firm is considering two alternative projects. Project A needs an investment of $800,000. Project B needs an investment of $750,000. Relevant annual cash flow data for the two projects over their expected seven-year lives

  How much total money will she have saved

Baby boomers can save up to $22,000 per year in a 401k account. If Eileen's starting balance at age 50 is $200,000 and she saves the full amount available to her, how much money will she have saved when she is 65 years old (after 15 years of savin..

  What are general equilibrium values of real interest rate

An economy has full-employment output of Y%u0305 = 1850. Desired consumption and desired investment are: \(C^{d}= 500 + .5(Y-T)-100r\) \(I^{d}= 400 - 100r\) Government purchases and taxes are G = T = 200. Money demand is: \(M^{d}=P(.5Y-200i)\) The n..

  Why is mtv so profitable relative to major networks

Television channel operating profits vary from high as 45 to 55 percent at MTV and Nickelodon down to 12 to 18 percent to NBC and ABC. Provide a Porter Five Forces analysis of each type of network. Why is MTV so profitable relative to major networ..

  Compute the internal rate of return and net present value

A firm has the opportunity to invest in a project having an initial outlay of $20,000. Net cash inflows (before depreciation and taxes) are expected to be $5,000 per year for five years. The firm has a marginal income-tax rate of 40%.

  Determine the mean and standard deviation

An investment opportunity has the potential of generating yearly revenues with the associated probabilities for the next five years as shown below. The salvage value at the end of five years is 0. The potential revenue in any given year is indepen..

  What is the deadweight loss created by the tax

Suppose the demand for a product is given by P = 100 - 2Q. Also, the supply is given by P = 20 + 6Q. A)  What is the equilibrium price and quantity of the product B)  What is the price elasticity of demand at the equilibrium price

  What adjustments should be anticipated in the long run

A firm sells its product in a perfectly competitive market where other firms charge a price of $90 per unit. The firm's total costs are C(Q) = 50 + 10Q+2Q^2. a. How much output should the firm produce in the short run

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