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Q1. During a coffee-room debate among several young MBAs who had in recent times graduated, among all one of the young executives flatly stated, "The most this company can lose on its Brazilian division is the amount it has invested (its fixed costs)." Not everyone agreed with this statement. In which sense this statement is correct? In what conditions could it be false? Explain.
Q2. Explain why the food stamp program can have the same effect on the consumption pattern and well-being of recipients as an outright cash transfer of similar price. Why do you imagine it is not converted into an explicit cash transfer program, thereby saving the cost of printing and redeeming food stamps?
Clarifying resource demand as well as differs from those determinant product demand.
The People's Bank of China, the country's central bank, raised the reserve requirements of its top commercial banks to put a squeeze on the credit market
A major employer in a small town announces upcoming major layoffs of employees. What should we expect to happen to the consumption functions of the affected employees.
If the firm's MARR is increased to 25%, what would be the required savings in leasing so that the project would remain profitable.
Dependency theory characterizes countries as being either in the center or on the periphery
Despite being globally branded, Unilever still tweaked the Dove campaign from country to country. Elucidate why did it do this. What does this tell you about national differences in consumer behavior.
Determine the impact on the economy if the central bank in U.S. used inflation targeting.
If most businesses in an industry are earning a 13 percent rate of return on their assets, but your firm is earning 23 percent what is your rate of economic profit
If the returns of the risky portfolio are normally distributed, what is the probability of returns being less than 29%.
When the bookstore announces a 20% price increase in new texts and a 10% increase in used texts for next year, Guojun's father offers him $80 extra.
How many shares of common stock must be issued as well as at what price, to raise the required capital.
Now suppose your utility functioin is U= (square root)Wealth. What is the maximum you will pay for the bike check-in now.
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