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An author receives a contract from a publisher, according too which he is to be paid a fixed sum of according to which he is to be paid a fixed sum of $10,000 plus $1.50 for each copy of his book sold. His uncertainty about total sales of the book can be represented by a random variable with a mean of 30,000 and a standard deviation of 8,000. Find the mean and standard deviation of the total payments he will receive.
Their banks are holding back credit so it is harder for businesses to invest and for consumers to spend
the changes that would occur to the jalapeno pepper market if suddenly Mexican food became popular, especially spicy Mexican food.
a firm should hire a person as long as her marginal revenue product is greater than her marginal cost to the company.
The problem is that the professors also want to attend the party and enjoy the music with the students but they can only attend if they agree to serve beer to the students. Normally, professors do not like this. The marginal cost to them is 200.
The airline is considering building a new training center on this land.
what happened to the overall price level. Explain how might you construct a measure of the change in the price level.
Conclude whether there is an arbitrage opportunity in the option market, using the put-call parity.
How many bottles would be demanded in entire market if price is $1.00. How many bottles would be demanded in entire market if price is $2.00.
B involves the polluters in each region independently negotiating pollution deductions, assuming the other region is not undertaking pollution reduction.
The company's settlement obligations are expected to raise its average total cost per pack by about $60. Illustrate what effect will this have on its optimal price.
propose to model his tastes in the following way: For any 2 bundles A and B of "grams of cocaine" and "dollars of other consumption.
what is the least-cost input-combination of labor and capital and how much output is produced with that set of resources?
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