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Kristen purchases an auto insurance for 7 years and will pay premium at the beginning of every half a year. The amount of her premium starts from $400 and will decrease by $20 every half a year until it reaches the level of $300. Find the present value of Kristen's insurance if the annual effective interest rate is 8%.
Subprime lending is thought to be a contributing factor to the recent housing bubble. Which of the following is an example of subprime lending?
Could you reduce the cost of producing 1,800 pots per day by adding a pottery machine to your production process and reducing the amount of labor. Explain why or why not.
Calculate the point price elasticity of demand for PEL refrigerators sold during the month of August.
Draw the prisoners dilemma payoff matrix. What are the dominant strategies in this game?
Determine one possible combination of government spending increases and tax increases that would accomplish the same goal without changing the amount of outstanding debt.
Does size of the Federal deficit and outstanding Treasury debt relative to the size of the U.S. economy and interest rates impact economic growth?
A internet company has a fixed cost of $1,750,000 per month and a variable cost of $25 per month per subscriber. The company charges $45.95 per month to its internet customers. The company currently has 75,000 subscribers and proposes to raise its mo..
Suppose that one must divide $1,000 among 100 students. Which divisions are efficient?
Combined-cycle power plants use two combustion turbines to produce electricity. Heat from the first turbine’s exhaust is captured to heat water and produce steam sent to a second steam turbine that generates additional electricity. What is the simple..
Assume that labor demand is given by Qd = 200 - 10P and labor Supply is given by Qs = 10P - 20, where P = wage and Q = quantity of labor.
You have been assigned to create the new game show to be called "Millionaire." The basic rules of the game are as follows: 1) The game has two contestants; 2)
How would you hedge your exposure with forward contracts and option contracts and what will be the dollar cost of hedging with forward contract?
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