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A trust fund is to be established for three purposes: (1) to provide $750,000 for the construction and $250,000 for the initial equipment of a small engineering laboratory; (2) to pay the $150,000 per year laboratory operating cost; and (3) to pay for $100,000 of replacement equipment every 4 years, beginning 4 years from now. At 6% interest, how much money is required in the trust fund to provide for the laboratory and equipment and its perpetual operation and equipment replacement?
Describe the least cost combination of L and K when output is produced at the rate of 1,000 tons per day. Describe the required outlay for 1,000 tons per day.
Suppose the government increases G to 1250. Compute private saving, public saving, and national saving and the new equilibrium interest rate.
A machine used to cereal boxes dispenses, on the average, ounces per box. What is the largest value.
Evan gets twice as much marginal utility from an additional bottle of water than from an additional bottle of soda.
Provide reasons to explain what government would have to do to keep the unemployment rate at 3 percent."
The U.S. cigarette industry has negotiated with Congress and government agencies to settle liability claims against it. Illustrate what effect will this have on its optimal price.
Illustrate what mistakes did policymakers make that have kept developing nations from growing more quickly.
Explain how many units of labour will Valentines hire. What wage per unit of labour will Valentines pay.
M is the average income in the United States. What could be the impact on your rm.
Suppose that two UK government bonds have same face values with £100. One has an outstanding maturity of 2.5 years. Its coupon rate is 9.75% and coupons are paid semi-annually.
Compute effects of an appreciation and a depreciation in the exchange rate on the price of its output in that country and the likely effects on the demand for its output.
Explain how specifically can GDP be adjusted to better measure well-being.
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