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Q1. The ABC Corporation is contemplating purchasing a new computer system that would yield a before-tax return of 30%. Also system depreciates at 10 percent a year. The after-tax interest rate is 8 % as corporation tax rate is 35 percent, and depreciation allowances follow the straight-line method over five years. For tax credit there is no investment. Would you expect ABC to buy the new computer system? Elucidate your answer.
Q2. The economy of Macro land is initially in long-run equilibrium. A severe drought causes an adverse provide shock. Graphically illustrate and elucidate?
The Federal Reserve Bank of St. Louis maintains a Web page devoted to international economic trends.
The economys business cycles are not well synchronized with any of the world's largest economies and policymakers.
What is the equivalent annual worth of costs for the website over a total of 6 years at an interest rate of 12% per year.
Suppose one insurance company decided to charge teenagers and adults the same premium based in the average risk of an accident among both groups.
Assume the cost of a can was $5.10. In this case, to maximize its profit the firm illustrated in the figure above would
What is the average fixed cost of producing 4 units of output and What is the marginal cost of producing the third unit of output.
A university registrar who uses her experience with university admissions along with your high school grades, application essays, letters of recommendation.
Enter a whole number as your answer, if you match up pairs of buyers and sellers so as to maximize the total surplus of all transactions.
From what you know about these firms' cost structure, what is the highest possible price per unit that could be existing as the market price in the long run equilibrium.
explain why an increase in the wage rate for autoworkers will generate more of a negative employment response in the long run than in the short run
Discuss the manner in which an analyst would compare the relative profitability of the two potato chip segments.
If your employees are self-interested, how much output would you expect each individual worker to produce absent monitoring.
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