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Suppose the market for lemonade is a competitive market. The prevailing market price is $10. A typical seller in the market has a cost function of: C = q3 - 6q2 + l0q + 100
a. Find its profit-maximizing output level. Calculate her profit.
b. What is the lowest price a typical seller is willing to accept in the short run? Explain with calculation.
c. Given the result in (a), what will happen to the market price in the long run? Explain briefly in words.
What could firm A do to make its threat credible without building excess capacity? Will firm A use the low price as a threat if firm B enters?
Illustrate what happens to inflation is indeterminate; it could be either higher or lower than in the standard model.
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Elucidate the marketing implication of the factors contributing to the successful development of a multinational market groups.
If the face value of a 10% coupon bond is $10,000, what is the yearly coupon payment? If the yield to maturity of the above coupon bond is 8% and has 10 years to maturity, what is the present value of the coupon bond?
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Determine whether each of the following, other factors held constant, would lead to an increase, a decrease, or no change in the level of real GDP demanded:
What warnings with you give forecasters in using statistical demand equations for estimating consumer demand? How can the problems associated with using static equations in a dynamic world best be dealt with? Elaborate
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In 2012, Balnur taught music and earned $20,000. She also earned $4,000 by renting out her basement. On January 1, 2013, she quit teaching, stopped renting out her basement, and began to use it as the office for her new Web site design business.
Discuss the elements the led to the successful northern commercialization of agriculture and the differences between the northern commercialization and southern commercialization of agriculture.
q. 1. continue to read chapter 4 of your text book that deals with demand analysis. every assignment ought to answer in
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