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The concept of present value gives equivalent in dollars available immediately to a payment that is made at some point in the future.
What amount of money today is equivalent to $1,100 one year from now, if banks are paying an interest rate i = 10% per year? In other words, what is the present value of $1,100 received one year from now, when interest rates are 10%? Show all calculations.
Movie theaters generally charge the same ticket price for all movies with evening show times, regardless of popularity. This pricing strategy causes surpluses for unpopular films & shortages for popular films.
Compute point price elasticity of demand for this product.
A nation has a lower inflation rate than all other nations, It has more rapid economic growth.
In an article about the financial problems of the USA today, Newsweek reported that the paper was losing about $20 million a year.
Illustrate what are the THREE tools the FED has at its disposal to manipulate or change the Money Supply and interest rates.
In this case there will be a cash outlay of $550,000 at the end of the first yr followed by a cash payment of $650,000 at the end of the second year.
Is this a good model for unemployment? What would you add to study the problem more completely? What assumption does this model make regarding unemployment
Corporation X expects sales next year = $5,000,000. Inventory and accounts receivable will increase $900,000 to accommodate this sales level.
Consider total cost and total revenue given in the table given below, Compute profit for each quantity. How much should the firm produce to maximize profit?
Discuss the changing economic variables in China that influenced McDonald's expansion strategies.
Illustrate what technology is used to catch them. What's wrong with America's economy, and is America's economic problem short term or long term.
All firms in a Cournot monopolistically competitive industry have the same cost function C(q) = 25 +10q. Calculate the equilibrium price, firm output, total output and number of firms in the industry.
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