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A firm has demand equation Q = 10 – 2P. The firm must sell an integer quantity of product and charge the same price per unit of product for all units sold. It costs the firm $2 to produce and sell each unit of product that it sells. The firm acts to maximize its total profits. Calculate these: (You MUST show your calculations to receive any credit for your answers: Price per unit__________ quantity of units___________ total profits___________
A real estate investment of $200K will result in monthly rental earnings of $1K for 8 years, and will then be sold (with certainty) for $250K. Compute the Annual internal Rate of Return for this investment.
A consumer has a utility function, donuts (A) and peaches (B) given by u(A,B) = squareroot AB. Now suppose the price for donuts is .75 cents a unit. what is the maximizing combination of donuts and peaches.
Discuss a time when you have had to deal with a sensitive and/or a negative message. What would you do differently in light of the material covered in this module? If you would do nothing differently, describe how your handling of the message aligns ..
Explain why it is important for a firm to know it's efficient scale of production and how a firm determines its efficient scale of production. Explain how a market with no barriers to entry or exit results long run economic profits equaling zero.
Have you ever gone tubing with a group of friends or rafting on a lake? Does everyone keep drifting apart? Do the ropes or bungee cords you use to connect keep getting hung up or tangled? Entrepreneurs try to build competitive advantages for their bu..
Use Porter’s five competitive forces to perform Domino Pizza’s strength assessment ( Do not miss factors for each Factors, The answer should have the same format as the required format, For each force, the competitors, suppliers, or customers are not..
How much profit does each firm earn. Ignoring antitrust considerations, would it be profitable for your firm to merge with Fasten It If not, explain why not; if so, put together an offer that would permit you to profitably complete merger.
Many of the miles are on dirt roads. From an asset ownership point of view, what type of car should he buy.
What is the total purchase of tennis racquets? Why? What is the consumer surplus? Why? What is the increase in consumer surplus when the market price drops to $ 50? What is the increase in producer surplus when the market jumps to 80?
P Company acquired 27,000 shares of the common stock of S Company on 1/1/15, for $710,000 cash. The stockholders’ equity section of S Company’s balance sheet on that date was as follows: What is the “REAL” journal entry to record the stock acquisitio..
“Before there was Paris Hilton, there was Consuelo Vanderbilt Balsan – a Gilded Age heiress and socialite, re-nowned for her beauty and wealth. Now Ms. Balsan’s onetime Hamptons home is slated to hit the market priced at $28 million with Tim Davis of..
The inverse demand a monopoly faces is p = 100−Q+A0.5, where Q is quantity, p is the price, and A is its level of advertising. Its marginal cost of production is constant at $10 (no fixed cost), and its cost of a unit of advertising is $1. (a) Write ..
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