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Two processes can be used for producing a polymer that reduces friction loss in engines. Process T will have a ?rst cost of $750,000, an operating cost of $60,000 per year, and a salvage value of $80,000 after its 2-year life. Process W will have a ?rst cost of $1,350,000, an operating cost of $25,000 per year, and a $120,000 salvage value after its 4-year life. Process W will also require updating at the end of year 2 at a cost of $90,000. Which process should be selected on the basis of a future worth analysis at an interest rate of 12% per year?
Are these ever mentioned? Explain. Q3) How would you compare the events of September 11, 2001 to those reasons listed? Q4) What is the difference between a "bull market" and a "bear market"?
Cookie Monster consumes Ores (good 2, price p2) and homemade chocolate chip cookies that he buys from his mom (good 1, price p1). His utility function is u(x1, x2)=ln(x1+x2)+x1. A back-story for these preferences might be that he cares about total ca..
Consider we wanted to know how many trips versus dinners out you could purchase. If you were told that X = number of trips and Y = the number of dinners out and you were given the following budget information; What is the meaning of the slope of the..
q1. consider the following market demand and supply curves.p9 .4 qsp30 - .3qdwhere p is the price per unit in dollars
Which environmental protection equipment alternative should be selected? The firm MARR is 20% per year. Assume the equipment will be needed indefinitely. Assume the study period is shortened to five years. The market value of alternative B after five..
Suppose the government were to subsidize the wages of all women in the population by paying their employers 50 cents for every hour they worked. What would be the effect on the wage rate women receive? What would be the effect on the net wage employe..
Suppose that a biotech firm makes diagnostic tests and has a fixed-proportions production function in which one unit of output (diagnostic test) is produced using one worker and two units of capital (machines).
Presently, AFC has on its medical staff 10 doctors and 10 nurses. The daily wage of a doctor is $600, whereas a nurse is paid only $200 a day. Is the mix of doctors and nurses the clinic is presently using optimal? Explain.
Either an increase in demand with the supply curve held constant or a decrease in supply with the demand curve held constant will raise a market's equilibrium price.
In monopolistic competition, firms are said to have zero long-run economic profit. This makes me wonder whether profits of intermediate goods producers in New Keynesian model ever be zero.
What happens to the price level pt when the money growth rate m changes, holding the current money supply mt constant?
Ben bakes bread and Shawna knits sweaters. Ben and Shawna both like to eat bread and wear sweaters. In which of the following cases is it impossible for both Ben and Shawna to benefit from trade.
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