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1. Indicate whether each of the following involves an upward or downward shift in the long run average cost curve or instead, involves a leftward or rightward movement along a given curve. Also indicate whether each will have an increasing, decreasing, or uncertain effect on the level of average cost: A) a rise in wage rates; B) a decline in output; C) an energy -saving technical change; D) a fall in the interest rates; E) an increase in learning experience
2. St. Thomas Winery plans to reopen a new production facility in the Napa valley of California.
Based on information provided by the accounting department, the company estimates fixed costs of $250,000 per year and average variable costs of
AVC = $10+ $0.01Q
Where AVC is average variable cost (in dollars) and Q is output measured in cases of output per year.
Estimate total cost and average total cost for the coming year at a projected volume of 4000 cases.
Chapter 2 An example of a case power to the people. Figure 2-6 contains snapshot of excel spreadsheet. What is the formulas used to calculate figure 2-6. Please assist.
The marginal cost of a college education is given by the equation MC = ½ Qs + 2, where Qs represents the national student enrolment in millions each year. The demand for a college education is given by the inverse demand function P = -½ Qd + 18. In a..
Which of the following is a method for the Federal Reserve to control the supply of money? Open-market operations refer to the Federal Reserve: What determines the weights for calculating the Consumer Price Index?
A city manager wants to invest a sum of money in an account that pays 6% annual interest to cover the monthly operating costs of the city's water treatment plant for the next 6 years. The monthly operating costs for the plant are projected to be $19,..
Volkswagen company is Germany own company with a massive factory in Mexico. In 2013, the Volkswagen Mexican factory produced $228 worth of cars and sold $6 to the U.S., $51 to Mexico, and $10 to Germany. How much was added to Germany’s GDP?
Given the level of demand below, what is the marginal revenue of the fifth unit of production? P: Q: 25 1 22 2 18 3 15 4 12 5 Answer: $0, $60, $12 or $48
In 2004, Congressman Dennis Kucinich proposed the Free Market Drug Act. This legislation would have removed patent protection on drugs developed with public funds and given control over pharmaceutical R&D to the National Institutes of Health (NIH). E..
q.a young physician makes 180000 per year with an annual salary increase of 2. he is interested in buying a house. he
Identify and then explain the two most important elements of a contract that every manager should know about. Support your answer with an example or rationale.
Suppose that Taher's pizza business operates under competitive conditions and that his short-run production function is q=20^E. How much labor does he employ if the price of each pizza is p = $12 and the hourly wage is w0 = $6? [Hint: In this case, i..
Project ABC requires a $22,382 expense every third year forever, with the first expense occurring at EOY 3. What is the capitalized worth of Project ABC is t=15% annually?
What is the process by which a recessionary gap closes itself? Explain. Why might this self-correcting mechanism work slowly in the face of a recessionary gap?
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