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The Johnson Company pays $2,000 a month to a trucker to haul wastepaper and cardboard to the city dump. The material could be recycled if the company were to buy a $60,000 hydraulic press baler and spend $30,000 a year for labor to operate the baler. The baler has an estimated useful life of 30 years and no salvage value. Strapping material would cost $2,000 per year for the estimated 500 bales a year that would be produced. A wastepaper company will pick up the bales at the plant and pay Johnson $23 per bale for them. Use an annual cash flow analysis and an interest rate of 8% to recommend whether it is economical to install and operate the baler.
Suppose the Fed purchases $1,000 worth of Treasury bonds. Suppose also that the required reserve ratio is 10%. How much money will be created in the banking system?
questionfor a labor market in a city or region assume that wages under bad times is 100 and under good times is 150.
With the help of a diagram, discuss the effect of price ceiling imposed by the government on the welfare to the society (consumers' and producers' surplus) If the ceiling price were set below the equilibrium price.
Iggy only consumes two goods: coffee and cigarettes. Three cigarettes can be traded for one cup of coffee in a free market, or one cup coffee can be traded for three cigarettes. Iggy initially has 12 cigarettes and 5 cups of coffees. Find an equation..
Torts- people suing people, businesses, and goverment for all types of things. Some argue that today, it is an epidemic and needs to be reformed. Others say no- that tort law is there to protect our personal interests. Pick one side and argue your po..
If a stock's expected return plots on or above the SML, then the stock's return is (A)_________ to compensate the investor for risk. If a stock's expected return plots below the SML, the stock's return is -_(B)_______to compensate the investor for ri..
Briefly discuss why Thomas Jefferson and ALexander Hamilton understandably prompted alternative policies or paths to economic growth and prosperity. (If i remember correctly one believed in using slaves to make economic growth and prosperity and sell..
We observe that the equilibrium price of turkey meatball rises but the equilibrium quantity of beef meatball drops. Assume that turkey meatball and beef meatball are substitutes. Also note that turkey and turkey meatball are two different objects.
Consider a Stackelberg game of quantity competition between two firms. Firm 1 is the leader and firm 2 is the follower. Market demand is described by the inverse demand function p = 100 ? 2Q. Each firm has a constant unit cost of production equal to ..
At Dulles airport, only taxis and privately owned cars are allowed to use the highway between downtown and the airport. That taxi market is competitive. There is a special lane for taxis so they are always able to travel at 55mph. Suppose P,E and G c..
You are organizing a rock concert to benefit Amnesty International. The concert is to be held in a football stadium that has a seating capacity of 56,000. There are two types of seating: reserved and general.
A worker making 20$ per hour decides to take unpaid leave from work to attend a graduation ceremony. Assuming the worker works an 8 hour day has a total tax rate of 70% and receives a 5% contribution from his employer to his 401k, what is the worker'..
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