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1. You run a game day shuttle service for parking services for the local ball club. Your costs for different customer loads are 1: $30, 2: $32, 3: $35, 4: $38, 5: $42, 6: $48, 7: $57, and 8: $68. What are your marginal costs for each customer load level? If you are compensated $10 per ride, what customer load would you want?
2. A copy company wants to expand production. It currently has 20 workers who share eight copiers. Two months ago, the firm added two copiers, and output increased by 100,000 pages per day. One month ago, they added five workers, and productivity also increased by 50,000 pages per day. Copiers cost about twice as much as workers. Would you recommend they hire another employee or buy another copier?
Determine the quantity that would be produced at this price and the maximum profit possible.
Assume that the interest rate on a federally insured deposit declines from 15 percent per annum to 10 percent. If an individual holding a U.S. Treasury bill worth $2,500 plans to sell it after this drop in interest rate, he would realize (approximate..
Bloom et al (2012) ‘The organization of firms across countries, Quarterly Journal of Economics) has found that delegation is more likely in firms that are located in countries in which the management can trust workers. Meagher and Wait (2015) have fo..
Many professionals believe it is impossible to regulate ethics. Yet, the SEC and other federal agencies provide rules, regulations, and laws surrounding corporate
How can the falling U.S. dollar impact your travel expenses? Why would a cheap dollar relative to other nations' currencies be good or bad for U.S. trade?
Using a wholesale cost of $4 per case in each state, calculate the breakeven output quantities for each alternative.
Find the demand quantity and the supply quantity at a price of ?$25.
Suppose a perfectly competitive firm sees that price is $23 in the market place. It notices that the cost of producing the next unit of output is $26. What advice would you give to this firm?
Illustrate car production is capital intense relative to textiles. The US is capital abundant and China is labor abundant. Under trade, both countries produce both goods. If the labor endowment were to increase in the US, this would.
In an Experian Automotive 2008 study, the average number of vehicles per household in the United States was found to be 2.28 vehicles.
The corn-based ethanol boom has dramatically increased the price of farm acreage. Using the concept of derived demand, explain how this happened. What role does the elasticity of supply play in the market for land?
Rigid rules have the unintended effect of _____.
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