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You deposit $500 in a bank in a 1-year time deposit. With a time deposit you cannot withdraw funds from the account until the end of the term. Interest in the account is compounded semiannually (m = 2) at the annual nominal rate of 8%. In the final compounding interval, what is the dollar amount of interest that is earned from earlier interest (rather than off of the original principal)?
In the final compounding interval, what is the dollar amount of interest that is earned from earlier interest?
The manager of a local monopoly estimates that the elasticity of demand for its product is constant and equal to -2. The firm's marginal cost is constant at $30 per unit. a. Express the firm's marginal revenue as a function of its price. MR = x P b..
4. Sam consumes green eggs and ham. Ham and green eggs are both normal goods.
Draw an Edgeworth box depicting the feasible allocations of state 1 consumption of m and state 2 consumption.- Identify the ex ante Pareto efficient allocations 1.
What is the difference between probation and parole? What are the advantages of sentencing someone to a community sanction, such as probation, instead of sentencing the person to prison?
Your firm, a monopolist has been given the following demand and cost functions: P = 100 - 2Q and C(Q) = 50 + Q2. a. What is the profit maximizing price and output for this monopolist?
suppose an economy is characterized by the standard cobb douglas production function in per capita terms yak ?? h 1-??.
In about one paragraph clearly describe some of the causes of abnormal demand curve. You should first state then explain the variable that causes abnormal demand.
Write an essay of about 3,000 words using the approaches developed in the module to appraise the fiscal strategy of the Conservative-Liberal Democrat coalition government.
A sudden and sharp increase in gas prices will have what impact on the market for the following (be sure to discuss both supply and demand):
When purchased on hire purchase over two years there is a deposit to pay of £140 and 24 monthly payments of £26. (a) In each case calculate the rate of simple interest per annum charged on the initial amount borrowed.
Explain the difference between the demand curve facing a monopoly firm and the demand curve facing a perfectly competitive firm.
Use supply and demand curves to show: a. simultaneous increases in supply and demand, with a large increase in supply and a small increase in demand.
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