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Danny "Dimes" Donahue is a neighborhood's 9-year-old entrepreneur. His most recent venture is selling homemade brownies that he bakes himself. At a price of $2 each, he sells 250. At a price of $1.5 each, he sells 300. What is the elasticity of the demand?
Use a Keynesian 45-degree diagram to show the effect of an increase in government spending and how could a reduction in tax rates increase government's tax receipts?
Badyear Rubber has developed the following input costs for their truck and bicycle tires. The same rubber is used for both products. Given the constraints they face, how many units of rubber should be used for truck tires and how many should be us..
each having advantages which make it do method of choice under a given set of circumstances. The selection of one method from several for a given set of conditions is the topic of this case study. Three methods of financing are described in detail..
What are collusive profits? Bertrand profits? (f) What is the optimal defection from the collusive agreement?
Mapleville Tennis & Golf Club offers golf and tennis memberships to the residents of Mapleville. Market research has found there are two types of families living in the city: 120 golf-oriented families and 100 tennis-oriented families. Information..
A concept car that will get 100 miles per gallon and carry 4 persons would have a carbon-fiber and aluminum composite frame with 900 cc three cylinder turbodiesel / electric hybrid power plant. The extra cost of these technologies is estimated to ..
Automobiles are typically financed for four years with monthly payments made to the lending agency. Assume you will need to borrow $18 000 with 48 monthly payments at 6.5% annual interest.
an office has traditionally ordered ink refill 60 units at atime. it is estimated that the carry cost is 40 of the $30 unitcost the annual demand is 240 units and ordering cost is 40 perorder instead
List four adjectives that you think best describe the painting Twilight in the Wilderness by Edwin Church (click the Twilight in the Wilderness link above to view the painting). Why was nature a theme of great interest to romanticist artists (keep..
What cost structure is best when a provider is reimbursed mostly by fee for service? Explain.
A typical customer who buys from a firm has a demand given by P = 90 - 3 Q. The firm has a constant marginal cost MC = $18 and no fixed cost. It currently uses a uniform pricing strategy (i.e., it charges a single price for all the units it sells)..
Somebody invents a small machine that electrostatically is able to remove dust from rooms very quickly. What does this do to the marginal cost curve depicted in question 6?
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