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At its current level of production, a profit-maximizing firm in a competitive market receives $12.50 for each unit it produces and faces an average total cost of $10. At the market price of $12.50 per unit, the firm's marginal cost curve crosses the marginal revenue curve at an output level of 1000 units. What is the firm's current profit? What is likely to occur in this market and why? PLEASE show HOW to get the answer, i.e., calculations!
Consider the following potential events that might have taken place at Global Con- glomerate on December 27, 2012. For each one, indicate which line items in Global's cash flow statement would be affected and by how much. Global reduces its dividends..
Insurance Companies track life expectancy information to assist in determing the cost of life insurance policies. Last year the average life expectancy of all policy holders was 77 years. ABI Insurance wants to determine if their clients now have a l..
q1. total industry sales are 105million. the top four firms account for sales of 10 million 9million 8 million and 5
Suppose nominal GDP in 1999 was $100 billion also in 2001 it was $260 billion. Illustrate what is the own-price elasticity of demand.
What is the cross elasticity of demand for pipes and pipe tobacco.
She can earn an annual interest rate of 4% or a nominal interest rate of 3.95% compounded continuously. Which is the best option and at the best interest rate, what will the account balance be after 25 years?
Describe the growth of the economic role of the federal government since the 1930s. Give two examples of public goods or services that you use. If you could order a cut of $100 billion in federal spending, which programs would you cut and why would y..
Assume quantity theory of money holds with constant K and Kf. Suppose Mexico wants to stabilize the exchange rate of its currency with US dollar (dollars/peso). If Mexico has a real GDP growth rate of 6%, what is the money supply policy Mexico should..
Which of the following is not a necessary precondition for economic growth?
Consider the case of a day trader who looks only at the past history of stock prices in conducting his or her trades. How likely would it be for such a person to beat the market? What does this suggest about investing in the "entire market
Consider an environment where an agent could be either employed E or unemployed U. Let’s normalize E + U = 1, so that E and U is interpreted as the fraction of people employed and unemployed at any given point in time, respectively. What is the proba..
The International Parcel Service has installed a new radio frequency identification system to help reduce the number of packages that are incorrectly delivered. What is the FW of this investment? b) What is the IRR of the system? c) What is the disco..
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