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A gas well in Manila has reserves of 2,000,000 mcf in the ground. The initial cost basis was $800,000, and during the first operation a depletion allowance of $280,000 was taken. At the beginning of the second year of operation, the reserves were reestimated to be 1,400,000 mcf. What is the new value of the depletion unit with the cost method?
Penelope has recently started a printing business in Duluth. She had to pay a fee to obtain a trade license from the Minnesota government and took a loan from the local bank to purchase inkjet printers, laser printers, and screen printers.
Suppose you purchase eight call contracts on Macron Technology stock. The strike price is $65, and the premium is $2.3. If, at expiration, the stock is selling for $71 per share, what are your call options worth? What is your net profit? (Omit the "$..
If the government were to increase taxes on gasoline, what will happen to the total government revenue? Why? What are you assuming about the elasticity of the demand curve of gasoline? What is the formula for elasticity? Would the government make mor..
Draw supply and demand curves. Show the impact of an increase in demand on the price and quantity exchanged in the market. Show the impact of a decrease in demand on the price and quantity exchanged in the market. Please use the US Bond Market as you..
Suppose that a war in other countries led to higher government spending in those countries and all else remains unchanged. Use the loanable funds theory to identify whether supply and/or demand changes in the non-warring countries.
Consider a competitive firm with total costs given by TC(q) = 100 + 10q + q^2 . The firm faces a market price p = 50. Write expressions for total revenue TR and marginal revenue MR as functions of output q. Find the prot maximizing level of output q∗..
Normative economics—Republicans versus Democrats 1) Visit both the Republicans' (www.gop.com) and the Democrats' (www.democrats.org) Web sites. 2) Identify an economic issue that both parties address and compare and contrast their views on that issue..
On September 18, 2014, the Chinese e-commerce company completed the largest initial public offering (IPO) in history, raising more than $21 billion.
In the paragraph above, there is a discussion of how fiscal policy is affecting the unemployment rate.
Due to the increased globalization of financial markets, we can expect all of the following, except:
Explains vicious cycle of poverty. Explain the difference between the economic growth also economic developments.
The increase in population caused by immigration is also causing both good and bad problems in the United States, causing some people to feel threatened
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