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A firm is considering drilling an oil well. B1 is the event that the firm strikes a dry hole and B2 is the event that oil is found. Let P(B1) = 0.90 and P(B2) = 0.10. Drilling for oil is very expensive, and the firm can improve its decision (to drill or not to drill) by conducting a seismic test. Let A be the event that the seismic test indicate that there is oil in the field. Suppose P(A) = 0.35 and we assume that P(A¦B1) = 0.30 and P(A¦B2) = 0.80. In other words, if the field is dry, the probability that the test will suggest that there is oil in the field is 30 percent, but if oil is present, the probability that the test will suggest the present of oil is 80 percent. If the test indicates that there is oil in the field, what is the probability of striking oil?
q. a group of 20 doctors are considering forming a new medical group also has asked you to prepare a report on whether
What features of the product cycle theory are at variance with the assumptions of the Heckscher-Ohlin model? Explain.
The demand for the product of a business is given by q = 50 - 2p. If the price of the product is p = 10 dollars, the revenue is
If a price of corn is $3.00 a bushel, 5000 bushels would be demanded. If the price rise to $4.00, 4000 bushels would be demanded. I know the elasticity is -0.778. If the price of corn rose $5.00 a bushel, what would be the demand for corn?
Participate in a discussion with your classmates regarding a student’s CPI. Review the “EYE on Your Life” caption titled, A Student’s CPI, on page 183 in the textbook. Now that we have learned that the CPI shopping cart is filled with the items that ..
Can you see anything in the values and norms of Islam that is hostile business?' what does the experience of the region around Kayseri teach about the relationship between Islam and business?
Assume that a consumer has the utility function U(x,y) = 3x+y, where x and y represent the quantities of two goods, X and Y. The consumer has I=$60 to spend on the two goods, and good Y costs py=$2 per unit. The price of good x, px, is also exogenous..
Elucidate exactly Illustrate what the government actually did and why this merger is not occurring.
Based on the problem above what is the expected number of CPU's out of the 25 that should meet quality standards? What are the variance and standard deviation?
How does quantitative easing relate to functions of the federal reserve? What is its purpose in adding more liquidy to the banking industry? Is the federal reserve still using quanititative wasing as of 2016.
After the North American Free Trade Agreement (NAFTA) was signed, trade restrictions between Canada, the United States, and Mexico were eased and cross-border trade increased. What predictions would the Heckscher-Ohlin model make concerning the chang..
In the same election game played in class, assume that we have three candidates. Now are strategies 1 and 10 still dominated by strategies 2 and 9 respectively? If not, check and see if they are dominated by strategies 3 and 8 respectively? If so, ar..
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