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Q. In general, we say that two projects with cash flows xi and yi, i=0,1,2,.. n, cross if x0 < y0 and summation i=0 to n (xi) > summation i=0 to n (yi). Let Px(d) and Py(d) denote Current values of se two projects when discount factor is d.
Show that there is a crossover value c >0 such that Px(c) = Py(c)
Q. If Starbucks demand and supplies for premium coffee (one-pound bag) are in equilibrium and demand rises substantially. Illustrate what will happen if this market moves to new equilibrium?
Evaluate how average, total, and marginal costs change as the output of a good or service of your choice increases. Can economies of scale be maintained despite high start-up costs.
Compute effects of an appreciation and a depreciation in the exchange rate on the price of its output in that country and the likely effects on the demand for its output.
Rise in the price reduce the quantity demanded, assuming price elasticity remains constant along the demand curve.
Why do Caterpillar and your parents have different opinions about the value of the dollar.
Illustrate what share of GDP is composed of consumption. Illustrate what share of GDP is composed of investment.
The developing country uses the $100 bank balance to import $100 worth of food from the United States (US).
Discuss industry concentration, demand and market conditions and the pricing behavior of Kodak in the 1990's. Do you think the industry environment is significantly different today.
If a large-scale war resulted in massive destruction of physical facilities, but not loss of life
Firms raise capital from investors by issuing shares in the primary markets
The last printer added 20 books to total output, while the last press added 1,000 books to total output. Is the publishing house making the optimal input choice.
The marketplace demand for a type of carpet produced by a monopolist known as KP-7 has been estimated
In which of the two cases, if any, do you think which demand has increased more rapidly than delivery. Explicate your reasoning. Write your answer in essay format.
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