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1. All-you-can-eat restaurants allow customers to eat as much as they want for a fixed price. These types of restaurants must make money or they would not remain in business. How can they earn profits when people can always eat more which would increase the restaurant's costs as they eat more? What principle are the restaurants relying on? How does this work?
2. For which types of business organization is unlimited liability going to apply to - a sole proprietorship, a partnership or a corporation? Now explain out of those business organizations, for which one will unlimited liability be the greatest problem for? Why?
3. Suppose a consumer is at an optimum, consuming 6 hamburgers a week at a price of $1.50 each and 10 donuts a week at 50 cents a donut. If the price of a hamburger increases to $2.00, what will the consumer do to arrive at a new equilibrium? Why?
4. You expect to receive a payment of $200 one year from now.Your discount rate is 5%. What is the present value of the payment to be received ?Suppose that your discount rate rises to 6%. What is the presentvalue of the payment to be received?
Graph the budget line and add the indifference curve for the following situation and also graph the demand curve based on the given information
At a management luncheon, two managers were overeat arguing about the following statement "A manager must never hire another worker if new person diminishing returns". Is this statement correct? If so, why? If not, discuss why not?
Draw a correctly labeled loanable funds graph that shows what happens to real interest rates.
Defines and explains a closed system and provides an example and explains the inner and outer flows of a closed system.
The demand for speciality glue is given as: P = 1200 - 6Q, where P is value per 100 pounds of specialty glue produced and Q is the amount manufactured.
Increasing jet fuel values recently led most major United States airlines to raise fares by approximately 15%. Describe how this substantial increase in airfares would affect the following;
Assume that the government proposes to cut taxes while maintaining current level of government expenditures. To finance this deficit, it may either
Describe an example of risk calculation found on the web and what risk calculation technique is illustrated by your example? Would you have employed a different risk assessment technique than used in your example, and why?
The technology of a company making high end, solid gold bracelets in Soho (NYC) is explained through the production function;
Differentiate the way Keynes and Friedman approach the economy. Determine the key differences and similarities?
The production possibilities curve represents the set of all and the opportunity cost of a glove in Panama - an airplane manufacturing consortium in Europe, which receives large subsidies from several European countries.
Think the single-index model. The alpha of a stock is 0 percent. The expected return on the market is 12 percent. The risk-free rate of return is 6 percent.
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