When an investment is sunk and durable

Assignment Help Business Economics
Reference no: EM13874736

1. When an investment is sunk and durable, why is it a mistake to assess the investment only on the basis of economic profits in the first year? What is a better criterion? Why?

2. Explain why under perfect competition in the long run the PR statistic should equal 1.

Reference no: EM13874736

Questions Cloud

Prepare students to meet future challenges : Describe each area that you chose and then explain how you think these areas of study will prepare students to meet future challenges. You will likely have 4-6 paragraphs per curriculum area
What does the novel say about the american dream? : What does the novel say about the American dream?
About their working capital management : Use the table below, summarized from CFO Magazine’s 2006 working capital survey to answer this question. Compare Genzyme’s CCC to that of Quest Diagnostics. What do the CCC for the two companies tell us about their working capital management?
Balance interests of the child with claim of parental rights : The goal of Juvenile Court is to balance the best interests of the child with the claim of parental rights. Parents have a right to direct the upbringing of their children, including the right to exclude others from that function
When an investment is sunk and durable : When an investment is sunk and durable, why is it a mistake to assess the investment only on the basis of economic profits in the first year? What is a better criterion? Why?
Fatal level of hyperthermia : Hyperthermia of 5°C (i.e., 5°C rise above the normal body temperature) is considered fatal. Express this fatal level of hyperthermia in
Summarize the procedures used in the salem trials : Summarize the procedures used in the Salem Trials
Tutorials on relational database design : Conduct some research online for tutorials on relational database design. Choose three that you think do the best job of teaching you about relational database design. Share your findings with the class, and explain why you chose the three tutoria..
Bill plans to fund his individual retirement account : The present value of $25,000 perpetuity at a 14 percent discount rate is ___ Bill plans to fund his individual retirement account (IRA) with the maximum contribution of $2,000 at the end of each year for the next 20 years. If Bill can earn 12 percent..

Reviews

Write a Review

Business Economics Questions & Answers

  Economics assignment

This document contains various important questions and their appropriate answers in the subject field of Economics.

  Demand and supply curves

Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.

  Long-run perfectly competitive equilibrium for the firm

Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..

  Supply and demand diagrams

Explain each of the following using supply and demand diagrams,  With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.

  Case study: fisher-price toys

The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.

  Draw the production possibility curve

Draw the production possibility curve and a. Define consumer surplus and producer surplus.

  Tax revenue

The Australian government administers two programs that affect the market for cigarettes

  Maximize total welfare

How many tickets to sell to maximize total welfare.

  Difference between the cv and the ev

The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled

  Depict von neumann-morgenstern utility index u in a diagram

Depict the von Neumann-Morgenstern utility index u in a diagram

  What is the market solution

What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution

  Calculate gross national product and net national product

Calculate gross national product and net national product

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd