Which battery should Jean buy

Assignment Help Microeconomics
Reference no: EM131806473

Question: Jean has decided it is time to buy a new battery for her car. Her choices are:

                                                      Zappo            Kicko

First cost                                           $56               $90

Guarantee period, in months                   12                 24

Jean believes the batteries can be expected to last only for the guarantee period. She does not want to invest extra money in a battery unless she can expect a 50% rate of return. If she plans to keep her present car another 2 years, which battery should she buy?

Reference no: EM131806473

Questions Cloud

What is the duration of the note in months : If the amount of the total interest on the note is equal to $2,125, then what is the duration of the note in months
Find the economic service life of this new machine : A new machine would cost $18,000, have operating costs of $1,000 in the first year, Find the economic service life of this new machine.
Compute the value of this stock with a required return : Compute the value of this stock with a required return of 11.7 percent
What is the interdependence of global communities : What is the interdependence of global communities?
Which battery should Jean buy : Jean believes the batteries can be expected to last only for the guarantee period. She does not want to invest extra money in a battery unless she can expect.
Calculate the ending work in process inventory : The company has only one processing department. With respect to conversion costs, the ending work in process inventory is
Discuss how much of the salary is taxable to mike : How much of the salary is taxable to Mike in 2014, Mike's full salary, credited the unpaid balance of $30,000 to Mike's account on the corporate books
Brief encyclopedia entry on jurgen habermas for ethics : Read and critique the following documents: Write a brief summary for each. Where two sources are similar, you may combine them.
What would be the depreciation they could use for years : Using MACRS you knew I'd get to this eventually what would be the depreciation they could use for the following years

Reviews

Write a Review

Microeconomics Questions & Answers

  What is the law of diminishing returns

What is the law of diminishing returns? Give an example of what the law of diminishing returns implies. What happens when the government raises taxes and uses revenue to engage in spending?

  Draw a time line that illustrates the level of gdp

Draw a time line that illustrates the level of GDP per capita in Xandu in 20 year increments for the next 100 years. Draw a time line that illustrates the level of GDP per capita in Yurdu in 10 year increments for the next 100 years. Given your an..

  How much should company deposit semi-annually into a account

A company establishes a sinking fund for replacement of equipment worth $700,000 that depreciates in 8 years. How much should the company deposit semi-annually into an account that pays 4.25 % interest compounded monthly?

  What are the labor force and unemployment rates

What are the labor force and unemployment rates in 2007? What is the frictional, structural, and cyclical unemployment in 2007? What is the natural rate of unemployment in 2007

  What in your opinion happened to the equilibrium price and

In the world of electronics overtime people realized the immense use of having a personal laptop. And at the same time the technology has improved significantly in last decade. In fact the technological improvement has surpassed the increase in willi..

  1 roshima is researching universities where she could study

1. roshima is researching universities where she could study for her mba degree. she is considering 3 major attributes

  What type of competition does your firm face

What type of market do you think your franchise operates and What type of competition does your firm face? Who are some competitors? (Even if you said your firm is a monopoly, think of some subsitutes.)

  What is the marginal rate of substitution for consumer

Suppose there are two consumers, A and B. The utility functions of each consumer are given by: UA(X,Y) = X*Y UB(X,Y) = 2X + Y The initial endowments are: A: X = 4; Y = 2 B: X = 6; Y = 8

  What kind of data or statistics would you like to see

If you were a City Manager, what kind of data or statistics would you like to see before making a decision regarding the purchase and implementation of a body worn camera initiative.

  What is cohort effect

What is Cohort Effect? How to disentangle the "pure" effect of age from a birth cohort effect?

  Credit card companies are readjusting interest rates

Credit card companies are readjusting interest rates and the amount of annual fees. Should this be allowed or should the Government limit the discretion of the credit card companies. How should the Federal Reserve Bank exercise its authority in this ..

  Enough land to grow one tree

You have enough land to grow one tree. The height of your tree (in feet) equals 100*(square root of age of the tree) ! The cost of cutting down the tree is $0. The interest rate is 4%, and the price of one foot of the tree is $16. a. What is your opt..

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