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Samira has a monthly income of $200 that she allocates among two goods: meat and potatoes.
a). Suppose meat costs $4 per pound and potatoes $2 per pound. Write the equation for her budget line and draw it.
Suppose also that her utility function is given by the equation U(M, P) = 2M + P. What combination of meat and potatoes should she buy to maximize her utility? (Note: Assume that meat and potatoes are perfect substitutes.)
A firm’s demand function is as follows: Qx = 400 - 5Px + Py - 2Pz + 2I. Assume initial values of Px = 50, Py = 20, Pz = 20, I = 50. Determine the quantity of X that will be sold assuming the initial values. Develop the corresponding Total Revenue and..
Evaluate the prices from uniform pricing to the prices from price discrimination. Which pricing strategy is better? Why?
i firms often face the problem of allocating an input in fixed supply among different products. nbspfind the optimal
Provide an example of a country with good hazardous waste management techniques and one with poor techniques.
Discuss the influence of taxes on the results of the above analyses. Elucidate how do taxes influence the before-tax cash flow compared to the after-tax cash flow results.
Two companies, Lawnman Inc. and Tauro Co., are competing in the manufacture and sale of a new type of kryptonite-powered lawnmowers. Lawnman has a somewhat older plant and requires a variable cost of $150 per lawnmower; its fixed costs are $200,000 p..
Why can it be suggested that the fact that the ratio of skilled labor/unskilled labor has risen in almost all U.S. industries in recent years (and not just in traded goods industries) lends support to the view that increased inequality in the United ..
Draw the graph representing the market for loanable funds. Label the demand curve D1 and the supply curve S1. Given D1 and S1, if the banks charged 10% interest on loans, what would the situation be in the market. Is there a shortage or a surplus? By..
The Commerce Department revised its estimate of real GDP to $3.877 trillion, up from the earlier estimate of $3.835 trillion. Before adjusting for inflation, GDP was $4.603 trillion, up from $4.523 trillion.
Can you briefly explain the functions of DELETE clause in MySQL? Its functions , purpose and any limitations?
The market value of an investment project should be viewed as the sum of the standard NPV and the value of managerial options. Explain three different real or managerial options that management may have, what they are, and how they would influence ma..
The interest rate is 16% per year and there are 48 compounding periods per year. The principal is $50,000. What is the future worth in 5 years?
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