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Q1-You are on the board of directors of a nonprofit art museum supported bydonations from wealthy members of the community, and are responsible foracquiring new works and staging exhibitions for the public. You are clearly anagent, but who is (are) the principal(s)?
Q2- Why might a parent company like McDonalds or Hilton choose to franchise itslocal outlets rather than own them and staff them with employees? In manysmaller cities all McDonald's outlets are owned by the same franchisee. Why is (orisn't) this fact consistent with our discussion of specific investments?
John has been in the habit of mowing Willa's lawn each week for $20. John"s opportunity cost is $15, and Willa would be wlling to pay $25 to have her lawn mowed.
Can you tell which adviser was a better selector of individual stocks (aside from the issue of general movements in the market)? If the T-bill rate were 6% and the market return during the period were 14% which adviser would be the superior stock..
What is the Relevant Market?
Why do people hold their wealth in the form of money rather than another asset that will provide a rate of return higher that the rate on return
The CEO of Always Ready Round Tire has decided to open a battery division. He thinks that batteries would sell well with tires at their outlets and that Always Round's quality reputation will be transferred to the batteries.
As Malcolm Gladwell points out in his article "High Prices," increases in drug spending are more the result of increases in drug utilization then in increases in drug prices. Why is this relevant to the debate over whether something should be done..
Bridget has a limited income and consumes only wine and cheese; her current consumption choice is four bottles of wine and 10 pounds of cheese
Question: Do brief research on ASEAN Economic Community (AEC) and discuss on the following questions: How does the AEC affect the multinational firms investing in AEC members? What is the effect of AEC on the U.S. economy?
You're the GM of firm that manufactures PC's. Demand for them has dropped 50%, thanks to soft economy. The sales manager has identified only one potential client, who has received many quotes for 10000 new PC's.
A clinic has $1 million in revenues and $950,000 in costs.What is its operating margin and its return on investment and is it adequate?
Externalities are third party consequence of some other action. They can be positive or negative externalities and they impose a benefit or cost to a third party.
Write down the equation that describes the firms optimal choice of capital and labor. Show that a combination of inputs such that K=2L is optimal
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