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After some consultants point out that the Acme Toy Company has two bottlenecks in its production of xylophones and yo-yos. The first is a critical grinding machine that only has 9 hours of capacity per day. The second is warehouse space which is limited to 10 (thousand) square feet. Each production run of xylophones requires 3 hours of grinding and take up two thousand square feet of storage while each yo-yo run requires one hour of grinding time and takes up 2000 square feet of storage. Each run of xylophones contributes $4 (thousand) to overhead and profit while each run of yo-yos contributes $2 (thousand).
Such analysis permits the firm to determine at what level of operations it will break even (earn zero profit) and to discover the relationship among volume, costs, and profits. It
Historically, the proportion of students entering a university who finished in 4 years or less was 64%. To test whether this proportion has decreased, 122 students were examined an
Explain, using the best framework you can think of (based on our class discussion), the effect of a large federal deficit on interest rates.
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