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You are told that the present worth of an increasing geometric gradient is $88,146. If the cash flow in year 1 is $25,000 and the gradient increase is 18% per year, what is the value of n? The interest rate is 10%per year.
For five years, an oil drilling company has operated profitably in the state of Alaska (the only place it operates). Last year, the state legislature instituted a flat annual tax of $100,000 on any company extracting oil (or natural gas) in Alaska. H..
If sales fall by 20 percent from 1,000,000 papers per month to 800,000 papers per month, what happens to the Average Fixed Costs per paper?
An industry which generates detrimental externalities will have a marginal social cost higher than the marginal private cost to the industry.
If interest paid on the account was compounded annually, explain how much interest on interest was earned.
What effect wills an increase in interest rates have on supply and/or demand of unskilled labour. Would wage rates increase or decrease.
Suppose that the citizens of Hungary can purchase all the oil they desire at the going international price. If the Hungarian government levies a tax on oil, who bears the burden? Illustrate your answer wit h a supply and demand diagram.
This means that an individual firm's marginal cost is given by MC = 4q.Also, the market demand is given by how much output will each of them produce?
Compute the equilibrium price of guitars and the equilibrium quantity of guitars in State College.
Suppose that the tax of $28 is levied on each item sold by a monopolist, and as a result, it decides to raise its price by exactly $28. Why might this decision be against its own best interests?
Based on the standard labor demand model, in the long run, what do you expect to be the scale and substitution effects of a decrease in r (the price of capital) on the amount of labor demanded? What is the predicted total effect?
Two months after it began selling the food, its pet food sales declined dramatically because a competitor across the street started selling the identical food for $ 22 per bag. Should Roscoe's Rascals match the price offered by the competitor.
If the economy was experiencing a severe recession, which of the following combinations of monetary and fiscal policy actions would be most appropriate? Many years ago, the traditional mortgage loan structure specified. The "interest-only" mortgage t..
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