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A company makes widgets and has a fixed cost of $45,000 per month and a variable cost of $45 per widget. If the selling price per widget is p=$160-.04D,
a)At what volume of sales is the revenue maximum for this product and how much is this revenue?
b)At what volume is the maximum profit per month and how much is this profit?
c)At what volumes do breakeven occur?
When someone owns an asset (such as a stock) that rises in value, he has an "accrued" capital gain. If he sells the asset, he "realizes" the gains that have previously accrued. Under the U.S. income tax, realized capital gains are taxed, but accru..
smaller multiplier means that the change in government purchases of goods and services or taxes necessary to close an inflationary or recessionary gap is larger. Explain this apparent inconsistency
how does monopolistic competition differ from pure competition in its basic characteristics? from pure monopoly?
you want to be part of the green revolution and are looking to find ways to reduce your energy use. but first you must
Rigorously analyze the issues you have identified. Base your arguments on data in the case. Demonstrate your critical thinking ability, creativity, and insight, as well as appropriate use of the tools provided in the text or in previous courses.
In 1998, Americans smoked 470 billion cigarettes. The average retail price was $2 per pack. Statistical studies have shown that the price elasticity of demand is -0.4, and the price elasticity of supply is 05. Using this information
Suppose that you are on the board of directors of a firm which is the dominant firm in the industry. That is, it lets all of the other firms, which are much smaller, sell all they want at the existing market price. In other words the smaller firms..
Suppose the recipient of a kidney transplant has stated that she would prefer 5 years of perfect health to the 10 years she expects to live with her transplant.
say you are the manager of a perfectly competitive firm selling a product. your business is making a loss because total
what is the appropriate balance between private and public i.e. government activity? think of a case where the
assume the following cost data are for a purely competitive
A machine is purchased for $150,000. Revenue for the first year was $50,000. Over the total estimated life of 8 years, what must the annual revenue for years 2 through 8 equal to recover the investment, if costs are constant at $42,000 and a ret..
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