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Q1. Tetrangle Manufacturing has fixed costs of $2,160 per day. The firm manufactures bicycle component upgrade kits. The kits have a short-run average variable cost of $48 and are sold for $66 each.
a.) What is the break even level of daily output for the firm?
b.) What is the degree of operating leverage when daily output is Q = 170?
Q2. The 2001 recession ended in November 2001, but the perception of "bad economic times" lingered into 2002 and 2003. What evidence do these graphs provide concerning the lingering perception of a recession?
The largest loan that the bank can make on the basis of the new deposit. If the bank chooses to hold reserves of $3,000 on the new deposit, what are the excess reserves on the deposit.
The cost leadership approach implicates competing by having a lower cost than one's competitors
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Clarke's workers are highly skilled artisans with a great deal of job mobility. What impact would the wage increase have upon the firm's employment.
Government encourage a decision to expand? How would it affect the reputation of the business?
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Illustrate and explain the movement of the aggregate demand and aggregate supply curve both in the short and long run.
If she neither borrows nor lends, which project has the higher present value at the interest rate 50%. Which has the higher present value at an interest rate of 5%.
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