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Cedars Hospital has average revenue of $180 per patient day. Variable costs are $45 per patient day; fixed costs total $4,320,000 per year.
a. How many patient days does the hospital need to break even?
b. What level of revenue is needed to earn a target income of $540,000?
c. If variable costs drop to $36 per patient day, what increase in fixed costs can be tolerated without changing the break-even point as determined in part (a)?
an economy consists of two regions the north and the south. the labor market is initially in an economy-wide
a) the difference between the maximum amount a person is willing to pay for a good and its market price.
The government purchases component of GDP does not include spending on transfer payments such as Social Security. Thinking about the definition of GDP, explain why transfer payments are excluded.
Suppose an economy has 10,000 people who are not working but looking and available for work and 90,000 people who are working. What is its unemployment rate?
an individual has to choose between investment a and investment b. the individual estimates that income and probability
a. What are the banking system excess reserves? b. By how much can bank increase its loans? c. What is the size of the simple money multiplier? What does it tell us?
Consider a monopolist facing demand curve Q = 100 - P. MC=AC=$20. Find out the monopoly price, profits, and consumer surplus.
What is the Consumer Price Index (CPI) and How has the CPI behaved since the year 2000? What have been the causes of these changes? In your response, include a graph of the CPI for this period and cite your source.
Economic policy recommendations for monetary policy, fiscal policy and growth policy - justify your chosen policies in an understandable manner, with the use of economic theory.
Explain why is private property and the protection of property rights, so crucial to the success of the market system.
Explain how your answers to Test Yourself Question 5 would differ if each of the assumptions changed. Specifically, what sorts of changes in the assumptions would weaken the effects of monetary policy?
Illustrate what is the reserve ratio if the bank has $160 million worth of checking deposits, $32 million worth of reserves in deposits at its federal reserve district bank, and $8million worth of reserves in vault cash.
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