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Gomez runs a small pottery firm. He hires one part-time worker at $12,000 per year, pays annual rent of $5,000. for his shop and spends $20,000. per year on materials. Gomez has $40,000 of his own funds invested in equipment (pottery wheels and kilns) which could earn him $4,000. per year if alternatively invested. Gomez has been offered $15,000. per year to work as a potter for a competitor. Gomez estimates his entrepreneurial talents are worth $3,000. per year. Total revenue from sales is $72,000. per year. Calculate the accounting and economic profit for Gomez’s pottery firm.
Increasing the earnings of minimum wage employees is desirable, and raising the minimum wage is the best way to accomplish this. Everyone should enjoy open access to health care. Health care subsidies will increase the consumption of health care.
q1. you are the proud owner of a baseball card store. suppose you sell 100.00 worth the baseball cards each day with
If Clancy buys a coupon to pays when Sullivan wins Illustrate what is the induced lottery to he faces. Illustrate what is its expected value.
International trade has pros and cons. Economists generally supports free trade. International trade has played a significant part in promoting economic development and technology transfer among countries. There are also various arguments in favour o..
q1. your employer asks you to calculate the present value for a project that will result in an immediate financial
Ki Airlines has determined that the price elasticity of demand for two customer segments (Business Class and Coach) is -1.50 and -1.75. Based on their expectations of profitability, Ki realizes the price of a Coach Seat should be $155 (one way). How ..
Lafave Corporation uses the absorption costing approach to cost-plus pricing described in the text to set prices for its products. Based on budgeted sales of 95,000 units next year, the unit product cost of a particular product is $46.70. The company..
Illustrate what might account for these trends. Compute currency in circulation as a percentage of M2.
What is regression's predicted earnings for a 25 year old worker. A 45 year old worker.
Compute the resulting equilibrium price quantity combination for every industry. Illustrate your answer with a suitable graph.
Illustrate what is the graph among utility and income,when marginal utility of income increases or deminishes.
What is the immediate effect of the increase in demand on the price and quantity of yellow corn? Yellow corn and white corn (the key ingredient in corn tortillas) are substitutes in production. As a result of the changes in the market for yellow corn..
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