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Five years ago, to respond to cost-cutting pressure during a weak economy, your company decided to close five sales offices employing five people each. Currently your company employs independent sales agents who earn a 2.5% commission on all sales. The economy has recently turned around, and one of your colleagues suggests that you could hire 25 people for $50,000 per employee to do the sales job as independent agents at a cost of goods sold (COGS) of only 0.5%. What concerns might you have about such an approach?
Discuss what has occurred to change the demand for, or the supply of, the good or service, and market prices of those products or services.
Assume you are given the following information about a particular industry, Determine the equilibrium price, the equilibrium quantity, output supplied by the firm, and the profit of each firm.
Whenever a beer company rise its advertising budget 18 percent, the demand for its beer increased 28 percent. What is the advertising elasticity for the company's product.
Suppose that long term interest rates in the economy were increasing due to strong economic growth and demand for loans in the world economy. Meanwhile suppose that the Fed was holding down its federal funds rate target. What would probably be hap..
Write an equation that summarizes the cost function for her operation, as well as equations that summarize the marginal, average variable, average fixed, and average total costs of selling fresh drinking water at the kiosk.
Develop an exponential smoothing forecast with smoothing constants α =0.1 and 0.3. What would be the forecast for week 11?
Bavarian Crystal Works designs and produces lead crystal wine decanters for export to international markets-What is the optimal level of production of wine decanters?
Suppose that an industry has six firms with market shares. % MARKET SHARES Firm ADerive the HHI. Suppose firms C and D propose a merger. Derive post-merger HHI. Might this merger be challenged under the horizontal merger guidelines?
Explain the difference among comparative advantage and absolute advantage. Explain how economies benefit with specialization and trade.
Sketch a domestic supply and demand diagrams for a product in which the United States does not have a comparative advantage.
Nancy Tai has recently opened a revolving charge account with MasterCard. Her credit limit is $1000, but she has not charged that much since starting the account.
Elucidate how the topic you chose relates to the growth of US banking overseas.
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