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Mary Graham worked as a real estate agent for Piedmont Preoperties for 15 years. Her annual income is approximately $100,000 per year. Mary is considering establishing her own real estate agency. She expects to generate revenues during the first year of $2 million. Salaries paid to her employees are expected to total $1.5 million. Operating expenses (i.e., rent, supplies, utility services) are expected to total $250,000. To begin the business, Mary must borrow $500,000 from her bank at an interest rate of 15 percent. Equipment will cost Mary $50,000. At the end of one year, the value of this equipment will be $30,000, even though the depreciation expense for tax purposes is only $5,000 during the first year.
a) Determine the (pre-tax) accounting profit for this venture.
b) Determine the (pre-tax) economic profit for this venture.
c) Which of the costs for this firm are explicit and which are implicit?
Write a 1- to 2-page paper identifying the various parts of your chosen country’s Political Economy. Explain how this system developed over time and any changes you may foresee for the near future. Cite resources as appropriate to support your commen..
Federal excise taxes on gasoline vary widely across the developed world. The United States has the lowest taxes at USD $0.40 per gallon (or L0.07 per litter), Canada has taxes of $0.60 per gallon, Japan and much of Europe is $2.00 per gallon, while B..
q1. cross-price elasticity. b.b. lean is a catalog retailer of a wide variety of sporting goods and recreational
Find out the curve for MR and use it to find the monopoly output and price. Calculate the output of a perfectly competitive market if the MC is the same as the market supply.
A perfectly competitive firm will shut down immediately when the market price falls below
A pharmaceutical firm has a monopoly on a new class of vasodilator. The market demand is given by P=240-0.01*Q, and thus MR=240-0.02*Q. The monopolist's marginal cost is constant and equal to 20. Calculate the profit-maximizing price.
Must include a separate reference page, formatted according to APA style as outlined in the Ashford Writing Center.
Give an equation that shows the relationship between excess reserves, maximum checkable-deposit expansion, and the monetary multiplier.
q. bud owen operates buds package store in a small college town. bud sells six packs for off-premises consumption. bud
When is predatory pricing a most effective entry barrier?
Assume that students and non students have revealed their group demands for junior college education, a public good, as follows: Q=1500-0.25P, Student demand , Q=4000-P, non student demand, Where Q is the number of students educated per year and P is..
Explain how does the empirical rule help to explain the ways in which values in a set of numerical data cluster and distribute.
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