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An oil producer has purchased a pumping unit for 30,000 and the loan is to be paid back in 24 equal monthly installments of 1,771.43 per month. calculate the normal interest rate charge for this financing arrangement. calculate the effective interest.
Suppose a firm expects that a $40 million expenditure on R&D in the current year will result in a new product that can be sold next year. Selling that product next year would increase the firm’s revenue next year by $60 million and its costs next yea..
In which of the following cases would a monopoly increase its per-period total profits by raising price and reducing output:
There are pros and cons if policymakers use monetary and fiscal policy to stabilize the economy. Explain the main arguments in favor of economic stabilization. Explain why policy lags could make stabilization policies counterproductive.
A tsunami in Japan disrupts the production of Japanese-made cars. What is the impact on the market for new cars.
Using the rule of 70, if a person lived to be 70 years old in a country with an average annual growth rate in real GDP per capita of 2 percent, the average income during this person's lifetime would increase by approximate
q. the zinger company fabricates as well as sells a line of sewing machines. demand per period q for a scrupulous model
Gross Domestic Product measures which of the following? In the circular flow diagram income is received in which of the following markets? In the circular flow diagram expenditure is made in which of the following markets? Total income generated in p..
Everett McCleskey, a local business person, is a good friend of Al Miller, the owner of a local candy store. Every day on his lunch hour, McCleskey goes into Miller’s candy store and stays about five minutes. After looking at the candy and talking to..
Consider an economy where, consumer’s utility function is given as U(C,L)=C-(1/2)L2 . where C is consumption and L is labor. The production technology is Y=(1.6)L-(1/2)L2 . The turnover cost per labor is (0.36)/(w/p). What happens to t as real wage i..
Does aggregate accounting enable us to measure also analyze how much a nation is producing also consuming.
What is anticipatory repudiation? Why is it important to be able to identify this type of a breach? How does it benefit the non-breaching party? What are the elements of negligence? What kind of damages are available under a negligence claim?
With the current level of capital is the marginal product for capital 0,12. The rate of depreciation is 6%, the nominal interest rate of a company loan is 8% and the expected rate of inflation is 3%. Should the company increase its level of capital? ..
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