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Vera source Microprocessor Corporation (VMC) sells 2000 specialized computer processing chips each month at a price of $1,500 each. Variable costs amount to $1,500,000, and fixed costs are $500,000. Currently the company has a defect rate of 8 percent (which are chips returned by customers, scrapped by VMC, and replaced). Note that the variable costs include the cost of producing the defective chips. a. What is the hidden cost to the company of making this rate of defectives instead of 2000 good chips each month? b. Suppose a Six Sigma effort can reduce the defects to a six sigma level (assume for simplicity that the defective rate is essentially zero). What is the impact on profitability?
Compute the marginal tax rate as income rises from $100,000 to $200,000. Compute the corresponding marginal tax rates for the regressive and progressive tax systems.
Compute the HHI index for each of the following industries. Which industry is the most concentrated. An industry with five firms that have the following market shares.
With regard to consumerism, immigration, and nutrition, where do you find their critiques compelling.
elucidate explain why the cost structure associated with many kinds of information goods also services might imply a
q1. banking system presently has 200b of bank explanation none of which are excess. citizens clutch only deposits also
from the scenario assuming katrinas candies is operating in the monopolistically competitive market structure and faces
q.suppose the cfo of an american corporation with surplus cash flow has 90 million to invest and the corporation does
If the domestic price of oranges is $3.00 per pound and the world price is $2.50 per pound and if the nation allows unrestricted trade, what will be the result to consumer and producer surplus?
When workers already have a large quantity of capital to use in producing goods and services, giving them an additional unit of capital increases their productivity only slightly.
A 0.20-kg metal sphere oscillates at the end of a vertical spring.As the spring stretches from 0.13 to 0.21 m (relative to itsunstrained length), the speed of the sphere decreases from 5.3 to4.6 m/s. What is the spring constant of the spring?
Illustrate what are the advantages and disadvantages of acquiring inputs through this means. Give example not used in the textbook that uses this method of processing.
In late 2006 and early 2007, orange crops in Florida were smaller than expected, and the crop in California was put in a deep freeze by an Arctic cold front.
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