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In the final round of a tv game show, contestants have a chance to increase their current winnings of $1 million to $2 million. if they are wrong, their prize money is decreased to $500,000. A contestant thinks his guess will be right 50% of the time. Should he play> What is the lowest probability of a correct guess that would make playing profitable?
When managed care was first emerging as the dominant form of health insurance, new MCOs competed fiercely for new enrollees, sometimes sacrificing short-term profit to increase their volume of policyholders. Why is the number of policyholders so impo..
Describe how the product has changed in price and explain whether the price change is due to supply or demand. Did the change in price affect your decision to purchase the item?
Given these market characteristics, what is the Lerner Index equal to (as a function of quantity)?
A newspaper has a monopoly on the local news market in a town. The market demand is given by P=1.70-Q/10,000, making the marginal revenue MR=1.70-Q/5,000. The marginal cost is constant at equal to 0.80. The fixed cost is 2,000. Variable cost is 0.80Q..
You purchased a bond for 9500 dollars. The bond matured in 4 years and you sold it for 111,000 dollars. The par value (face value) of the bond was 10000 dollars. Interest payments were made every 6 months. The personal rate of return you received (so..
q. the following is a report from a not-very-efficient bls survey taker there were 90 people in the houses i visited.
Suppose a caffeine-deprived man needs to wake up. Suppose his preferences on a day can be described by U=3*coffee+2*tea. If the price of coffee is $4 and the price of tea is $1. He has $12 to spend on these drinks on a day. Find his utility for the f..
A recession? How would your decision change if your firm's plant and equipment needed to be replaced? What if plant and equipment were new?
Suppose you are a thirty-year-old worker choosing between an IRA, a ROTH IRA and a regular brokerage account. Your marginal federal tax rate is 15% now and 15% in retirement. Compare after-tax returns on all three forms of investment. Rank the invest..
On the same day, the San Francisco Chronicle had an article with the headline "Sharp Drop in Bay Area Home Sales"
The average consumer income is $20,000, and the price of the related good is $1.10. Compute the predicted quantity demanded of X at these prices and income.
Your publishing house is about ready to release John Grisham's newest novel just in time for Holiday giving.
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