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At the end of 2012 the prestigious Rolex watch manufacturer had in inventory of watches worth $725 dollars. In 2013, Rolex produced $333 worth of watches and sold $260. What was the change in inventories in 2013? (hint: careful with the signs, remember that this number can be positive or negative).
What will happen to Jill's consumption in first period when interest rate increases. Is Jill better off or worse off than before interest rate increase.
Use the following graph showing two budget lines, LR and LZ to answer the following questions. The consumer’s income is $720.
pecifies that the real wage will rise by 10 percent in the second year of the contract. The CPI is 1.00 in the first year and 1.1 in the second year. Illustrate what dollar wage must be paid in the second year.
q. for two weeks record the price and quantity of your purchases of a gasoline and b one other item you buy regularly
q.a monopolist faces the inverse demand for its output p 30 - q the monopolist also has a constant marginal and
Using your answers above, why does the growth rate of real GDP differ depending on the base year? Explain how the technique of Chain-Weighted Real GDP alleviates this problem.
Discuss how the two cases in this chapter illustrate the major theme of this text: changes in the macro environment affect individual firms and industries.
Assume a bank purchases a newly issued mortgage backed security (MBS) for $1,000. After the year, the value of the MBS has decreased to $750:
Explain how does global economic competition impact price elasticity in domestic market and decisions related to strategy a firm uses to compete.
Illustrate what will happen to the equilibrium quantity also price of a product in a competitive marketplace when the increase in demand exactly offsets the decrease in supply.
Your firm is considering the purchase of a machine that costs $75,000. It will be used for six years, and will have zero salvage value at the end of the sixth year. The firm’s combined state and federal tax rate is 40% and its after-tax MARR is 12%. ..
What Price is plotted on the vertical axis, and quantity is plotted on the horizontal axis.
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