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1. When is the Best Time to Quit? Entrepreneurs are, by nature, stubborn. The late Dave Thomas, founder of Wendy’s Old Fashioned Hamburgers, often recounted how many of his friends and advisors recommended that he not start Wendy’s since the United States already had plenty of fast-food restaurants. Many new businesses fail, and knowing when to get out can be as important as when to keep going. Let’s say that you began a software design business after graduating from college. Your first year accounting profit is $25,000. Should you continue in the business or should you leave?
2. Related to Solved Problem 9.6 on page 297 In 2013, Sony announced that it had suffered losses selling televisions for the ninth straight year. Given the strong consumer demand for plasma, LCD, and LED television sets, shouldn’t Sony have been able to raise prices to earn a profit? Briefly explain.
question 1in a market demand for a consumer product is qd 70 - p. in this industry firms total cost is tcq 300
Studies have concluded that the dead weight loss of monopoly power in the United States is less than 0.5 percent of GNP. From your knowledge of the determinants of the dead-weight loss, explain why such a small figure is plausible.
In your answer, provide at least three examples of products for which quantity demanded remains unchanged regardless of a change in price.
Near new car is expected to earn an economic profit of $20,000 each year for the next years. the discount rate is 10 percent. Assume profits are received at the end of the year.
In a closed economy, marginal propensity to consume .6. If the economy opens up to world and marginal propensity to import is .4, using the Keynesian model of output determination;
Suppose a monopolistic competitor in long-run equilibrium has a constant marginal cost of $6 and faces the demand curve given in the following table:
A growing economy means that the economy is producing more and more "stuff", either because it has more resources (workers), or uses those resources more productively (smarter, better workers, working with better machines and systems).
Write a function named count_vowels to count the number of vowels (a, e, i, o,u) in each line of the poem. Print the line with the largest number of vowels and this number. If there is a tie then print all the tied lines.
Compute the price elasticity of demand.
Suppose the equilibrium price for apartments is $500 per month and the government imposes rent controls of $250. Which of the following isunlikely to occur as a result of the rent controls?
1. Suppose you can hire your mechanic for up to six hours. The total benefit and total cost functions are B(H) = 654H - 40H2 and C(H) = 110H + 120H2. The corresponding formulas for marginal benefit and marginal cost are MB(H) = 654 - 80H and MC(H) ..
The organization will pay a $11 dividend in thirteen years and will increase the dividend by 5.5 % every thereafter. If the required return on this stock is 13%.
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