### Which process should be selected to calculate interest

Assignment Help Econometrics
##### Reference no: EM13209487

A new alloy can be produced by Process A, which costs \$200,000 to implement. The operating cost will be \$10,000 per quarter with a salvage value of \$25,000 after its 2-year life. Process B will have a first cost of \$250,000, an operating cost of \$15,000 per quarter, and a \$40,000 salvage value after its 4 year life. The interest rate is 8% per year compounded quarterly. Using present value analysis which process should be selected?

#### Capital from the point of view of the manufacturer

Marshall, in another portion of his book, states that land is but a particular form of capital from the point of view of the manufacturer. Is this a contradiction? Explain.

#### Calculate gross domestic product

In a simple economy, suppose that all income is either compensation of employees or profits. Suppose also that there are no indirect taxes. Calculate gross domestic product

#### What is probability distribution of equivalent construction

a road between fairbanks and Nome, alaska, will have a most likely construction of \$4 million per mile. Doubling this cost is considered to have a probability of 30%, and cu

#### Calculate the point price elasticity of demand and income

(a) Calculate the equilibrium quantity and price for peaches. (b) Calculate the point price elasticity of demand and point income elasticity for peaches at the equilibrium.

#### Calculate the lowest price level that might occur

Suppose that the Fed is required to keep the inflation rate between 1 percent and 2 percent a year but with no requirement to keep trend inflation at the midpoint of this ra

#### Why did the firms institute this program

In 2002, seven pharmaceutical companies announced a plan to provide low-income elderly people with a card guaranteeing them discounts of 20% or more on dozens of prescriptio

#### Gross domestic product effect on computer hardware industry

Make an in depth analysis on how your prediction of indicators Gross Domestic Product, Producer Price Index and Retail Sales or PC Retail Sales will effect the Dynamic Random

#### How many people can be paid before bank runs out of assets

Consider the model of demand deposits described in class. Suppose N=900,y=10,v^k-?=0.9,and X=1.2. Let each person have a two-thirds chance of being a type 1 and a one-third

### Write a Review 