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Arbitrage Pricing Theory
Arbitrage defines the procedure of continuously buying a security for privacy, currency, or commodity on one market and selling it in another. Price variations between the two markets give the arbitrageur his or her profit. The arbitrage pricing theory is based upon the concept of arbitrage, and define how assets should be valued if there were no riskless arbitrage opportunities. When security markets are competitive and effective, then chances to profit from arbitrage should be nonexistent.
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Consider two hypothetical nations, Solowia and Growia, which are defeated in wars. These two nations were suffered from wars differently; the damage is on capital stock in Solowia,
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Given the cost function as C=0.3Q3 -2Q2 + 13Q + 25, find the supply function.uestion..
if tc is 200 what will be marginal cost?
concept of supply
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what is the meaning of total revenue?
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