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A monopolist has two types of customers. There are 100 of TYPE A, who will each pay up tp $10 for a single unit of the good, and 50 of TYPE B, who will each pay up to $8.00. Neither are willing to purchase additional units at any price. If it must find a uniform price what is the price? Assume that spending $80 on advertising will attract 100 more TYPE B customers. Should the monopolist advertise? If so what will happen to the price?
Recognize similarities and differences among common goods, public goods, private goods, and natural monopolies.
A business plan is a written summary of an entrepreneur's proposed venture, its operational and financial details, its marketing opportunities and strategy, and its managers' skills and abilities.The most effective way to communicate the values of ..
The wage paid to engineers is $4000, while technicians, who are not as skilled as engineers, receive $2000. The firm's budget on a particular project is $28,000. How many engineers and how many technicians should be hired in order to maximize p..
A firm has a cost function given by the following: Find the firm's production function, y= f(x1, x2).
Assume the firm can produce 5000 units of out put by combining its fixed capital with 100 units of labor and 450 units of raw materials. What are the total cost and average total cost of producing 5000 units of output?
A university spent $1.8 million to install solar panels atop a parking garage. These panels will have a capacity of 500 kw, have a life expectancy of 20 years and suppose the discount rate is 10%. If electricity can be purchased for costs of $0..
Mr. Smith is president of a firm that is the industry price leader; that is, it sets the price and other firms sell all they want at that price. The other firms act as perfect competitors.
Explain what could happen in the future with each of these trends below and come up with three(3) more trends not listed and do the same analysis for your three additions.
the rise of the dollar could batter the profits of some U.S. companies this year and slice into capital spending . a.which companies may have thier profits battered , and why b.why would this slice into capital spending
How would a downward change in the money supply affect you personally How would it affect your career What impact would rational expectations have on your decisions in this situation
1. Consider a one-year discount bond that pays $2,000 one year from now. If the rate of discount is 3 percent, calculate the present value of the bond.
Using the mortgage calculator spreadsheet available on VISTA, produce a graph which displays, for each month, the amount of repaid principal (also called normal paydown) and the interest paid when the nominal mortgage rate is r = 5.33% compounded ..
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