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A perfectly competitive firm will shut down immediately when the market price falls below
(a) average variable cost.
(b) average total cost.
(c) average fixed cost.
(d) marginal cost.
(e) None of the above.
Determine how sensitive the decision to invest in the new facility is to the estimates of initial cost and net annual revenue. Use a MARR of 4% per year and a 5-year study period.
hat same article reports that shakeup of upper-management is over at U.S. industries and that over next decade re will be a nationwide surge in demand for MBA's. How will se events affect your industry's ability to expand its own base of MBA's.
Suppose that one year has elapsed, you have received the first payment of 600$, and the market interest rate is still 5%. How much would another investor be willing to pay for your security?
The truck's market value is expected to decrease by $2,500 each year it is in service. If the company plans to keep the truck for only two years, what is the annual worth of this investment? The MARR=18% per year.
Elucidate how each of these implications have or have not been utilized in to company.
BigBiz, a local monopsonist, currently hires 50 workers and pays them $6 per hour. To attract an additional worker to its labor force, BigBiz would have to raise the wage rate to $6.25 per hour. What is BigBiz's marginal factor cost?
What information would you use to make predictions about the economic demands and probable settlement for a particular union-management negotiation?
Consider options on Microsoft stock. Suppose that there are call options with a strike price of $10 and put options with a strike price of $10, both with the expiration date of January 16th. Compute the gross profit
One important difference between an entrepreneurs also a manager is which the former gets into a market before demand increases, while the later gets into the market after the shift.
Metro Limo also Urban Limo, operate nine passenger vans. These duopolists cannot compete with price, but they can compete through advertising.
Elucidate how does that fact that many goods are non traded affect the extent of possible gains from trade.
Explain and graphically illustrate the effects of the tax cut on aggregate output, consumption, employment and the real wage.
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