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A couple wishes to borrow money using the equity in their home for collateral. A loan company will loan them up to 70% of their equity. They purchased their home 11 years ago for $74,102. The home was financed by paying 15% down and signing a 30-year mortgage at 9.6% on the unpaid balance. Equal monthly payments were made to amortize the loan over the 30-year period. The net market value of the house is now $100,000. After making their 132nd payment, they applied to the loan company for the maximum loan. How much (to the nearest dollar) will they receive?
A market is characterized by a demand curve that can be expressed as P = 400 – 5 Q. Each of the firms currently serving the market has a total cost function of the form C = 50 q. There are no fixed costs. compute the present value of a stream of prof..
How much is your currency worth (its value in terms of another currency)? How do you know the value of currency? What factors influence the value of a currency? What happens to currency values each day, and why?
Suppose the market price of tuna is $3.50/pound. Explain how many fisherman should the company use if the daily wage rate is $100.
The terms of trade between two countries refer to
Discuss each of the pricing strategies below. What conditions are necessary to make each strategy successful in terms of increasing profits?
An industry consists of four firms with sales of $300,000, $700,000 and $250,000, and $400,000. Calculate the Herfindahl-Hirschman index. Calculate the four-firm concentration ratio.
Why does the government intervene in the economy? Should they and what would the impact be if they did not?
Discuss the information asymmetry, the adverse selection problem,and why soft selling is a successful signal.
Miley Cyrus, under the conditions of a court order, is required to enroll Summer session at Kardashian College. She is granted $50 a week to spend: either on energy drinks at $2.50 each or on gasoline for her Bentley at $4.00 per gallon. In part a), ..
Using the Solow growth model with no technology growth and no population growth, write the fundamental equation of capital accumulation per capita and plot the time series for capital per capita, output per capita and consumption per capita when ther..
Explain and distinguish between professionalism and professionalization from the Bayles reading, and provide one example of each. Be sure to apply Bayles’s 3 central features of the professions appropriately in your answer.
"Consider the following statement: "Employers should be able to replace permanent workers during a strike." Do you agree? Explain why."
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