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Suppose that a particular industrial machine, when it is t years old, generates revenue at the rate R′(t)=7975−6t^2 dollars per year and that operating and servicing costs accumulate at the rate C′(t)=3400+20t^2 dollars per year.
How many years pass before the profitability of the machine begins to decline?
Compute the net profit generated by the machine over its useful lifetime.
In a world of two goods (say, x and y) an increase in the price of x which is accompanied by money compensation for the income effect alone will lead to:
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Which is true for a purely competitive firm in short run equilibrium?
The very recent past in Latin America suggested at least the possibility of a swing back toward populism. Research this question and decide whether current populism in Latin America is similar to past populist movements, especially by comparing econo..
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Two hospitals want to merge. The price elasticity of demand is 0.20, and each clinic has fixed costs of $100,000. One clinic has a volume of 9,200, marginal costs of $70, and a market share of 3 percent. What are the total costs, revenues, and profit..
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Suppose he is offered fair insurance with a $3000 deductible. What premium will he pay and what will be his expected utility with insurance.
The American Baker’s Association reports that annual sales of bakery goods last year rose 15 percent, driven by a 50 percent increase in the demand for bran muffins. Most of the increase was attributed to a report that diets rich in bran help prevent..
Illustrate what would be total incremental investment in accounts receivable and invent theory to support expected increase in sales.
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