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Your group of rural cabin owners is considering a small renewable energy project that would average 100 kW of output year-round, with an expected lifetime of 20 years. The project has a capital cost of $280,000, and a salvage value of $30,000. The community currently pays $0.05/kWh for electricity. It uses a discount rate of 7% to assess these types of investments. What is the NPV for the project? Is it viable? (Note: assume no escalation of electricity prices.)
Explain how marginal analysis affects goods and services, efficiency, equity, and the market economy.
The Madison location is the central headquarters for Badger Widgets. They have a full IT staff along with an established network infrastructure that includes Windows Server 2008 servers
The demand curve for product X is given by QDx = 220 ? PX + 3PY + 0.001I where PY is the price of a related good Y, and I is income. The supply curve for good X is given by QSX =10+3PX. What is the marginal effect of an increase in PY on the equilib..
Illustrate what was your total revenue in dollars yesterday (be sure to include your commission). Why would your profit for the day be considerably less than this total revenue.
Woody's utility function is U(C, R)= C- (12-R)^2, where C is his consumption and R is the amount of leisure he has per day. He has 16 hours a day to divide between work and leisure. He has an income of 20$ a day from non-labour sources. If Woody can ..
Dene producer surplus. Using a graph, illustrate producer surplus for a rm with an avoidable fixed cost. Why is it convenient to focus on producer surplus when analyzing policy changes?
On one hand, the WTO's role in international trade is becoming more significant. On the other hand, its verdict on the Brazil's Embraer versus Canada's Bombardier case did not seem to solve the problem.
Assuming the most typical shapes of the demand and supply curves, which of the following could lead to an increase in the current equilibrium price for personal computers?
uppose that the two years have elapsed since you purchased the security, and you have received the first two payments of $600 each. Now suppose the market interest rate suddenly jumps to 10%. How much would another investor be willing to pay for your..
(Cournot's duopoly game with linear inverse demand and a quadratic cost function) Find the Nash equilibrium of Cournot's game when there are two firms, the inverse demand function is given by P(Q) = a - 2* Q and the cost function of each firm is
Do recent economics actions justify greater regulation in the financial services industry Wall Marts continuous replenishment system illustrates a tactical utilize of information services.
Explain how do economists distinguish between the absolute and relative sizes of the public debt. Why is the distinction important.
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