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A mechanical engineer must recommend a new heating system to a commercial building owner. The owner intends to sell the building in 15 years. A gas fired furnace option has a design life of 5 years, an initial cost of $10,000, a replacement cost of $6,000 and annual operating costs of $3,500, but adds no value to the building when sold. A geothermal heat pump system has a design life of 10 years, an initial cost of $19,000, a replacement cost of $10,000, annual operating costs of $2,500, and increases the value of the building by $5,000, when it is sold at the end of year 15. Determine the equivalent uniform annual cost (EUAC) of costs for the option the engineer should recommend at an interest rate of 5.2%. Express your answer in $ to the nearest $10.
q1. using supply and demand analysis to predict the effect of e-commerce on equilibrium output and equilibrium price of
What are the three tools involved with balance of payment details? What are some of the impact the Federal Reserve actions have? What are the types of tariffs?
Assume the MTA’s production cost curve is given by C=1,200,000,000 + 3.5q where q denotes the number of subway trips. From past fare changes we know that a 20% drop in fares will increase the number of transit trips by 4%. Calculate the first-best tr..
Analyze the business cycle. What are the determinants of aggregate demand? Examine changes in aggregate demand and aggregate supply, using the data from Step 1 and Step 2. How do these changes affect the business cycle?
A construction site uses two types of workers – skilled (S) and unskilled (U). They produce feet of new pavement (Q) per day according to the production function Q = 100S -5S2 + 50U – 5U2 Skilled workers are paid $200 per day, while unskilled workers..
Although there seems to be a great demand for your bread, why would productivity decline when you hire more labor in the short run?
If buyers pay $8 per unit to the intermediary but sellers offer to rebate part of that expense to buyers.
A farmer has a production function f(L) where the input is capital (L). The cost of this loan is L(1+i). The farmer also has an outside option (loan from family member) which generates a profit of A.
The Able Corporation is considering the installation of a small electronic testing device for use in conjunction with a government contract the firm has just won. Assume that Able pays 40% federal and state corporate income taxes and uses 8% after-ta..
In sharp contrast to the oil shocks of the 1970’s, the price of oil substantially declined in the early part of the 1990’s. Can this explain the good performance of both inflation and unemployment in the 1990’s? What has been the probably effect on t..
Consider the market for baby cribs. The market for baby cribs is given by Qd = 140 - 0.2p and the market supply of baby cribs is given by Qs = 0.2p - 20, where Qd is the quantity of baby cribs demanded in millions, Qs is the quantity of baby cribs su..
Draw in excel an isoquant that shows little substitution between two factor inputs and on that shows large substitution. Vertical represents capital and horizontal represents labor
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