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a. Fred’s Hardware and Hobby House expects its sales to increase at a constant rate of 8 percent per year over the next three years. Current sales are $100,000. Forecast sales for each of the next three years.
b. If sales in 2003 were $60,000 and they grew to $100,000 by 2007 (a four-year period), what was the actual annual compound growth rate?
c. What are some of the hazards of employing a constant rate of growth forecasting model?
Suppose the government increases purchases in an economy with a recessionary gap. How would this policy affect bond prices, interest rates, investment, net exports, real GDP, and the price level?
Derive the Iso-quant curve for this firm. Derive the Expansion path for the firm if w=1 and r=3. Derive the long run cost function if w=1 and r=3. What is the optimal capital and labor if you want to produce 500 units of output?
Price Elasticity of Demand and Price Elasticity of Supply at the equilibrium point.
her current consumption choice is four bottles of wine and 10 pounds of cheese. The price of wine is $10 per bottle, and the price of cheese is $4 per pound.
Some city governments require that all city employees live within the city limits. What impact does this have on labor supply and the elasticity of demand for employees of a city with such a requirement?
List and define five major challenges facing the healthcare delivery systems today. What is the Affordable Care Act (ACA)? Why was it passed? What are the potential benefits to healthcare organizations to be gained as ACA futures become implemented
The traditional management style of hospitals has been hierarchical and internally focused. What are three important challenges that face hospitals to accommodate new payer and consumer expectations?
What is the impact of free trade on domestic job creation policy? Elaborate with examples. What are the impacts of outsourcing and off-shoring on trade liberalization (globalization) and economic structure?
In 2013, American Airline wa charging $ 2,386 for round trip, non-stop and unresticted ticket between Boston and Dallas, but the price has been cut in half to $ 1, 698. (1) What can you say about the price elassticity of business travel damand on tho..
There have been some discussions about the possibility of IRS applying only a flat tax rate in the future to every individual's income in order to calculate the individual's share of income tax.
A monopoly firm faces a demand curve given by the following equation: P = $500 − 10Q, where Q equals quantity sold per day. Its marginal cost curve is MC = $100 per day. Assume that the firm faces no fixed cost. Suppose a tax of $1,000 per day is imp..
Consider Solow's model when the production function is Y = 1000K0.3L0.7. The population growth rate is 2%, ? = 0.1 is the depreciation rate and s = 0.25 is the savings rate. Compute how much more output there is in this economy immediately thanks to ..
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