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A publisher is considering launching a new magazine for women in the 18–25 years age group. It is thought to be vital to the long-term success of the magazine that its sales should reach break-even point within its first year. When asked to make an estimate of the risk of this target not being achieved, the marketing manager, after some thought, states that she thinks the risk is only about 1 in 10. (a) Sketch out the key features of a risk analysis model which might be appropriate for this estimate and explain how the estimate would be obtained from the model. (b) Suppose that your risk analysis model suggests that the risk of not achieving the target is about 1 in 4. Explain why the estimate from the model might differ from the ‘holistic’ estimate of the marketing manager and discuss how the conflict might be resolved
What are the ethical issues in this case? Who are the stakeholders and what are their stakes? When dealing with VOIP, how do you decide between freedom and protection when enhancing one diminishes the other? On what basis are you making your decision..
I think people would agree that the one most ubiquitous tool for welfare measurement in the economic literature and in economic education is the notion of total surplus. Throughout it's history, total surplus has been criticized several times and on ..
A purely competitive firm finds that the market price for its product is $30.00. It has a fixed cost of $100.00 and a variable cost of $17.50 per unit for the first 50 units and then $35.00 per unit for all successive units. What is the average varia..
Consider an antique auction where bidders have independent private values. There are two bidders, each of whom perceives that valuations are uniformly distributed between $100 and $1,000. One of the bidders is Sue, who knows her own valuation is $200..
Discuss the short run and long run implications of the explanation for the aggregate economy.
The efficient market hypothesis states that:
q. budget constraint suppose that there exists two goods in the economy soybeans s and textiles t and their prices are
In the market of identical firms, the market demand function is Q=1000-1000P. The marginal cost is the same for all firms, mc=0.28. Characterize what is the firm’s optimal output and price when there is a single firm in the market. Characterize what ..
Which statement about institutionalization in organizations is most accurate? What was found in research on the effectiveness of self-managed teams? Which process is most likely to occur in an after-activity review? Members are most likely to experie..
Why is Germany now leading the charge for fiscal coordination? How has Germany’s reliance on the Eurozone countries contributed to its own economic slowdown?
Suppose that the government increases taxes and government purchases by equal amounts. What happens to the interest rate and investment in response to this balanced-budget change? Does your answer depend on marginal propensity to consume?
A manager tells his workers that they must perform their duties in the exact manner and order that he has commanded, with no exceptions. He is using
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