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Pitt and Penn State must decide on next year's in-state tuition for full-time undergraduate studnets.  Pitt plans to increase Pitt tuition by 4% plus on half o Penn State's percentage increase in tution.  Similarly, Penn State plans to increase Penn State tuition by 3% plus two thirds of Pitt's percentage increase in tution. Find the percentage increase in tuition at both universities.  Whose tuition increase is the highest?
Determine the present worth of 5 annual deposits of $1,200 at the end of years 1 through 5, followed by 4 equal annual withdrawals of $700 at the end of years 4 through 7. Note that both years 4 and 7 will have a depsoit and a withdrawal. Interest..
The initial price of cup of coffee is $1.00 and at that price, 400 cups are demanded. If the price falls to .90, the quanity demanded will increase to 500. a) calcuate the (arc) price elasticity of demand for coffee
Imagine that the current price of waste disposal is $0.025/lb and the average waste disposal is 2.40 lb/p/d. When the price was previously $0.01/lb, the average waste disposal was 2.52 lb/p/d. Assume that the marginal social cost of waste disposal..
On a tropical island there are 100 potential boat builders, numbered 1 through 100. Each can build up to20 boats a year, but anyone who goes into the boatbuilding business has to pay a fixed cost of $19. Marginal costs differ from person to person..
His first year's salary is $52,000, and he expects the salary to grow 4% each year. How much will be in his account after he makes the last deposit? What uniform amount can he withdraw from the account for 25 years beginning one year after his las..
A monopolist's inverse demand function is P = 150 - 3Q. The company produces output at two facilities; the marginal cost of producing at facility 1 is MC1(Q1) = 6Q1, and the marginal cost of producing at facility 2 is MC2(Q2) = 2Q2. Provide the eq..
Suppose nominal GDP in 2005 was $15 trillion, and in 2006 it was $16 trillion. The general price index in 2005 was 100, and in 2006 it was 103. Between 2005 and 2006, real GDP rose by what percent
Director of marketing at Vanguard Company believes that sales of the corporation's Bright Side laundry detergent (S) are related to Vanguard's own advertising expenditure,
A domestic shoe company distributes running shoes and tennis shoes for $95 per pair. the marginal cost of producing a pair of running shoes is $60, and the marginal cost of producing a pair of tennis shoes is $45. A Chinese retailer offers to purc..
Assume that Y = real GDP. Then from the expenditure approach, Y = C I G NX. On p. 306 Exhibit 14.10 of the textbook, all C, I, G, and NX are the non-price determinants of AD. Suppose we use C, I, G, and NX as indicators during business cycles, the..
What is the risk (standard deviation) that this investment manager has assumed in his calculation if it is known that returns are normally distributed with a mean of 5.6%?
Assume that the marginal cost (supply) of influenza vaccinations is constant at $40. Assume that everyone in society has health insurance that pays 80% of all medical services, including flu shots. Assume first that the flu is not contagious. Defi..
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