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It would not pay a firm to produce anything in the short run if price were:
A. equal to total revenue divided by output
B. below average variable cost
C. equal to marginal cost and above the average variable cost
D. below marginal average cost
E. above average total cost
Compare the consumption levels of workers in both countries. Explains the diversity between the countries.
A brochure reads, “Excellent interest rate of 12%.” Find the effective interest rate if compounding occurs quarterly, monthly, weekly, daily and continuously?
Illustrate what recording fee would you advise Johnny to demand from the record company.
The U.S. market for hand sanitizer is controlled by a monopoly (firm I, for incumbent) that has a total cost given by TC(qi) = 0.025qi^2. The market demand for hand sanitizer is given by P = 50 – 0.1Q. Show that the monopolist would need to commit to..
The price of oranges has risen dramatically. Which of the following is likely to happen?
A consumer’s income in the current period is y=100, and income in the future period is y’=120. He or she pays lump-sum taxes t=20 in the current period and t’=10 in the future period. The real interest rate is 0.1 or 10% per period. Compute the consu..
The inverse demand curve for sugar is P = 100−Q. There are two firms, C and D, who produce sugar. Firms produce sugar using a technology with a cost function characterized by C(Qi) = 20Qi where Qi is the quantity produced by each firm. What is the Be..
It will provide benefits of $4000 at the end of Year 1, $3,500 at the end of Year 2, and $3,500 at the end of Year 3. If the discount rate is 6%, will this project be approved using cost-benefit analysis?
Use the following information from the current year financial statements of a company to calculate the ratios below- Accounts receivable turnover. Times interest earned ratio. Divided yield ratio. Earnings per share.
Suppose that marginal propensity to save is equal to 0.25, and the government increases its spending by $200 billion. This new increase in spending is financed by a fresh increase in taxes equal to $200 billion. As a result of this, GDP will:
Outward Shift in the demand for capital occurs in an economic boom when increased construction of plants, buildings and other capital-intensive business activities requires huge outlays of investment. In this scenario, interest rates tend to rise alo..
If you were a manager at PepsiCo, would you try to convince your colleagues that introducing the new soft drink is the most profitable strategy.
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