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The crockett Land Winery must replace its present grape-pressing equipment. The two alternatives are the quick-skwish and the stomp-master. the annual operating costs increase by 12% each year as teh machines age. If the interest rate is 9%, which press should be chosen?
Gomez runs a small pottery firm. He hires one helper at $12,000 per year, pays annual rent of $5000 for his shop, and spends $20,000 per year on materials. He has $40,000 of his own funds invested in equipment (pottery wheels, kilns, and so forth)..
PA = 9.6 - 0.08QA PCS = 4 - 0.05QCS where PA is the adult prices, PCS is the child/senior citizen price, QA is the adult quantity and QCS is the child/senior citizen quantity. Crowding is not a problem at the museum, and so managers consider a mar..
A delivery truck costs $30,000 and has a salvage value of $5,500 after 6 years. Maintenance and operating costs are $8,500 for the first year and are expected to increase at 6% per year. What is the equivalent annual cost of owning and operating t..
John is planning to retire in 15 years. He wishes to deposit an equal amount (A) every 6 months until he retires so that, beginning one year after his retirement, he will receive $30,000 for the next 15 years.
The system is expected to generate positive cash flows over the next four years in the amounts of $350,000 in year one, $325,000 in year two, $150,000 in year three, and $180,000 in year four. Rent-to-Own's required rate of return is 8%.
Consider the "Odd Couple" game. Felix and Oscar share an apartment, the state of cleanliness of which is a public good. It takes 12 hours of work per week to make the apartment spotlessly clean, 9 hours to be livable, and anything less leaves the ..
Assume that you are going to buy a car work $25,000. You will be able to make a down payment of $3,000. The remaining 22,000 will be financed by the dealer. The dealer computes your monthly payment to be $547.47 for 28 months of financing.
At a product price of $ 40, how many units will this firm produce in the short-run b)At a product price of $ 50, how many units will this firm produce in the short-run c) At a product price of $ 60, how many units will this firm produce in the short..
Macromedia is a relatively new company that offers computer training seminars on a variety of topics. In the seminars each student works at a personal computer, practicing the activity that the instructor is presenting. To introduce themselves to ..
Susan is considering buying a 2011 Smart ForTwo costing $21,635 and finds that the retaining values of the vehicle over next five years are as follows: Percent of the total value retained after 36 months: 28% Percent of the total value retained aft..
The federal government is considering three sites for mineral extraction in the national wildlife preserve. The cash flow ($ million) associated with each site are given below Initial cost Annual cost Annual benefits Annual dis-benefits Site A 50 3 2..
If the industry is regulated in a way that requires it to set P = AC, how much will be sold and what will the price be c) If the industry is regulated in a way that requires it to set P = MC, how much will be sold and what will the price be
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