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Development of a new computer network requires $1,007,324 as first costs and $45,051 per year as operating costs. It will be in operation for the next 5 years bringing $542,338 as annual revenue over this period. It is also known that MARR is 15%, and the depreciation rate associated with the first cost is 20%. If you are asked to construct sensitivity graphs for (-20%, +20%) interval, what will be the slope of the line associated with operating costs in this interval?
According to the law of increasing opportunity costs,
Describe the relation between marginal and average costs. Describe the relation between marginal and average fixed costs. Describe the relation between marginal and average variable costs.
Given the short-run (SR) cost curve in the chart above for a firm in a perfectly competitive market, find the firm’s best output level and total profits when the market price is: a) $18, b) $13 c) $5 d) $3.
According to the augmented expectations hypothesis, if the yield on both one year bonds and two year bonds are the same, would you expect the one year yield in one year’s time to be higher, lower, or the same? Explain your answer.
Interest rate if no one else will give me a loan? Will I be better or worse off as a result of taking out this loan. How can you make a case for legalizing loan-sharking.
It appears that Very Vegetarian financial statements follow a very strict form. Why must accounting reports be prepared according to specific procedures (GAAP)? Is it permissible for businesses to be allowed some flexibility or creativity in p..
In a system of money which is based on Fiat Money. Who or what backs up the money? In other words, who do we trust with our money? What is the Number #1 enemy of your money?
Evaluate each of the supply and demand scenarios below by answering the following questions: •How will each affect equilibrium price and equilibrium quantity in a competitive market? •Will price and quantity rise, fall, or be unchanged?
Discuss the tragedy of the commons in a free-market economy. Address the following in your response: Explain the concept of the tragedy of the commons Can it be avoided in a true free-market economy? Why or why not? Identify three government actions ..
what are the similarities and differences between horizontal and vertical
Assume that you are going to start a small business of your own. Describe the business and, utilizing the concepts of this unit and the earlier units, discuss: What costs you would incur; What competition you might experience;
For 5 years you have owned and operated a small company, ABC Desks, that designs and manufactures high-end custom wooden desks. The business is incorporated and pays state and federal taxes separate from your personal income. Develop an Income Statem..
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