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A machine costs $50,000, and increases revenues by $18,000 per year. However, O&M costs increase by $4,000 per year. The machine lasts 6 years and your MARR is 7% annual rate compounded annually. What is the Present Worth (or Net Present Value) and should you purchase this machine?
Consider an economy where there are N consumers, each of them having one unit of available time.
In which instance will total revenue decline?
As additional units are produced, the marginal revenue product falls for all firms because marginal product decreases. For firms operating in industries that are not perfectly competitive, marginal revenue product also falls because
Assume that two power plants, Firm 1 and Firm 2, release arsenic in a small urban community that exceeds the emissions standard. To meet the standard, 40 units of SO2 must be abated in total. The two firms face the following abatement costs:
Grandparents decided to start a college fund for their soon to be born granddaughter. They plan to make third first deposit the day she is born and plan to make the last deposit on her 10th birthday. They want the child to be able to withdraw 10,000 ..
What is the cost function associated with producing y units of output? Assume now that input prices are (w1,w2). What is the cost function associated with producing y units of output?
The price elasticity of demand for Pete's chocolate chip cookies is 1.5. Pete wants to increase his total revenue. Would you recommend that Pete raise his cost or lower his cost of cookies. Explain your answer.
What will happen in the international market for gold if news of war causes buyers and sellers to expect high gold prices in the future? Provide a brief narrative explanation.
The estimated regression equation is:
Draw a PPC with a bow and why it occurred, label all points and X & Y axis, show efficiencies and inefficiencies and describe with examples. Draw a supply and demand curve, label X & Y axis and show equilibrium. Show shortage and surplus and why they..
Which of the following are not assumed by economists to control for various factors that are not relevant or important to understand and analyze using a model a specific real life situation that economists are concerned with in a given situation?
Discuss the four Cs that are determinants of high performing teams, and explain how they contribute to superior performance of teams - Explain, in detail, how culture, structure, and systems can support or discourage teamwork.
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