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New six speed automatic transmission for automobiles offers an estimated 4% improvement in fuel economy compared to the traditional four-speed transmissions in front wheel drive cars. If a four-speed transmission car averages 30 miles per gallon and gasoline costs three dollars per gallon, how much extra can a motorist pay for fuel-efficient six speed transmission? Assume that the car will be driven for 120,000 miles over its lifetime of 10 years. The motorist can earn 6.69 % per year on an investment. Instructor hint: to get the correct answer you ust assume the person buys his gasoline at the end of each year.
What is the dominant source of capital funding in the United States? Given this result and the fact that most corporations are net borrowers, what decisions must most managers face in order to address this financial deficit?
Suppose that one year has elapsed, you have received the first payment of 600$, and the market interest rate is still 5%. How much would another investor be willing to pay for your security?
Illustrate what if, anything cans you conclude about the relationship between the prices of oil also the level of real GDP in the United States
How many books should Barnes & Noble order? What is their expected profit? How many books do they expect to sell at a discount?
utilizes the Keynesian cross to predict the impact on equilibrium GDP of equal-sized rise in both the government purchases also taxes
If there were 30 million employed Theralanders and Theraland had a job-separation rate of 15% per month, explain how many people would find jobs each month.
Suppose that they are negotiating with two non-drowsy allergy drugs, Claritin and Allegra, for inclusion on the formulary. The "value" or "surplus" created by including one non-drowsy allergy drug on the formulary is $100, but the value of the second..
A tractor costs $19,195 and will be used for 5 years, at which time its estimated salvage value will be $4,000. Maintenance costs are estimated to be $100 for the first year, increasing by $100 each year thereafter. If i=12%, calculate the equivalent..
Describe the common allegation that when all firms in an industry are charging the same price, this indicates the absence of competition and the presence of someform of price-setting agreement
State whether the following actions will increase or decrease GDP:
For each of the following statements, answer “agree” or “disagree,” and provide justification. “Omitting a relevant variable from a regression model generally causes bias in the OLS estimators.”
A problem with third-party financing of so much of health care is that
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