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When he purchased his home, al silva borrowed $280,000 at 10% interest to be repaid in 25 equal end-of-year payments. After making 10 payments, Al found he could refinance the balance due on his loan at 9% interest for the remaining 15 years.
To refinance the loan, Al must pay the original lender the balance due on the loan, plus a penalty charge of 2% of the balance due; to the new lender he must also pay a $1000 service charge to obtain the loan. The new loan would be made equal to the balance due on the old loan, plus the 2% penalty charge, and the $1000 service charge. Should Al refinance the loan, assuming he will keep the house for the next 15 years?
Calculate the elasticities for each of the variables. On this basic, discuss the relative impact that each variable has on the demand. What implications do these results have for the firm's marketing and pricing policies.
Illustrate what effect will each of the subsequent have on the supply of auto tires
What is meant by "risk premium". Risk premiums on corporate bonds are usually anticyclical; that is, they decrease during business cycle expansions and increase during recessions. Why is this so.
In general terms, efficiency refers to:
Explain how the MAS have successfully used exchange rate policy to achieve price stability for the last two decades.
Illustrate what cost as well as quantity will result once the patent expires and competition emerges in this market.
A paper mill has leaked a toxic substance (chlorine) into the ground. Fixing the leak was very expensive so the paper mill chose not to fix the leak. Once local residents and local government discovered that the toxic was contaminating local water su..
Explain how the Fed's use of its three tools of monetary policy affect supply and demand in the market for reserves and the equilibrium federal funds interest rate.
Suddenly, 20,000 people immigrate from abroad and initially settle in the West. Elucidate why they possess the same skills as the native residents and also supply their labor inelastically.
The Economic Policy Institute periodically issues reports on wages of entry-level workers. The institute reported that entry-level wages for male college graduates were $21.68 per hour and for female college graduates were $18.80 per hour in 2011.
People should control water, not corporations. Water is a common resource and we all have an equal right to this precious resource and a responsibility to protect it. Pre-Paid Water Meters: Why they violate human right to water.
Demand curve is d1, what will be the change in her revenue. If her demand curve is d2 what will be the change in her revenue.
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