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Q. An existing company is considering expanding into a new product line that will use the same factory as its existing products. The fixed costs for the existing factory are $10,000 a year, where the factory currently produces 100 units. To launch the new line, the company would have to buy new equipment with a fixed cost of $1000. The cost of labor and capital to produce each unit of the new good is $60. The inverse demand for the new product is given by P=76 -.8Q.
What is the cost function for the new product line?
Kal Tech Engineering is investigating the possibility of acquiring new automated packaging equipment at a cost. Describe the equivalent uniform annual cost (EUAC) if MARR for the company is 10%.
the data contains the price of new and used taurus sedans. all prices for used cars are from 1995. for example a new
Do you see our communities growing closer together or further apart. One page double spaced.
Sketch a diagram that illustrates what happened to the Bridgewaters' budget constraint. Could they have been made worse off by the change.
Which of the two units would you recommend ? What initial cost of machine A woul make the two machines identical in overal cost?
you estimate that the price elasticity of demand for clinic visit is -0.25. you anticipate that a major insurer will increase the copayment from $20 to $25. This insurer covers 40,000 of your patients, and those patients average 2.5 visits per y..
"The cost of a bushel of wheat, which was $3.00 last month, is $3.70 today. The demand curve for wheat must have shifted rightward in last month and today." Discuss
Suppose that a certain country has an MPC of 0.9 and a real GDP of $500 billion. If its investment spending decreases by $12 billion, what will be its new level of real GDP?
Is there any range of production characterized by scale of economies. At Illustrate what production level are scale economies exhausted.
Illustrate what additional effects follow this initial effect. Illustrate what is total effect of tax cut on aggregate demand.
Assume which winemakers in the state of Indiana petitioned the state government to tax wines imported from other states.
By signing a trade agreement illustrate what does this imply as regards international trade theory of the Ricordian model.
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