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Suppose that Marr's utility function for Wegmans' ice cream (W) and Tops' ice cream (T) is U= W+T. The price of Wegmans' ice cream is $5 and the price of Tops' ice cream is $4. Mary has 100$ to spend. Find the optimal bundle that maximizes Mary's utility. Show that Mary's optimal consumption bundle on a graph that shows her budget line and indifference curves. Specify the values of the y-intercept and x-intercept of the budget line.
Consider the project balances in Table P5.19 fro a typical investment project with a service life of four years. Determine the interest rate used in computing the project balance. Reconstruct the original cash flows of the project.
You run a game day shuttle service for parking services for the local ball club. Your costs for different customer loads are 1: $30, 2: $32, 3: $35, 4:$38, 5: $42, 6: $48, 7: $57 and 8: $68. What are your marginal costs for each customer load level? ..
You have initial wealth of $500 and are offered the following gamble. You flip a coin and if you get heads, you win $1000. If you get tails you lose $500. What is the expected value of the gamble?
Based on the article Nearshoring in Latin America, what are the short- and long-term implications of nearshoring given the current economic conditions?
Compute the amount of taxes at natural GDP. Compute the N.E.D (Natural Employment Deficit/Surplus). Express as a percentage of the natural GDP (YN). Policymakers decide to reduce the size of the N.E.D (natural deficit) by 8% of the natural GDP. What ..
Administrative agencies: Select one: a. Rarely have both the power to issue regulations and the power to investigate when such regulations have been violated b. May make regulations that are advisory in nature, but cannot make regulations that have t..
The annual maintenance cost is estimated to be $100K. A major renovation at a cost of $50M is required every 100 years. What is the capitalized cost of the bridge at an interest rate of 5%?
If the value of M increased from 50,000 to 60,000 also nothing else changed which would equilibrium price increase or decrease. Would the equilibrium quantity increase or decrease.
illustrate what way is Per Capita GDP a better measure of economic well being than GDP. How does this relate to economic problems in the undeveloped world.
A firm has estimated that the demand for its product comes from two types of customers, type I and type II. Each type I customer -there are 30 of them- has a demand curve given by Q = 20 - P, while each type II customer -there are 50 of them- has a d..
How did slavery impact the economy in the South and the North differently
From a Producer’s point of view, describe the different kinds of Inflation, explaining how each can affect an overall economy in the short term and also the long term and specifically how you (the producer) would be affected in each case.
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