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The football coach at Midwestern university was given a 5 year employment contract that paid $225,000 the first year, and increased 8% uniform rate in each subsequent year. At the end of the first year the alumni demanded that he be fired. They agreed to buy his contract by paying him the equivalent present sum, computed using 12% interest rate. How much will the coach receive?(Teacher's note - Assumptions- you are required to compute the remaining 4 years of his contract and he gets paid in full at the end of each year. Also repeat the problem using 8% interest instead of 12%)
1.)Calculate the marginal tax rate (MTR) and average tax rate (ATR) for a person earning $15,000 and one earning $35,000. 2.)Is this tax system progressive, regressive, or proportional Describe fully 3.)Is it ever possible for the MTR = ATR When
One of these is the Standard model, while the other is the Deluxe model. The profit per unit on the Standard model is $60, while the profit per unit on the Deluxe model is $40. The Standard model requires 20 minutes of assembly time
Doug wants to go into the donut business. For $500 per month he can rent a bakery complete with all the equipment he needs to make a dozen different kinds of donuts . He must pay unionized donut bakers a monthly salary of $400 each.
Consider the case of two countries that start with equal levels of GDP. The growth rate of the first country is 3% while the growth rate of the second country is 4%. After 25 years, the level of GDP in the second country is more than 25% larger.
A high-tech stock has the following potentials of either going up or down in next twelve months based on investment analysis of several stockbrokers.Potential Associated Increase Probability /DecreasePercentage as a young enterprising engineer, are..
Caroline Krause earned a salary of $1,000,000. (a). How much Social Secruity tax did she pay (b). How much Medicare Tax did she pay (c). What is her marginal tax rateon her federal personal income tax
L Q MPL APL 1 3 +3 3 2 6 +3 6 3 16 -10 -5.33 4 29 -13 -7.25 5 43 -14 -8.6 6 55 -12 -9.17 7 58 -3 -8.29 8 60 2 7.5 9 59 -1 -6.56 10 56 -3 -5.6 b). plot the (i) total product, (ii) marginal product, (iii) average product functions.
Given MPC (marginal propensity to consume) = 0.80, if the government implements an expansionary fiscal policy as (a) cutting taxes by $1 trillion, then by how much would total spending increase over an infinite period.
Suppose that two identical firms produce widgets and that they are the only firms in the market. Their costs are given by C1 = 60Q1 and C2 = 60Q2, where Q1 is the output of Firm 1 and Q2 the output of Firm 2.
Suppose that the inverse demand function for renting a beach-front property in Ocean City, New Jersey, during the first weel of August is p=1,000 - Q + Y/20, where Y is the median annual income of the people involved in this market, Q is quantity,..
On january 1,2005, a person's saving account was worth $200,000. Every month thereafter, this person makes a cash contribution of $676 to the account. I f the funds is expected to be worth $400,000 on january 1,2010
a) Find the Marginal Product and use this information to determine where diminishing returns sets in. b) If labor costs $684 per unit, find the Marginal cost at Q = 30, Q= 50 and Q = 69. Round any decimal answers to 1 place. Explain how these answ..
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