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It takes 1 hour to travel from New York to Washington D.C. by air and 8 hours by bus. The airfare is $190 and the busfare is $35. If a traveler wishes to minimize the total cost of making this trip, which mode of transportation should be selected if the traveler’s opportunity cost of time spent in transit is $10 per hour?
Demand, Supply, consumer surplus and Market Equilibrium. The following relations describe monthly demand and supply conditions in the metropolitan area for recyclable aluminum. What is the condition for market equilibrium? Calculate the market equili..
International businesses frequently face sourcing decisions and decisions about whether they should make or buy the component parts that go into their final products. Should the firm vertically integrate into the manufacturing of its own component pa..
The cash flows for two process alternatives, Machine A and Machine B, over a 15-year analysis period are shown below. Both machines require a refurbishing in the eighth year and the results in an increase in the annual benefit. Determine the incremen..
q.suppose that a pay equity plan has just been put in place in your organization. the pay equity consulting firm did a
A crew of mechanics at the Highway Department garage repair vehicles that break down at an average of λ = 8 vehicles per day (approximately Poisson in nature). The mechanic crew can service an average of μ= 11 vehicles per day with a repair time dist..
In a world of two goods (say, x and y) an increase in the price of x which is accompanied by money compensation for the income effect alone will lead to:
how many pineapples will she consume? If her income increases to $120, how many grapefruits will she consume? Are grapefruits a normal or inferior good?
Suppose that a monopoly bank faces an upward sloping supply curve of deposits R (D) = 1 + 0.02D, where D is the quantity of deposits and R (D) is the (gross) deposit rate. If one unit of deposits invested in loans yields a (gross) return of 10, what ..
What is the relationship of the business cycle between Canada or Mexico with the U.S. business cycle? What about the relationship of South Africa with the U.S. business cycle? What about the relationship between the business cycle of England and West..
Explain why Blazo's performance from providing these services to ABC Company and other firms will decline if economic growth is reduced.
Explain the key features of each of the the three generations of currency crisis models. Which of the three models best describes each of the financial crises discussed in this chapter? (Book-international finance and open-economy Macro economics by ..
Many studies on rats and mice have established that charred meat grilled over hot coals causes cancer. Since the government cannot easily regulate home cooking methods, an alternative method has been proposed to discourage the consumption of barbecue..
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