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In evaluating projects, LeadTech’s engineers use a rate of 15%. One year ago a robotic-transfer machine was installed at a cost of $38,000. At the time, a 10-year life was estimated, but the machine has had a downtime rate of 28%, which is unacceptably high. A $12,000 upgrade should ?x the problem, or else a labor-intensive process costing $3,500 in direct labor per year can be substituted. The plant estimates indirect plant expenses at 60% of direct labor, and it allocates front office overhead at 40% of plant expenses (direct and indirect). The robot has a value in other uses of $15,000. What is the difference between the EACs for upgrading and switching to the labor-intensive process?
Assume you want to test the null hypothesis that the mean value of the bill in the box is 9 against the alternative that it is less than 9.
Inflation is forecasted to remain consistent with its target over the next 1-2 years. Inflation arises when:
Explain how each of the following will affect money supply, money demand, the interest rate, the price level, and real GDP. Use 2 graphs for each (one showing what happens to the money market, one showing the AS/AD model) a. The economy experiences a..
The following demand and marginal cost equations represent the demand for some service inside the firm. At what price should the service be sold? Would it matter whether there was an external market for this service? The demand function P = 30−2Q. Th..
Question 1: Consider the following sequential-move game between Ann and Bob.
Suppose demand for a good is QD = 50 - P and supply is QS = -10 + P. How much is the producer surplus? How much is consumer surplus?
If the demand for a commodity is elastic, an increase in the price of the commodity. Assume the cross price elasticity of demand for products A and B is positive.
During 2006 a leading auto manufacturer produced 20 million of minivans. However due to soaring gas prices the sale of mini vans becomes sluggish and by the end of 2006 only 16 million of mini vans are sold. what is the gdp of mini vans is ?
During the Allied invasion of France in 1944, the Germans had to decide where to place their defenses. They had three choices: they could concentrate their defenses at Calais, concentrate at Normandy, or split their defenses between both locations. D..
Despite this finding, the government mandates that new cars have air bags, rather than taxing their use. Is this policy a contradiction.
Assume that Omar's marginal utility for cups of coffee is constant at 1.5 utils every cup no matter Elucidate how many cups he drinks.
Think about a product that you have purchased recently (e.g. soda, diapers, takeout meals, milk, shoes, manicure/pedicure, video game, etc.)
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