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El Paso Water Utilities (EPWU) purchases surface water for treatment and distribution to EPWU customers from El Paso County Water Improvement District during the irrigation season. A new contract between the two entities resulted in a reduction in future price increases in the cost of the water from 8% per year to 4% per year for the next 20 years. If the cost of water next year (which is year 1 of the new contract) will be $260 per acre-foot, what is the present worth of the savings (in $/acre-ft) to the utility between the old and the new contracts? Let the interest rate equal 6% per year.
Please show all the step using interest factor tables.
A cubic total cost function is expressed as TC=a+bq+cq^2+dq^3 if a=0 b=400 c=-50 and d=5 then. What are MC (Marginal Cost) and ATC (Average Total Cost) respectively equal to? At what output levels are MC and ATC respectively minimized?
Adam Smith, usually referred to as the father of economics, expounded the theory of free markets and opposed any form of concentration of economic power. What are some of the reasons for this failure? Has government intervention into competitive mark..
Give an example of useful Chi-Square Goodness-of-Fit Test. What problems might there be in getting the data for the test? How would you deal with the problems?
Examine advantages and/or disadvantages of distributing market pesticide permits to each farm operating in eater shed equal to 40% of current levels of use of that pesticide, versus simply ordering each farm to reduce pesticide issues to 40% of cu..
This would be ideal because he would have the same number of pretzels as he would soda leaving no money left to spend.
As you may be aware, most Sports Stadiums or Event Arenas – which are constructed using tax dollars. The Cardinals stadium was financed using a sales tax on Rental Cars and Hotel Rooms. Are these facilities Public Goods or Private Goods? Explain why?
Find an article (newspaper, magazine, or online) talking about any of the core issues or scarcity resources of economics. Use an article to answer the questions: What core issues or resources does the article talk about?
Economists oppose limiting economic growth possibilities because such limits would inevitably involve
how would two of the rbas policy objectives are conflicting? please give an example. which of the goals would the rba
Suppose that the following equations describe an economy, where C, I, G, T, and Y are measured in billions of dollars, and r is measured in percent (i.e. r=10 means r=10%). C = 170 + 0.6(Y-T) T = 200 I = 100 – 4r G = 350 Money demand L = 0.75Y – 6r M..
Why might European Monetary System provisions for the extension of central bank credits from strong-to weak-currency members have increased the stability of European Monetary System exchange rates?
There are only two consumers: Bill and Ted, and two goods: apples and bananas. Bill and Ted like apples and oranges. Bill is always willing to subsitute 1 apple for 3 bananas. Construct an appopriately sized Edgeworth box for them. s the initial allo..
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