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Baldor, Inc. measures the marginal rate of technical substitution (MRTS) at MPL/MPK = 3. The prices of labor and capital faced by Baldor are such that currently W/R = 4.
a. Is Baldor minimizing its costs?
b. What can Baldor do to improve its situation?
In the absence of trade, what would the price of apples in terms of bananas be? Why?
Suppose the criminal can work legally for $700, or commit a crime in one of the neighborhoods. What is his optimal strategy?
How will this affect the presentation?
What is depreciation expense, and what is its purpose?
Why do you think they then began to decrease?What can be learned from the historical experiences of Costa Rica and Guatemala about internal conflicts, and about both positive and negative foreign influences?
Tiffany Baking Co. wants to arrange for $50 million in capitalfor manufacturing a new consumer product. The currentfinancing plan is 60% equity capital and 40% debt financing. Compute the WACC for the following financing scenario:
Determine how the sensitivity of the example of Section 18.2.6 is affected if the depth of the junction, instead of being 0.2 µm, is half the thickness of the cantilever.
What insights do we get for the transactions money demand from using the pro?t maximization approach that are not apparent from the cost minimization approach?
Argocy Associates a US based investment partnership, borrows €80.000.000 at a time when the exchange rate is $1,3460/€.The entire principal is to be repaid in three years, and interest is 6,250% per annum,paid annualy in euros.
What do the markets look like? How are they different? Which ban would be easier to enforce? Explain.
The following table gives the information regarding the units produced by one factory located in qatar. Complete the table and answer the questions below.Marginal Cost,Marginal Profit,Marginal Revenue,Total Profit for each Unit of output Total Rev..
Calculate the monopsonist's optimal quantity of labor. What wage rate must the monopsonist pay to attract this quantity of labor?
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