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A construction firm can achieve a $15,000 cost savings in Year 1 and increasing by $2,000 each year for the next 5 years by upgrading some equipment. At an interest rate of 15%, what is the equivalent annual worth of the savings?
Which of the following might logically be reasons used in support of a value added tax for the federal government?Improve separation of revenue sources across the levels of government (federal, state, and local). Provide an increased economic incenti..
Jones Inc. has $22,000 to invest in securities down company on you'll 11% product or the corporate tax rate for Jones Inc. is 40% with 70% of the preferred stock dividends tax-exempt the investments are consider equally risky so the corporate control..
A company is considering replacing a machine that was bought six years ago for $50,000. The machine, however, can be repaired and its life extended by five more years. The seller of the new machine has offered a trade-in allowance of $15,000 for the ..
Suppose your neighbour likes to repair motorcycles in his front yard during evenings and on weekends, and he earns $400 per week from this work. If your neighbour has a right to operate this business, what is the efficient outcome? If you have a righ..
In order for price discrimination to exist
There are claims that China has been manipulating and continues to manipulate its currency. Do you think that China is manipulating its currency? If so, what does this mean to the U.S. economy? Should the United States attempt to force China to chang..
In the short run, if a firm is suffering a loss, it should a. always shut down to prevent further losses b. continue to operate as long as it can recover variable cost c. continue to operate as long as it can recover fixed cost d. continue to operate..
In 2012, the box industry was perfectly competitive. The lowest point on the long-run average cost curve each of the identical box procedures was $4, and this minimum point occured at an output of 1,000 boxes per month. What was the equilibrium price..
Explain how to structure her essay properly and illustrate what sorts of mistakes she should avoid making. Drawing on your prior writing experience, as well as knowledge you have gained from this phase, illustrate what advice do you offer.
In the first article it discusses how crude-oil prices increased and how that would hopefully get Russia and the Organization of the Petroleum Exporting Countries (OPEC) to go along with production cuts. A meeting in February is being arranged to dis..
Given the problem with gasoline prices that we faced not so long back, do you think the government should have intervened and imposed a price ceiling? What would have been the economic effects of this? Discuss the pros and cons, but remember to keep ..
The gains from specialization and trade are based on comparative advantage, which reflects the relative opportunity cost. When countries specialize in producing goods and services for which they have comparative advantages, total production in the gl..
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