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Suppose there are 100 indentical firms in the perfectly competitive notecard industry. Each firm has a short run total cost curve of the form
STC= 1/300 q3 +?0.2q?^2+4q+10
and marginal cost is given bySMC = .01q^2 + .4q + 4
a. calculate the firms short run supply curve with q (the number of crates of notecards) as a function of market price (P)
b. Calculate the industry supply curve for the 100 firms in this industry.
c. Suppose market demand is given by Q= -200P + 8,000. What will be the short run equilibrium price quantity combination.
d. Suppose everyone starts writing more research papers and the new market demand is given by Q= -200p +10,000. What is the new short run price-quantity equilibrium.
Let X denote the number of rainy days on the coming weekend. Suppose that there is a 20% chance of rain on Saturday and 50% chance of rain on Sunday. Assume that rain on Saturday and rain on Sunday are independent events, so that Prob(rain on Satu..
if the cost basis for a macrs 5-year property is $100000 and the equipment is sold for $20000 after 5 years of beneficial use, what will be the depreciation charges the 1st and 5th years and the book value at the end of the 5th year
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a. Calculate the percentage return on the security if the payoff to the security in one year is $1,000, $1,500, $2,000, or $2,500. b. If each of the outcomes in part a is equally likely, calculate the expected return on the security. c. Calculate th..
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You are planning to build a new home with approximately 2,000-2,500 gross square feet living space on one floor. In addition, you are planning an attached two car garage (storage space) of approximately 450 gross square feet.
The first provides foundation and structural details so that two additional stories can be added to the required initial two stories at a later date and without modifications to the original structure. by what time would the additional two stories ..
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