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In this problem, we consider replacing an existing water heater with an array of solar panels. The net installment cost of the panels is $1260($2100 less a 40% tax credit from the government) Based on an energy audit the existing water uses 190 kilowatt hour of electricity per month, so at $0.12 per kWh, the cost of operating the water heater is $22.8 per month. Assuming the solar panels can save the entire cost of heating water with electric, answer the following questions.
A) What is the simple payback period for the solar panel?
B) What is the IRR of this investment if the solar panels have a life of 11 years?
Assume an open, mixed economy. That is, foreign trade is part of the economy, and the economy includes both a public (government) and a private (consumers and businesses) sector. Will these actions by Congress expand or contract the economy or are th..
This question may require some research. The US-Mexico Bracero Program was eventually opposed by:
The attribute that distinguishes money from other assets is that only money. What determines the acceptability of dollar bills as a medium of exchange? When economists refer to the role of money as a standard of deferred payment, they mean that
Total hours worked, and average labor productivity all are procyclical. Which variable, output or total hours worked, increases by a larger percentage in expansions falls by a larger percentage in recessions.
For the past few years, Cuban baseball players have been leaving their country illegally to play professional baseball in the United States. (Ex. Yasiel Puig, Rusney Castillo, Jose Abreu). What laws in Cuba are restricting them from leaving legally? ..
What problem is the economy facing? Assume you are a governor on the Federal Reserve Board of Governors. What type of policy (easy money or tight money) would you recommend to fix the problem you identified in question 1? Which tool(s) would you reco..
Illustrate what are open-market operations? How are they conducted to fight inflation and recession. Write your answers completely.
a rich man has 1,000,000 in the bank earning 7% interest. He plans to give away 100,000 at the end of the year and to increase his gifting by 10% each year there after. How long with the million dollars last?
The marginal damage to your neighbor's business is a function of how many alligators you keep and the amount of money spent on a fence that separates your properties:
Your client is about to establish his own business and hire at least 10 employees. They ask you for advice concerning establishing a qualified vs. a non-qualified retirement plan. What do you advise your client?
What is the necessary requirement to turn a business idea into a business? If you don't have customers willing to buy your new product or service at a price that gives you a profit, do you really have a business?
These graphs describe the competitive dynamic model. Suppose that, in order to finance a government- sponsored health plan, the government needs to increase spending by 10%. The government plans to finance the higher spending with an increase in taxe..
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