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Assist in answering and explaining the following problem:
You operate your own small building company and have decided to bid on a government contract to build a pedestrian walkway in a national park during the coming winter. The walkway is to be of standard government design and should involve no unexpected costs. Your present capacity utilization rate is moderate and allows sufficient scope to understand this contract, if you win it. You calculate your incremental costs to be $268,000 and your fully allocated costs to be $440,000. Your usual practice is to add between 60% and 80% to your incremental costs, depending on capacity utilization rate and other factors. You expect three other firms to also bid on this contract, and you have assembled the following competitor intelligence about those companies.
Show all of your calculations and processes. Describe your answers in three- to five-complete sentences.
What price would you bid if you must win the project?
What price would you bid if you want to maximize the expected value of the contribution from this contract?
Defend your answers with discussion, making any assumptions you feel are reasonable and/or are supported by the information provided.
Why is comparative advantage significant in international trade? Identify the exchange rate that equalizes the prices of internationally traded goods across countries and briefly discuss the major functions this exchange rate serves.
The demand in Japan for new automobiles is elastic and sensitive to market prices. Given that, describe the effect of each of the following on the quantity demanded or the demand for new autos in Japan
question linear programmingcomplete the linear programming matrix at the end of the question with the appropriate
what was an example of the significant run-up in oil prices from 2005-2010. an aggregate demand shock that increased the price level and increased the rate of growth of real GDP.
List the approximate periods associated with the largest, the second largest, and the third largest declines in real GDP since 1970 - identify two periods associated with the highest unemployment rate since 1970.
A friend of yours expresses the opinion that the only resource that is important in the macroeconomy is money. He says, "The more money an economy has, the richer it is." How would you respond?
A monopolist's inverse demand function is P = 150 - 3Q. The company produces output at two facilities; the marginal cost of producing at facility 1 is MC1(Q1) = 6Q1, and the marginal cost of producing at facility 2 is MC2(Q2) = 2Q2.
health information systems can be divided into 4 categories clinical information systems management strategic decision
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Assume all firms operating in a competitive market have the following total cost function: TC = 2Q2- 8Q + 60 -What is the long-run price established in the market?
A cruise line offers a one week tour of Alaska for $2,400 per person. If more than 200 passengers join the tour, the price is reduced by $3 per additional pas- senger. The tour can accommodate 1000 passengers. What number of passengers maximizes t..
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