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You are the CEO of a manufacturing company. You manufacture a product and then offer it for sale to the general public. You recently have discovered that the product you manufacture is defective, and therefore, your product is harming people. You essentially have two options: 1) fix it, or 2) don't fix it. If you fix the problem, you will have to publicly announce the defect, provide corrective measures for customers who have already purchased the product, redesign the product to eliminate the defect, retool the assembly line to produce the redesigned product, and purchase damage control (positive marketing/media spin). If you do not fix the problem, then you will have to compensate any individuals who are injured by your product, and purchase damage control (positive marketing/media spin). Which alternative would you choose and why? What additional information would help you make the best decision?
At the end of that time a mild recesion slowed the development so the parties signed another contract for $190,000 per year for 2 more years. Determine the present worth of the two contracts at an interest rate of 10% per year.
Maria decides to switch a major and is now a student in business. in period 2, she will have a BA in business and her income will be $88000. determine Maria's lifetime wealth. determine consumption and sacving of maria in period 1 and period 2.
Consider a model of the influence of the average number of cigarettes the mother smoked per day during pregnancy on infant birth weight. The following simple regression model was estimated with data on n = 1388 births.
This year 200 workers will lose their jobs, 170 workers will return to the labor force after an absence 1100 workers will voluntaryly leave their jobs, and 50 new workers will enter the labor force. At the same time 726 workers will find jobs, and ..
The owner of a corner lot wants to fiind a use that will yeild a desirable return on his investment. After much study and calculation, the ower decides that the two best alternatives are to "build gas station" or to "build soft ice cream stand".
Suppose the money supply is currently $500 billion and theFed wishes to increase it by $100 billion. If it decided to change the money supply by changing the required reserve ratio, what change should it make
Use the following information to calculate total revenue, marginal revenue, and marginal cost. Indicate the profit-maximizing level of output. If the price was $3 and fixed costs were $5, what would variable cost be? At what level of output would ..
Montana is home to a number of firms offering wilderness hunting experiences to wealthy city dwellers. However, the profits of such firms depend on how crowded the "wilderness" is and how many deer are available.
What deposit must be made each month until the man retires so that he can make annual withdraws of $40,000 in terms of today's dollars over the next 15 years following his retirement.
an electronic device is available that will reduce this years labor cost by 10000. the equipment is expected to last
Consider a simultaneous move quantity-setting game with two firms facing a demand curve p = 100 - q. Both firms have marginal cost of 20. Suppose one firm maximizes profit and the other maximizes revenue, but both take into account the other firm'..
Run OLS to estimate the inverse demand function(P = f(Q)), determine how much confidence do you have in this estimated equation? Apply algebra to then find the direct demand function
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