Q: 1.8. Consider a population of voters uniformly distributed along the ideological spectrum from left…
A: Nash equilibrium states that no one gains from a player changing their strategy as long as all other…
Q: A consumer of two goods has utility u(1₁, 12) = 1172. She can purchase each good i = 1,2 at a price…
A: Utility function : u(x1 , x2 ) = x1 + x1x2 Price of good 1 : P1 , Price of good 2 : P2 Income =…
Q: Refer to Figure 12-3. Suppose that government spending increases, shifting up the aggregate…
A: In economy, Price level is determined by the market forces Aggregate demand and supply. when AD=AS…
Q: WHAT IS THE PRINCIPAL AMOUNT OF P300,000.00 FUTURE PAYMENT TO BE MADE IN 5 YEARS AT 8% INTEREST…
A: Present value refers to the discounted value of a future cash flow . When we compute time value of…
Q: A 10% increase in the price of a good results in a 4% increase in total revenue. From this…
A: When price changes by a higher percentage compared to the quantity demanded it means that the demand…
Q: Marketers spend millions of dollars annually trying to create or reinforce brand loyalty. Brand…
A: Introduction Elasticity of demand refers to the percentage change in demand for a commodity with…
Q: Royalty receipts from your patented project are expected to begin five years from now. The…
A: Given information Amount at year 1=$50000 Annual increase=$2000 till 20 years Value at 0 year=$0…
Q: The populations of Abu Dhabi (National, Non-National, and Total) and UAE are shown in the following…
A: Here we are given the population data of Abu Dhabi and UAE. And we will calculate the respective…
Q: Which of the following is not included in GDP? 1) the payments for a chiropractor's services 2) cash…
A: The total monetary value of all services and goods produced by a country over a given time period is…
Q: Suppose a bank sells a 6-month at-the-money put option on 1 million GBPs. Current exchange rate is…
A: A trading approach for options called delta hedging tries to lessen or eliminate the directional…
Q: Foreign payments to capital, labor, and land owned by domestic entities minus payments to factor…
A: Since Gross National Product (GNP) is the sum of the monetary value of all final goods and services…
Q: Describe the natural rate of unemployment
A: Unemployment is a chronic problem which occurs when some workers are unable to get jobs in the…
Q: A consumer has preferences for two goods that are represented by the utility function u(1, 2) = 2√₁…
A: Utility function : U = 2(x1)0.5 + x20.5 Price of good 1: P1, Price of good 2: P2 Monotonic…
Q: Suppose that before tax was imposed 400 million gallons of gasoline was supplied at $3.00 per…
A: “Since you have asked multiple questions, we will solve the first question for you. If youwant any…
Q: 2. Using the data in Problem no. 1, construct an amortization schedule showing the principal at the…
A: As you mention above we are just solving part 2
Q: 2. If a higher inflation is expected, what would you expect to happen to the shape of the yield…
A: The theory of pure expectation:Market expectation theory is another name for it. According to this…
Q: whole story. Discuss what the unemployment rate is telling us. Explain what the unemployment rate…
A: In January , the working age population is given by 254.1 million Out of this , employed = 152.1…
Q: so possesses a technology that allows him to costlessly convert any quantity of grapes into e same…
A: The utility function establishes the connection between the overall utility attained by consuming…
Q: 9. Private solutions to correct for externalities Consider the following scenario: Suppose that a…
A: An externality is a cost or benefit brought about by a maker that isn't monetarily caused or gotten…
Q: If unbounded means unlimited or immeasurable, then why does does the unbounded will power definition…
A: Literacy is one of the important factors that affect the environment of society. A literate or…
Q: The populations of Abu Dhabi (National, Non-National, and Total) and UAE are shown in the following…
A:
Q: How long does it take (to the nearest whole year) for a money to quadruple in value when the…
A: Rule of 144 The final rule in line is the rule of 144. As evident, this rule tells how long will it…
Q: The populations of Abu Dhabi (National, Non-National, and Total) and UAE are shown in the following…
A:
Q: Which bonds are acceptable for investment? Justify your response with suitable computations
A: According to the rules, a bond's principle and interest must be repaid at the bond's maturity date…
Q: AN EQUIPMENT WAS PURCHASED FOR P500,000.00. END OF LIFE COST AFTER 25 YEARS IS P100,000.00. FIND THE…
A: We have, The cost of the asset is P500,000 Life is 25 years Salvage value (SV) is P100,000…
Q: In GDP= C+I+G+(N-X) "Net private investment" is I or what?
A: Gross domestic product (GDP) is the market value of final goods and services produced by an economy…
Q: Nissan is advertising a 24-month lease on the all-electric Leaf for $190 payable at the beginning of…
A: Nissan is advertising a 24-month lease on the all-electric Leaf for $190 payable at the beginning of…
Q: How much government revenue will be generated by the excise tax?
A: Revenue refers to the amount of money generated from selling a good or services. Government…
Q: The figure shows the total product curve for different levels of a variable input, labor. K A B C D…
A: The figure shows the total product curve for different levels of a variable inputs, labour.
Q: U.S. Steel is planning a plant expansion that is expected to cost $13 million. How much money in…
A: We have; Cost = $13 million Interest rate = 12% per year, with continuous compounding. Time = 2 year…
Q: A monopolist's inverse demand function is estimated as P=100-2Q. The company produces output at two…
A: Marginal revenue is the concept of a firm sacrificing the opportunity to sell the current output at…
Q: The rate at which a consumer is able to substitute one good for another is determined by the…
A: Consumers are defined as everyone who pays for a product and makes a purchase of it. Consumers are…
Q: What are the advantages and disadvantages of special interest groups within the democratic system of…
A: The various measures taken by the government to control and regulate the private sector in order to…
Q: A market is in long-run equilibrium and firms in this market have identical cost structures. Suppose…
A: Long Run Equilibrium is defined as the equilibrium that is achieved by a firm when it decides to…
Q: An engineer was promised to have an initial salary of 42500 and will then be increased by P500 per…
A:
Q: what does it mean that the optimum currency area is not the world but region?
A: “A Theory of Optimum Currency Areas.”, through which Mundell studied the optimal conditions or…
Q: magine a consumer - worker who has a total time endowment of T = 100 hours er week. He/She can use…
A: Utility is maximized by distributing the hours between the leisure and work. Wage affects the labor…
Q: A company borrows Php 200,000 for six years at 8%. At the end of six years, the company renew the…
A: Introduction An amount of money that is paid at one time : a single sum of money, The bonus is paid…
Q: A decision-maker with initial wealth w faces a probability of incurring a loss. If the loss occurs,…
A: Risk aversion is the tendency to avoid risk. Risk-averse investors prioritize capital preservation…
Q: A consumer of two goods has utility u(x₁, x2) = x²x₂. In addition to her wealth w, the consumer…
A: Utility Function : U = x12x2 Budget Constraint : p1x1 +p2x2 = w Optimal consumption point is…
Q: In Italy, firms pay tax on reported profits at a constant proportionate rate t€ (0, 1). If the…
A: Let, Audited Probability = P Non-audited probability = (1-P) Tax reported without an audit = tr…
Q: Investment is: A. Education, any new plant, equipment, additional inventory, computer software,…
A: Businesses invest while generating revenue through the provision of products and services. The…
Q: Price $0 $5 $10 $15 $20 A Supply of Grapefruits E 0 5 10 15 20 Both $10 Both $50 Both $200 B Print…
A: Consumer surplus is the difference between the price the consumer actually pays and willing to pay…
Q: What are the determinants of exchange rates? Do interstate rate differentials have an impact on…
A: Macroeconomics refers to the branch of economics that deals with the with performance, structure,…
Q: Find the amount at the end of two years and seven months if Php 1,000 is invested at 8% cq using…
A: Simple interest is a quick and simple way to calculate loan interest. The daily interest rate…
Q: Coal-fired electric generating facilities supply kilowatt hours (kwh) of energy according to the…
A: Supply of energy represents Private Marginal Cost (PMC) of energy. Qs=50+P P=Qs-50 : PMC Private…
Q: An industrial plant bought a set of equipment for 90,000. Miscellaneous expenses including…
A: Salvage value is the amount that company expects to get at end of useful life asset. Company…
Q: Question 5 The following monthly sales of chocolate boxes (in thousands of AUS dollars) have been…
A: forecasting is a procedure that involves verifiable information as contributions to make informed…
Q: Constant percentage method is based on the assumption that the annual cost of depreciation is a…
A: Depreciation is known as the wear and tear taking place in an asset due to usage. Over the years, as…
Q: Consider the average annual growth rate 3.51% of 2000-2005, forecast the nationals population in Abu…
A: It is given that: Year Abu Dabi Nationals Non-nationals Total 1980 90792 361056 451848…
4. A business generates an annual income of$50,000and a salvage value of$500,000in 10 years. How much would you pay for this to havei=10%?
5. Determine
Answer ASAP with proper explanation .
Step by step
Solved in 2 steps
- Investors sometimes fear that a high-risk investment is especially likely to have low returns. Is this fear true? Does a high risk mean the return must be low?What is a capital gain?Compute the price of a share of stock that pays a $5 peryear dividend and that you expect to be able to sell inone year for $40, assuming you require a 5% return
- The following is data for a manufacturing company:Begin Direct Materials $ 2,000 Direct Labor $ 5,000End Direct Materials 3,000 Begin Work-in-Process 4,000End Work-in-Process 6,000 Manufacturing Overhead 12,000Direct Materials Purchased 10,000 Cost of Goods Manufactured 24,000Cost Goods Sold ? End Finished Goods 9,000Gross Margin (Profit) ? Net Income ? Operating Expenses 6,000 What is the amount of Direct Materials used in production?PMF, Inc., is equally likely to have EBIT this coming year of $10 million, $15 million, or $20 million. It's corporate tax rate is 40%, and investors pay a 10% tax rate on income from equity and a 40% tax rate on interest income. What is the interest tax shield if PMF has interest expenses of $5 million this coming year? A. $2 million B. $4 million C. $0.3 million D. $2.25 millionTom and Sue had W-2 earnings of $100,000 last year. They deposited $5,000 into each of their IRAs from money that was in their checking account. They also sold their five year old car for $1,000 less than it was worth. Due to a slow down in the housing market, the value of their home decreased by $25,000. What is their change in net worth? a. No change b. Minus $19,000 c. Minus $26,000 d. Plus $9,000 e. Plus $74,000
- Richie Rich has applied for a home equity loan. The bank on its part has estimated the market value of Richie's property at $750,000. If the amount of existing mortgage loan on the property is $500,000 and the bank lends only up to 70 percent of the borrowing base, what is the maximum amount of loan will Richard get? a.$175,000 b.$750,000 c.$100,000 d.$250,000What impact does the market for intangible property such as stocks and bonds have on the market for real estate? Why would a real estate investor pay attention to what is happening in these markets? Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.a) What is the NPV of each project? Which projects should Xia undertake, and how much cash should it retain? b) What is the total value of Xia’s assets today? c) What cash flows will the investors in Xia receive? Based on these cash flows, what is the value of Xia today? d) Suppose Xia pays any unused cash to investors today, rather than investing it. What are the total cash flows to the investors in this case? What is the value of Xia now?
- It’s time to get a new laptop that is $2500. If you finance it, you will be charged 8% annual interest and it will take you two years to pay it off, paying each month. (A)How much will you pay each month for this laptop? (B)What are your total acquisition costs of financing the laptop?Calculation question: Suppose the following data accurately estimates the costs and benefits you outlined in #1. Calculate NPV assuming a discount rate of 4%. Should ISU invest in this project? Year Costs Benefits 0 1000 400 1 200 500 2 200 500 3 200 5009- Which of the following factors will lower down someone’s disposable income? a. More depreciation b. High personal taxes c. Low intermediate consumption d. More savings