An item is produced in large numbers. The machine is known to produce 5% defectives. A quality control inspector is examining the items by taking them at random. What is the probability that at least 4 items are to be examined in order to get 2 defectives?
Q: 2. Using the aggregate demand and supply model (AD & AS), begin with an economy in a recession cause...
A: Expansionary monetary policy: When expansionary monetary policy took then it will lead to an increas...
Q: Suppose that there are 177 identical firms in the market, each with a cost function C(q) = 100 + 1.5...
A:
Q: Bottom of Form XYZ restaurant sells donuts at $2 per unit. It uses 5 units of capital and employs la...
A: K L Q MPL VMPL 5 0 0 --- --- 5 1 50 50 100 5 2 125 75 150 5 3 225 100 200 VMPL...
Q: A machine is under consideration for investment. The cost of the machine is 28,000. Each year it ope...
A: The investment function shows the positive relationship between interest rate and investment. It mea...
Q: When the effective rate falls due to good credit, the fair value of the bond payable reflects a high...
A: Interest rate risk refers to the possibility of investment losses due to a change in interest rates....
Q: Two firms compete in price in a market for infinite periods. In this market, there are N consumers; ...
A: The Nash equilibrium is a dynamic hypothesis inside game hypothesis that expresses a player can acco...
Q: ow many years are required for 1,000 to increase to 2,000 if invested at 9% per year: (a) compounded...
A: We have Future value F=2000 Present value P=1000 r=9% “Since you have posted a question with multi...
Q: The purpose of an ordeal mechanisms is to separate those who truly need assistance from those who ca...
A: 2) Ordeal mechanism is the system of self targeting wherein a mechanism is followed to separate the ...
Q: 2. When the government runs a fiscal deficit, it finances it by: a. issuing stocks b...
A: When a government's income falls short of its expenditures, a fiscal deficit results.A government th...
Q: Suppose your nominal income in dubai economic rose by 6.4 percent and the price level rose by 4.2 pe...
A: Rise in nominal income = 6.4% Rise in price level = 4.2%
Q: Part B On the attached greh paper, draw the Supply Curve for the Supply Schedule below. Rarber Shop ...
A: Supply is an integral part of economic which determines the quality of the good supplied at the exis...
Q: are two conditions that create the S-Shaped Growth. It the carrying capacity somehow consumed by the...
A: There is an S-shaped growth because at the beginning when there is no capital and less production so...
Q: Marginal Profit Cost Total Cost Total Marginal Revenue Revenue $15 $19 $15 $20 2 $15 $23 3 $15 $27 4...
A: Here, the given table provides information about the quantity, price and total cost of a specific fi...
Q: As prices rise, why will producers increase production of a product? O They are required to by law. ...
A: As prices of the product increase, the suppliers will increase the production of the product in orde...
Q: Complete the right-hand column of the following table, which shows the individual benefits of Kenji....
A: The correct answer is given in the second step.
Q: Two officers are working in a police department. During a working day Officer One can either catch 2...
A:
Q: The municipality of Trento has arranged to borrow P30 million in order to implement several public p...
A: The amount borrowed, PV = P30 million Interest rate = 3% Every year payment = P5 million
Q: 4. Educational equality exists when schooling produces thesame __________ for lower-class children a...
A: The answer is - Education system Hence, Educational equality exists when schooling produces the sam...
Q: This Green Revolution best describes which theory? O Diffusion theory O Structural changes model O L...
A: Diffusion theory In Economics diffusion is the point of progress where one new idea or new product o...
Q: US Mkt. for single family homes. The changes in the price lumber affects supply/demand of single fam...
A: Market demand for a commodity can change as a result of a change in consumers income, their tastes a...
Q: Price Level 상 The graph below depicts an economy where a decline in aggregate demand has caused a re...
A: [a] Change required to restore the long-run equilibrium output = 400 - 320 = $80 billion. Thus, the ...
Q: Set-E8. A newspaper reports that in the last 5 years, prices have increased a total of 80%. This is ...
A: Let the annual inflation rate = r 80% increase in value means 1.8 time of original value. That means...
Q: Audra runs a movie memorabilia website. Last year, she earned $35,000 in revenue and had explicit co...
A: Economic profit is the revenue that is left after paying explicit and implicit cost of a business.
Q: Using supply and demand analysis, explain what happens to the market price and quantity of a name-br...
A:
Q: 1. A man wants to invest in a manufacturing company with a capita of PHP 1.5M. The manufacturing com...
A: To find if the investment is desirable or not we can calculate both the present value of and Interna...
Q: discuss/explain Transformational leadership.
A: Meaning of Managerial Economics: The term managerial economics refers to the process of a manageme...
Q: On his recent birthday on April 18, 2012, Cai was given by his mother a certain amount of money as b...
A:
Q: Suppose broccoli and Velveeta are complements in consumption. Suppose further that the supply of bro...
A: Here, it is given that Velveeta and broccoli are complementary goods in terms of consumption.
Q: how does "Economic Profit" differs from the measurement of profit in other fields such as Accounting...
A: Profits help the business organization to expand and cover all its expenditures.
Q: A man has purchased a new automobile. He wishes to set aside enough money in a bank account to pay t...
A: We have given that Year Maintenance cost ( at the year-end) 1 120 2 150 3 180 4 210 5 ...
Q: Insurance mandates do little to combat the problem of adverse selection. True False
A: Insurance is a way to manage your risk. When you buy insurance, you purchase protection against unex...
Q: Tropical Leisure Limited has been making high quality Caribbean leisure wears for over twenty-five y...
A: The question is based on the paragraph. this is about a leisure company's production, profit, and lo...
Q: Between 2006 and 2015, by how much did a. the labor force change? million D. unemployment change? mi...
A: The labor force consists of all the people who are able-bodied and can work in a particular or works...
Q: An investment of P270,000 can be made in a project that will produce a uniform annual revenue of P18...
A: In the present worth analysis, we find the present equivalent value of all the cash flows. In the a...
Q: Twenty passengers were found ticketless on a bus. The sum of squares and the S.D. of the amount foun...
A:
Q: Suppose Japan is a small rice importer. At the world free trade price, Japan's domestic production o...
A: The three different policies that will be able to achieve the policy goal of having domestic rice pr...
Q: 1 Read her Majesty’s Treasury Report and answer the following questions. Let us assume that as a con...
A: If the UK has instantly begin importing US cars, then US would have more of the UK currency, there w...
Q: given Q-L'V2 Q -LV2 k%a as funchion of a C * - LTCmin w,and r Some for Qo and find the long run tota...
A: Long run cost is minimized where MRTS becomes equals to input price ratio. Which means two rates are...
Q: Comparing the slope of the budget line (Opportunity Cost of Good Y) with the slope of the Indifferen...
A: opportunity cost means the worth of the following most elevated esteemed elective utilization of res...
Q: Geal The gal of is etudy youlle Madal Madelinglv prelar bih Ywilling varible- been done for yo You w...
A: Introduction Here demand and supply price for the shirt has given. Table of demand and supply price:...
Q: Consider IC1. Good X D IC Good Y If given a choice between A and D the person will always choose D I...
A:
Q: 3. As supervisor of a facilities engineering department, you consider mobile cranes to be critical e...
A: Given information Project A Initial capital=$272000 Annual cost=28800 Salvage value=25000 N= 6 years...
Q: AD, AD, AS P1 Q, a, Real GDP If aggregate demand curve shifts from AD2 to AD1, the full multiplier e...
A: Aggregate demand shows an inverse relationship between price level and real GDP. Decrease is aggrega...
Q: An industry has four firms, each with a market share of 25 percent. There is no foreign competition,...
A: Given market share of 4 firms = 25 % The Herfindahl Index(HHI) is calculated by squaring the market ...
Q: Relate the educational levels in the various categories to the process of industrialization.
A: Meaning of Industrialization: The term industrialization refers to the process of economy empoweri...
Q: Question:What market structure has a TR that is equal to the 45 degree line? -pure -monopoly -mon...
A: Perfect competition is the market structure where there are many sellers in the market with each sel...
Q: Suppose the market is supplied by an Oligopoly with 2 firms, with the following demand curve and tot...
A: Given information Q=150-2P C=cq+0.25q2 There are 2 firms in the market
Q: Which of the following equations is used to estimate the percentage change in the quantity of real m...
A: Money demand is the demand for money in economy. Demand for money depends on interset rate and incom...
Q: In a certain factory there are two independent processes manufacturing the same item. The average we...
A:
Q: Exercise 2: A perfectly competitive firm produces two goods, X and Y, which are sold at £36 and £200...
A: Given; Price of good X= £36 per unit Price of good Y= £200 per unit Total cost; TC=3x3+2y2-A where; ...
Trending now
This is a popular solution!
Step by step
Solved in 3 steps with 3 images
- . If you examine the decision tree in Figure 9.12 (orany other decision trees from PrecisionTree), you willsee two numbers (in blue font) to the right of each endnode. The bottom number is the combined monetaryvalue from following the corresponding path throughthe tree. The top number is the probability that thispath will be followed, given that the best strategy isused. With this in mind, explain (1) how the positiveprobabilities following the end nodes are calculated,(2) why some of the probabilities following the endnodes are 0, and (3) why the sum of the probabilitiesfollowing the end nodes is necessarily 1.6.33 Statistics released by the National HighwayTraffic Safety Administration and the National SafetyCouncil show that on an average weekend night, 1 outof every 10 drivers on the road is drunk. If 400 driversare randomly checked next Saturday night, what is theprobability that the number of drunk drivers will be(a) less than 32?(b) more than 49?(c) at least 35 but less than 47?Determine whether or not to stock a large supply of steel. There is uncertainty in the price of steel. Based on past history the following data are available Price (future) Prob (Price) PW if stocked PW if not stocked High 0.3 100000 0 Medium 0.5 -10000 0 Low 0.2 -50000 0 What is the probability that stocking steel will result in a negative present worth (PW)?
- a. If the decision maker knows nothing about the probabilities of the fourstates of nature, what is the recommended decision using:i. the optimistic approachii. the conservative approachiii. the minimax regret approachiv. the Laplace methodThe frequency of breakdown of a machine per month is shown in the table. The cost ofa breakdown is $1,000 and the cost of preventive maintenance is $1,250 per month. Ifpreventive maintenance is performed, the probability of a machine breakdown is negligible. Should the manager use preventive maintenance, or would it be cheaper to repair themachine when it breaks down?Number of breakdowns 0 1 2 3Frequency of occurrence .20 .30 .40 .108) Three decision makers have assessed utilities for the problem whose payoff table appearsbelow.s1 s2 s3d1 500 100 -400d2 200 150 100d3 -100 200 300probability.2 .6 .2Indifference Probability for PersonPayoff A B C300 .95 .68 .45200 .94 .64 .32150 .91 .62 .28100 .89 .60 .22-100 .75 .45 .10a. Plot the utility function for each decision maker.b. Characterize each decision maker's attitude toward risk.c. Which decision will each person prefer?
- Please no written by hand A bank has two $10 million one-year loans. Possible outcomes are as follows: Outcome Neither loan defaults Loan 1 defaults, loan 2 does not default Loan 2 defaults, loan 1 does not default Both loans default Probablity 97.5% 1.25% 1.25% 0.00%.If a default occurs, losses can use normal distribution with mean $5 million and standard deviation $1 million to approximate. If a loan does not default, a profit of $0.2 million is made. (a). What is the VaR for of each project when the confidence level (a). What is the VaR for of each project when the confidence level is 99%? (b). What is the expected shortfall of each project when the confidence level is 99%? (c). What is the VaR for a portfolio consisting of the two investments when the confidence level is 99%?) (d). What is the expected shortfall for a portfolio consisting of the two investments when the confidence level is 99%?Probability Possible Rate of Return 0.25 -0.10 0.15 0.00 0.35 0.10 0.25 0.25 a. Under what conditions can the standard deviation be used to measure the relative risk of two investments? b. Under what conditions must the coefficient of variation (CoVar) be used to measure the relative risk of two investments?Suppose that there are two types of workers: high and low. Employers cannot distinguish between different types during an interview. Employers value high type at $200,000 and low type at $100,000. Employers are in a competitive market (i.e. zero profit applies). High type workers have a reservation wage of 140,000 and low type workers have a reservation wage of 80,000. Suppose that 50% of all workers are high type. The productivities, reservation wages, and the probabilities are common knowledge). What wage would the employers offer? Please explain the solution!
- A plaintiff believes that there is a 30% chance that he will winIf he wins, he will gain $50,000. It costs him $5000 in non‐recoverable litigation costs to take the case to court. If the plaintiff is risk‐neutral, which of the following is true? A) The plaintiff will take the case to court with an expected net‐gain of $10,000 B) The plaintiff will take the case to court with an expected net‐gain of $15,000 C) The plaintiff will not take the case to court because he is afraid of losing. D) None of the aboveTom wants to avoid any accidents on the work floor of his factory. If an accident does occur, itwould cost him $500,000 in damages. Installing safety equipment would decrease the probabilityof an accident occurring from 20% to 10%. However, the equipment costs $20,000 to install.10. What is his expected loss after installing the safety equipmenta. $20,000b. $50,000c. $100,000d. $125,000The weekly salary paid to employees of a small company that supplies part-time laborers averages s800 with a standard deviation of $500. (a) If the weekly salaries are normally distributed, estimate the fraction of employees that make more than $300 per week. (b) If every employee receives a year-end bonus that adds $100 to the paycheck in the final week, how does this change the normal model for that week? (c) If every employee receives a 5% salary increase for the next year, how does the normal model change? (d) If the lowest salary is $300 and the meltian salary is $550, does a normal model appear appropriate?
