n 2011, El Paso Water Utilities (EPWU) issued bonds worth $9.125 million to improve the Van Buren dam in central El Paso and to finance three other drainage projects. The bonds were purchased by the Texas Water Development Board under the federal stimulus program wherein EPWU did not have to pay any dividend on the bonds. If the bond dividend rate would have been 4% per year, pay able quarterly, with a bond maturity date 18 years after issuance, what is the present worth of the dividend savings to EPWU rate payers? Assume the market interest rate is 6% per year.

Q: 21. Recall the market is composed of 50% responsible firms run by LSU graduates ($50/share…

A: Expected value is the value that represents what a certain investment alternative will take taking…

Q: Prove that if u is a reasonable utility function, then u(w) — u(w − h) > u(w+h)- u(w) for any w > 0…

A: A reasonable utility function assigns numerical values to outcomes based on personal preferences,…

Q: Kai’s current marginal utility from consuming orange juice is 50 utils per ounce and her marginal…

A: The Law of Equi-Marginal Utility, also known as the Law of Diminishing Marginal Utility, states that…

Q: Dollar Price of 1 Euro 0.90 0 Multiple Choice Quantity of Euros Demand will decrease. Demand will…

A: The issue here includes understanding the effects of changes in market conduct on the foreign…

Q: f Pp denotes the price of a pound of pasta and Pb denotes the price of a loaf of bread, then Pp/Pb…

A: Pp denotes the price of a pound of pasta. Pb denotes the price of a loaf of bread.

Q: 4 Mathematical Malthusian Model This question is about determining if the Malthusian trap still…

A: The objective of this question is to determine if the Malthusian trap still exists when the…

Q: Suppose that Qs = 100 + 3P and a tax is placed on buyers so that Qd = 400 – (2P + T) where T is…

A: The objective of the question is to find the new equilibrium price and quantity after a tax is…

Q: 3. The CPI underestimates the cost of living for (a) commuters, if transportation costs rise faster…

A: The cost of living defines the amount of money needed to maintain a certain standard of living,…

Q: Consider the basic AD/AS model, and suppose there is a positive output gap. If a contractionary…

A: AD/AS is a widely used macroeconomic model to determine short-run economic changes. This model is…

Q: Year 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018…

A: Real GDP is the total economic output of a country adjusted for the price change. It signifies the…

Q: Lesson 6- Individual and Market Demand Question 7

A: To answer this question, we need to understand the concepts of choke price and quantity intercept in…

Q: If indifference curves cross, then: Oa. consumers minimize their satisfaction. Ob. the assumption of…

A: We need to find correct option for If indifference curves cross then

Q: 1 Suppose that y = Ak4, the capital-labor ratio is $55,000 per worker, the level of total factor…

A: The production function is given as The capital-labor ratio is $55000.The total factor productivity…

Q: Question To Be Answered* (c)    Use the information on both firms to assess whether the higher…

A: Costs refer to the expenses that are incurred in the process of production of goods or services.…

Q: Based on research conducted by the Department of Economic Analysis, the government and policy…

A: ***Since the student has posted multiple questions, the expert is required to solve only the first…

Q: Dil refiners can refine a barrel of petroleum so that it yields either more home heating oil or more…

A: Supply is the quantity of supply that is offered at the different prices. There is positive…

Q: aton Medical Services is evaluating 10 independent indivisible projects, all with positive NPV. The…

A: ProjectCostNPVA1,061,191122,737B561,75858,102C1,647,849280,660D1,026,02089,365E191,87017,568F1,333,6…

Q: A B C 0 K A) an equilibrium C) a shortage of KM apartments 10) A price floor is L Figure 4.4 lo M 5)…

A: “Since you have posted multiple questions, we will provide the solution only to the first question…

Q: The short-run aggregate supply curve shows: O What happens to the level of real GDP suppliers are…

A: The supply shows the relationship between Price and the quantity supplied which is a direct and…

Q: Lesson 8 - Costs Question 7

A: The correct answer is:d. Both terms are incorrectly defined.Explanation:Definition I is incorrect…

Q: In 2018, the country of Questville had a GDP of $39000.00 and the country of Mistania had a GDP of…

A: Gross domestic product is the country's final goods and services. The economic outcome is measured…

Q: Which of the following best describes the effect of an increase in wage rates? O The price level…

A: AD is aggregate demand which is the total quantity demanded in an economy at various prices.SRAS is…

Q: 1. Understanding the implications of taxes on welfare The following graph represents the demand and…

A: Tax is a mandatory payment to the government. The tax amount is spent on the economy through public…

Q: Y = 5(4.00N-0.0188N²), where the marginal product of labor is given by: MPN = 5(4.00-0.0376N). The…

A: The labor(N) market refers to the interaction between employers and employees in the exchange of…

Q: Assume the economies natural rate of unemployment is 4.5% (this is generally what the United States…

A: Unemployment refers to the state of being without a paid job (i.e. out of work), but actively…

Q: The "invisible hands" ability to coordinate the decisions of the firms and households in the economy…

A: This question spins around the idea of the "undetectable hand," a term coined by the eighteenth…

Q: Using the graph, complete the table that follows by indicating whether each statement is true or…

A: Price elasticity of demand measures the responsiveness of change in quantity demand to change in…

Q: Question: In the long run, compared to the short run, a firm: A) Faces more fixed costs B) Can…

A: In economics, total cost (TC) refers to the sum of all the costs incurred by a firm during the…

Q: The graph below shows the demands and marginal revenue in two markets, 1 and 2, for a price…

A: Marginal cost:MC is the additional unit that is added to the total cost. It is calculated by…

Q: $4.00 Marginal Cost (per ton) of pollution reductionton $3.00 $2.00 $1.00 O a). $1.10 Ob). $0.90…

A: we are given with the graph, On x axis we have the pollution reduction and on y axis we have…

Q: (Figure: Determining Marginal Returns) Based on both the table and the figure, adding a third worker…

A: Total Product of Labor(TPL) refers to the overall output or quantity(Q) of services or items…

Q: P $6 $4 $2 0 1 3 6 9 D Based on the graph above, at $2, there would be a Q in this market:

A: Market equilibrium basically refers to a scenario at which the quantity demanded is equal to the…

Q: Suppose Colin's mom has decided to take him out to breakfast to celebrate his birthday. Colin is…

A: An indifference curve shows the different combination of two products that provides the same utility…

Q: Year nominal GDP (in billion) Real GDP and Real GDP per capita population (in million) GDP deflator…

A: Real GDP and Real GDP per CapitaYearNominal GDP (in billions)GDP DeflatorPopulation (in million)Real…

Q: Assume that Kelly is a life cycle consumer and receives incomes of 20, 30, 45 and 0 in her four…

A: The objective of the question is to determine Kelly's marginal propensity to consume (MPC) in…

Q: Complete the table by calculating physical capital per worker as well as labor productivity. Hint:…

A: The physical capital, labor force, labor hours and output are given as follows.YearPhysical…

Q: Suppose that x is a normal good and y is an inferior good. The Marshallian demand functions for…

A: The Marshallian demand function ,it is named after the economist Alfred Marshall, refers to a basic…

Q: The graph below shows the demands and marginal revenue in two markets, 1 and 2, for a price MRT, and…

A: The graph depicts price discrimination, a tactic employed by corporations to generate profits by…

Q: The monthly average variable costs, average total costs, and marginal costs for Alpacky, a typical…

A: Perfect competition is a market form with a high number of buyers and a high number of sellers.…

Q: Assume the market clearing price is $5.00 for deli sandwiches and the amount of exchange that would…

A: The link between the amount of a product provided and its price, while maintaining other variables…

Q: Consider a graph with paper on the x-axis and pencils on the y-axis.  If the price of paper…

A: The border of the opportunity set, which displays every opportunity combination of products and…

Q: Refer to Figure 8-10. Suppose the government imposes a tax that reduces the quantity sold in the…

A: Consumer surplus is the area under the demand curve (up to the quantity traded in the market) and…

Q: Which of the following is not a dilemma of social capital? A. Some groups can promote values that do…

A: The objective of the question is to identify which of the given options does not represent a dilemma…

Q: marginal utility of hamburgers.  On a graph with pizza on the x-axis and hamburgers on the y-axis,…

A: Budget constraint is the constraint which defines combination of two goods which a consumer can buy…

Q: You will apply a racial justice lens to craft a policy agenda for reparation of damage inflicted by…

A: The objective of this question is to craft a policy agenda that addresses the historical and ongoing…

Q: Lesson 7- Production Question 7

A: a. IsoquantExplanation:Approach to solving the question and detailed explanation:An isoquant is a…

Q: 05- Income and Substitution Effects Question 4

A: c. Positive; Positive For a normal good, a reduction in price will cause the substitution effect to…

Q: How are Petra's ATC curves used to make her long-run average cost curve? Petra's long-run average…

A: Define Long run average total cost.Total cost shows the total cost incurred on the production of a…

Q: In November 2018, a huge wildfire called the Camp Fire ravaged northern California, burning more…

A: A huge wildfire ravaged Northern California. It burned down150000 acres of land. Moreover, it also…

Q: Suppose that the perfectly competitive tuna Industry is in long-run equilibrium at a price of $3 per…

A: Demand is the consumer's willingness to pay or consume a particular good that is being sold or…