What is the present value or price of a $150 annual perpetuity if the returns on similar contracts are now 7%? O a. $10.50. O b. $2,143. O c. $1,050. O d. $1,751.
Q: Does the shape of production possibilities curve matter and why societies cannot make a choice above...
A: All economies of the world are endowed with limited amount of natural resources but the wants of con...
Q: An item is produced in large numbers. The machine is known to produce 5% defectives. A quality contr...
A:
Q: Pat's Hair Designs is part of a monopolistically competitive haircut market in Berkeley. (a) At pres...
A:
Q: In the texts provided about the major national/international issues/problems and their possible appr...
A: Introduction: According to a study by EU sponsored Migrant Integration Policy Index (MIPEX) Switzer...
Q: Use the utility function u = E (r,) – 0.5 A ož where A is the risk aversion parameter and A = 3.5. U...
A: The law of diminishing marginal utility is the additional satisfaction that a consumer gets by consu...
Q: n increasing-cost industry is so named because of the positive slope of which DA. Each firm's short-...
A: Long run average total cost curve is a curve that shows a relationship between Average total cost an...
Q: Suppose there are 2,500,000 people in a city's labor force. Only 38 % of them have a college degree,...
A: People those who are willing to do the job at the giving wage rate but still not getting the job are...
Q: 4. In terms of decision theory, an occurrence or situation over which the decision maker has no cont...
A: Hi! Thank you for the question. As per the honor code, We’ll answer the fourth question since more t...
Q: Keynesian View on the Government’s Role in the Economy: Explain how Keynes concluded that the govern...
A: The macroeconomic economic theory of total expenditure in the economy and its consequences on output...
Q: 3. When the price of a haircut goes down, in what direction does the quantity supplied move on the S...
A: NOTE: We’ll answer the first question since the exact one wasn’t specified. Please submit a new ques...
Q: The nation of Acirema is "small" and unable to affect world prices. It imposes peanuts at the price ...
A: Price of peanut = $10 per bag Demand curve:- D = 400 - 10P Supply curve :- S = 50 + 5P
Q: Question 11 Madelynne F. deposits $1,000 in a savings account that pays an annual interest rate of 4...
A: PLEASE FIND THE ANSWER BELOW.
Q: 6-1. What country is the biggest as measured by world trade?
A: The concept that depicts buying and selling of services and goods in exchange for compensation being...
Q: table bélow describes the cost functions for a food manufacturer. Fixed Variable Total Cost Avg. Tot...
A: Cost Formulas: 1. Total Cost = Fixed Cost + Variable Cost 2. Average Total Cost = Total Cost / Outpu...
Q: Change in GDP deflator: 36% Change in CPI : 35.0003% Although both GDP deflator and CPI are both m...
A: GDP deflators refers to the measure of prices of newly produced goods and services in the economy in...
Q: .Define the steady-state growth rate in the Solow model either graphically or mathematically. Using ...
A: The Solow model explains how growth in capital stock, growth in the labour force and technological a...
Q: 1. Definition of economic costs Larry lives in New York City and runs a business that sells boats. I...
A: Economic cost is the sum of all losses of any goods with a monetary value attached to them by any si...
Q: Merlin builds tables that she will sell for $200 per table. Her fixed costs for building the table i...
A: fixed costs, also known as indirect costs or overhead costs, are business expenses that are not dep...
Q: explain why the basic framework of supply and demand is not sufficient to analyze the market for hea...
A: Supply and demand is a framework for explaining and predicting a good's equilibrium price and quanti...
Q: Determining the Present Value for a Decreasing Annuity How much money must you deposit now at 6% int...
A: Given the annuity amount = $3000 Interest rate = 6% Quarterly interest rate = 6% / 4 = 1.5% Compound...
Q: Antonio Sy started working for the ABC Corporation on his 25th Birthday. Each month P30 was withheld...
A: First, we find the future equivalent value of the annual payments (P60) that are being made each yea...
Q: Assume that product X is quantified in the following manner: QDX= -2PX + 0,5PY - 0,2PZ + 1,2I. In wh...
A: The law of demand follows that other things remaining the same, the quantity demanded of product wi...
Q: Match each mathematical expression to the term below which represents its meaning: AU/AL is Ac/Ae is...
A:
Q: In order to make a survey of the buying habits, two markets A and B are chosen at two different part...
A:
Q: Austin owns the Fruit Bowl Inc company. Which of the following would be short run decisions for Aust...
A: There are many types of inputs used in the production of goods and services. Two of them are capital...
Q: Determine the ordinary and exact simple interests on Php 20,000 for the period from January 15 to Ju...
A:
Q: The law of demand is an inverse relationship between the price and quantity demanded. Explain how th...
A: According to the law of demand, there is an inverse relationship between the quantity demanded and t...
Q: In sample 400 parts manufactured by a factory, the number of defective parts was found to be 30. The...
A: Introduction Total manufactured part = 400 Total defective part = 30 Now company claim that there a...
Q: Utility Function MU, MU, MRSxy 2x0.2y0.8 /25xy
A: Marginal utility of good X is calculated by differentiating the utility function with respect to X. ...
Q: Increasing marginal returns to labor A) describe the portion of a total product curve where the marg...
A: Marginal returns refer to the amount of output generated by the producer when it employed an additio...
Q: 4 If inflation is so easy to explain, why do policymakers sometimes have trouble ridding the economy...
A: Inflation basically refers to increase in the price of goods and commodity during a specific period ...
Q: In the national-income model Y = C+I+ Go C = a + B(1- t) Y I = I, + 8Y assume that a > 0 and B, 6, t...
A:
Q: What is meant by economies of scale and what is the importance of this concept to economic growth?
A: In an economy, production cost refers to the cost incurred when producing goods and services by the ...
Q: Table 6.1 Number of Total Utility Marginal Utility Hamburgers per Day 30 2 52 67 4. 76 4. Number of ...
A: Meaning of Utility Function: The term utility function refers to the total utility for a consumer ...
Q: Question ·Bottom of Form XYZ restaurant sells donuts at $2 per unit. It uses 5 units of capital an...
A:
Q: Using the IS-LM-BP model with a low degree of capital mobility, what will be the effects of the foll...
A: Mundell-Fleming IS-LM-BP For stable international reserves, the model is based on the idea that capi...
Q: Why is it said that they are "price takers" and unable to influence the market price? If firms in co...
A: Disclaimer: Since you have posted multiple questions, I am providing you with the answer to the firs...
Q: Explain why a monopolist produces a lower level of output than a competitive industry. (Hint: your a...
A: A monopolist producer is not a price taker, because it determines the market price when it decides w...
Q: What are the cultures of capitalism?
A: The collection of behavioral traits, cultural standards, ideals, and patterns of behaviour that are ...
Q: 1. Financial markets increase economic well-being because A) Financial markets channel funds from in...
A: Any location or a system that makes buyers and sellers to exchange financial assets such as bonds, s...
Q: Consider the balance sheet for Inspired to Thrive (IT) Bank below: Inspired to Thrive Bank Balance S...
A: The reserve ratio is the percentage of a commercial bank's deposits that it must retain in cash as a...
Q: . Consider the following information of a hypothetical fırm: Q = 100K0.6 L0.8; w = 1; r = 3 %3D A. S...
A: Given Production function: Q=100K0.6L0.8 .... (1) wage rate w=1 and rent r=3
Q: Your family business produces a secret recipe salsa and distributes it through both smaller specialt...
A: PLEASE FIND THE ANSWER BELOW.
Q: Question 14 The deviation of unemployment from its natural rate is called O frictional unemployment....
A: Natural rate of unemployment is the unemployment even actual output produced is equal to the potenti...
Q: Regression Analysis: Growth versus Water, Fertilizer The regression equation is Growth = B + ¢ Water...
A:
Q: The short run is a time period that is A) long enough to change the size of the firm's plant. B) too...
A: Time period refers to the amount of time required for a factor to change. Time period influences the...
Q: When planning to perform an audit, an accountant must have a clear understanding of audit risk and i...
A: Audit risk is defined as "the chance that the auditor may give an erroneous audit opinion" when fina...
Q: High unemployment rate will ruin the economic growth and performance. Apply the measures that been u...
A: The relationship between economic growth and unemployment shows that there is a very high relationsh...
Q: Using the savings and investment model, predict what will happen to savings, investment and interest...
A: Answer: Impact on the demand for loanable funds (investment): The government generally spends by bor...
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:...
Solve what is asked.
Step by step
Solved in 2 steps
- Refer question 1 and answer both the questios Question 1 Afrm raises capital to invest in a business project. The marginal revenue fromthe first 5 units of capital is: 1st unit has MR $1.64, 2nd unit has MR 1.41, 3rdunit has MR 1.30, 4th unit has MR 1.23, and 5th unit has MR 1.18. If the interestrate is 26%, what is the optimal amount of capital for this firm to borrow?O. 2O. 3O. 4O .5 Question 2 Consider the MR figures in Problem 1. If this firm borrows exactly 5 units ofcapital, what is the firm's total revenue?O. 6.05O. 6.76O. 6.89O. 7.14Suppose you are considering whether to purchase a house off of Lake Erie for $400,000. You expect thetotal costs of maintaining the property (utilities, repairs, etc.) to equal $15,000/year, and that you would be able togenerate $35,000/year in revenue if you were to put the house on the short term rental market.a. (3) Suppose you are deciding between purchasing the home or whether to invest $400,000 in an interest-bearingaccount. If your objective is to maximize your own net income, what would the interest rate have to equal for youto invest in the interest-bearing account?b. (4) Suppose you decide to buy the house, and now you have to decide whether/when to list the house on theshort term rental market (like Airbnb) or stay in the house yourself. Briefly explain what this decision woulddepend on. What are the implicit (opportunity) costs associated with renting the house to someone else on a givenday? What are the implicit costs associated with the staying in the house yourself?c.…A share of stock currently costs $35. You can purchase either the shares, or options to buy the stock anytime this year at $38.50. These options cost $0.75 per. What price must the stock rise to this year to make the stock options equally profitable (meaning equal capital gain) to purchasing the stock? (Assume you exercise the options/sell the stock at this price.) What price must the stock rise to this year to make purchasing the stock options 6 times as profitable (meaning 6 times the capital gain) as purchasing the stock?
- In the United States, labor earnings are about what percent of total income? O a. 75 percent O b. 70 percent O c. 67 percent O d. 50 percent Note:- Please avoid using ChatGPT and refrain from providing handwritten solutions; otherwise, I will definitely give a downvote. Also, be mindful of plagiarism. Answer completely and accurate answer. Rest assured, you will receive an upvote if the answer is accurate.1. What are the difference between Direct Method Cash flow withthat of indirect method cash flow, apply them in a given exampleIf the MPS is .30, MPC is Select one: O a. 1+.30 = 1.30 O b. None of the options O c. 1-0.3 =0.7 O d. 0.3
- A town is endowed with an oil reserve. The total stock of oil from the reserve is 110 barrels. The townmust sell all 110 barrels within two time periods, so the quantity extracted will be q1 + q2 = 110, whereq1, for example, is the quantity extracted in period 1. The price per barrel that the town can sell theoil for is pt= 150 −10/11 qt in each period. There is a constant cost of extraction c = 50, such that theresource rent earned by each barrel in each period is πt= pt−c. If the interest rate is 20%, how muchoil will the town extract in period 1 and in period 2 (what should q1 and q2 be) if it wanted to extractefficiently (i.e. maximize profits)?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% returnIf consumption is $30,000 when income is $40,000, and consumption increases to $34,000 when income increases to $45,000, the MPC is Select one: O a. None of the options O b. 0.8 O c. 0.2 O d. 0.4
- Assume that the real interest rate is 8%. If a firm can invest in a piece of machinery that costs $8,000 today and will generate a profit stream of $3,000 at the end of each year for the next 3 years, what should the firm do? A. Invest in the machinery. B. Do not invest in the machinery.Q = f(L) = 15L2 – L3 Price = 10Wage Rate = 270Graphically and mathematically show that the optimal input level is within the stage II of production. Calculate for the firm’s optimal output and maximum profitJosephmigratedtoCanadafromGhana5yearsago.Hecurrently works in sales but is considering quitting work for two years to earn an MBA degree. His current job pays $40,000 per year (after taxes), but he could earn $55,000 per year (after taxes) if he had an MBA. Tuition is $10,000 per year, and the cost of an apartment near campus is equal to the $10,000 he is currently paying. His discount rate is 6 percent per year. He just turned 48 and plans to retire when he turns 60, whether or not he earns his MBA degree. Based on this information, should he go for an MBA degree? Explain carefully with appropriate calculations.
