Assume that the oil extraction company needs to extract Q units of oil (a depletable resource) reserve in a dynamically efficient manner. What should be a minimum amount of a so that the oil reserve extraction can last for at least 10 periods if (a) the marginal willingness to pay for oil in each period is given by P20-0.2q, (b) marginal cost of extraction is constant at $3 per unit, and (c) discount rate is 2 %? 22
Q: What is the elasticity of residual supply faced by the USA in the cashew juice market, where the…
A: Given information Market supply elasticity=1 Elasticity of demand from other countries=-2 US import…
Q: Question 32 10 3.5 a ATC AVC 1 2 3 4 5 6 7 8 Quantity Refer to the above figure. If the price is $4…
A: As per the guidelines answer is given to the first question: Question 32. "A firm maximizes profits…
Q: Explain how we can use the Supply and Demand Model to explain price and quantity fluctuations in…
A: The supply and demand model can be used to explain the price and quantity fluctuations in the…
Q: Imagine that in the fictional country Microtopia, the market for a specific good is controlled by a…
A: In monopoly, eqm Q(quantity) is found by the intersection of MC(marginal cost) and MR(marginal…
Q: Consider the Dutch floricultural Industry and use the porter's diamond model to explain the…
A: The Porter's Diamond Model is a precious stone formed structure that explains the parts that can…
Q: A student in a managerial economics class calculated the four-firm concentration ratio and HHI for…
A: Monopoly and perfectly competitive market are two types out of the 4 types of Market structure…
Q: 6. (a). Show analytically that if costless negotiation is possible, rights are well- specified, and…
A: Negative externality represents the market failure as it does not give the actual cost or benefit to…
Q: if one expected interest rates to fall, one would prefer to own bonds with a. long durations and…
A: Duration and convexity are two measurements used to assist financial backers/investors with…
Q: "What is the Economic sectoral impact OF COVID 19 IN TONGA FROM 2019 TO 2021"
A: In Washington, D.C., Following the Hunga Tonga Hunga Haapai (HTHH) volcanic eruption and the local…
Q: A group of 100 residents in a small community have decided to pay for a local police force. Each…
A: The above question is based on the concept of marginal value. Marginal value refers to the next…
Q: If the central bank of India buys foreign exchange reserves in the foreign exchange market, this…
A: Balance of Payment is an accounting records of all monetary transaction occurred between nations in…
Q: An industrial plant bought a generator set for P90,000. Other expenses including installation…
A:
Q: What are the weakenesses of Tesla Inc. in 2018?
A: Tesla Inc. was an American start-up situated in Silicon Valley.Nikola Tesla, a well-known inventor…
Q: 1) The data of unemployment is given below: - Employed population is 42.5million -…
A: "Unemployment means people who do not have work or are out of work but actively seeking for work.…
Q: What are the ultimate reasons for analysing the economic performance of a country or market?
A: Economic analysis is on the assessment of costs and benefits.It starts by assessing projects for…
Q: Demand is Q = 600 − 2P; Supply is Q = 30 + P. What are the equilibrium price and quantity? What…
A: Something that is actually balancing the demand and supply in the economy is known to be as the…
Q: • Let the base year used for calculating CPI be 2010. . CPI in 2019 equals 130. What nominal amount…
A: Consumer price index is the change in average price level of basket of goods . It shows the living…
Q: hy don’t I need to ask you to solve for A’s best response? (d) Solve for the equilibrium outputs…
A: The cost is divided into two categories that are fixed cost and variable cost. The total fixed cost…
Q: One way in which economists measure the performance of an economy is by looking at a widely used…
A: In general terms economic performance usually tells or describe the overall achievement of the…
Q: 1. One way of screening in the automobile insurance market is for companies to A. offer policies…
A: 1. In the insurance market, it can be seen that some of the market participants do not reveal their…
Q: 3.An industrial firm is considering purchasing several programmable controllers and automating the…
A: As we can see that there is an initial investment of 120000 and the labor cost to install is…
Q: Which of the following statements is true for firms in monopolistic competition? Firms face barriers…
A: It is the monopolistic competition in which the sellers which are there in the market basically…
Q: sources if finance
A: The eclectic paradigm, also known as the ownership, location, internalisation (OLI) model or OLI…
Q: uppose demand is represented by P = 100 - 2Q, and supply is represented by P = 5 + 3Q. If the…
A: Given Demand equation: P=100-2Q .... (1) Supply equation: P=5+3Q .... (2)…
Q: A firm typically achieves its position as a monopolist as a result of _. (a) the absence of…
A: Long-term earnings are the income generated with the aid of using the enterprise over an extended…
Q: 5. (b) Consider the two-person, two goods economy given by: W₁ = (1/2, 1/2) U₁ = 2X11 + X12, U2=X21…
A: Given information U1=2X11+X12 U2=X21+2X22 Endowment W1=(1/2,1/2)
Q: The information below applies to a competitive firm that sells its output for $44.00 per unit. •…
A: In a competitive equilibrium, Price=Marginal Revenue. MR=44 Now, we calculate Marginal Cost When…
Q: Economists have several ways of defining what they mean by the "supply of money." Which of the…
A: So as per the economics money supply which is operating is known to be as the exact total value of…
Q: Use the Keynesian transmission mechanism to explain fully each of the steps whereby an Easy money…
A: Keynesian economists believe that government intervention is required to correct disequilibrium in…
Q: 3. Sarah's current disposable income is £90,000. Suppose there's a 1% chance that Sarah's house may…
A: Given: Disposable Income = £ 90,000 Chance of flood = 0.01 Repairing cost = £80,000 U = (M)0.5
Q: In which of the following situations will total revenue increase? Price elasticity of demand is 1.2…
A: When the firms want to change their elasticity of demand, they make use of price elasticity of…
Q: To answer, refer to the following: "At Huffy's ... bicycle factory, 1,700 employees turn out 15,000…
A: Labour productivity differs at different time period . Today's labour productivity is different than…
Q: Marie has a weekly budget of $24, which she likes to spend on magazines and pies. 1) If…
A: In economics, a budget constraint represents all the combinations of goods and services that a…
Q: Q4. Evaluate to total present worth of all the cash-flow of machine XYZ for an interest rate of 10%…
A: In the present worth method, we find the sum of the present value of all the costs and benefits that…
Q: Question 39 Modeling a cartel as a prisoners’ dilemma game shows that ____________________ may be…
A: Cartel is when firms join hands in order to maximize the industry's profits.
Q: The Johnson Corporation reported the following income statement and balance sheet amounts and…
A: * SOLUTION :- Given that ,
Q: Suppose that the required reserve ratio is 9%, currency in circulation is $620 billion, the amount…
A: Required Reserve = 9% Currency in Circulation = 620 billion Checkable deposit = 950 billion Excess…
Q: In what sense is a competitive equilibrium a good or bad thing for a given economy?
A: When talking about competitive equilibrium, it is the situation in the market where many firms…
Q: Rogue Corporation is planning to replace an old machine. The annual cost of operating the old…
A: * SOLUTION :- From the given information the calculation is given below as ,
Q: Question 36 W Suppose that Y, VN, VK, and N1-N₂ (1+(Y/N, -yJ/y] where y, is the subsistence level of…
A: The aggregate level of output refers to the total output produced by applying the factors of…
Q: 100 60 20 MR MC-ATC Demand
A: A monopoly firm produces at MR = MC in order to maximize the profit. In the given figure, MR and MC…
Q: The details for the two project proposals are shown below: IRR NPW (15%) EUAW(15%) PROJECT 1 20.01%…
A: Answer is given below
Q: 2 ELE Q 99 QUANTITY Suppose a firm operating in a competitive market has cost curves according to…
A: The given graph represents the short-run cost structure of a firm. And given that the firm is in a…
Q: 2. Determine the future value of each 5-year investment. Assume interest is compounded annually anc…
A: According to the standard rule, we are Assuming the management fee is charged at the investment…
Q: How did GE lose $507 billion (more than 85 percent) of its market valuation since its peak? What…
A: The major reason that General Electric or GE's worth has dropped by $507 billion since its high is…
Q: Question 11 A firm that is suffering an economic loss in the short run should continue to operate as…
A: Short run refers to a period of time which is short enough that the firm cannot change its fixed…
Q: (a) Consider a two period model of a small open economy. Being careful to state any assumptions you…
A: Assume that there is a two-period small open economy with periods 1 and 2. In periods 1 and 2,…
Q: A professional mechanics who specializes in truck engines paid $46,000 for equipment that will have…
A: Simply we can understand that the break even point is known to be as that point where there exist no…
Q: Two players: The employee (Linda) and the employer (Vera). Linda has to choose whether to pursue…
A: Dear Student as you have posted multiple sub-parts in a question but according to our policies and…
Q: The market demand curve is given by P = 40 - 0.2Q. What is the profit-maximizing output? A. Profit…
A: In Economics, Total Revenue is the product of the inverse demand function ,Price (P), and Quantity…
9
Step by step
Solved in 4 steps
- A company produces and sells a consumer product and is ableto control the demand by varying the selling price. The approximate relationship between price and demand is p = 38+ (2,700/D) - (5000/D²) for D>1 The company is seeking to maximize its profit. The fixed cost is $1,000 and the variable cost is $ 40 per unit. What is the number of units that should be produced and sold each month to maximize profit? A 71 B 60 с 50 D 25Given problem: The ore of a gold mine in the Mountain Province contains, on average, 0.5 grams of gold per ton. One method of processing costs $1,650 per ton and recovers 93% of the gold, while another method costs only $1,500 per ton and recovers 81% of the gold. If gold can be sold at $8,500 per gram, which method is better, and by how much? Consider the income and cost per ton of ore. Solve for the net receipt of each method. *Round off answer in 2 decimal places. Thank youA company's marginal costs for emission reduction (MAC) can be expressed as MAC = 2A, where A is abatement in tonnes. MAC is expressed in USD. Assume that the company's total emissions inthe starting position is 100 tons. a) Assume that the authorities now decide on a limit value which means that the company may not emit more than 30 tonnes. What is the total cost for the company to live up to this limit? b) A research team consisting of both ecologists and economists concludes that the marginal benefit (per tonne) of reducing emissions is constant and equal to USD 100. How high is the socio-economically optimal level of emissions (for the individual company) given thisinformation? c) Assume that a system for trading in emission rights is established. The company in question is allocated 30 emission rights (where each right corresponds to one tonne). If the price of emission rights is USD 120 (per tonne), will the company be a buyer or a seller of emission rights and if so, how many…
- Problem 6Cannes Croissants (not a real company) wishes to determine the optimum production quantity for its topselling product, almond croissants. The annual demandfor almond croissants is 12,000 units. The setup costs fora production run of the croissants is US$15. The holdingcost per unit per year is US$0.50. Production is mostefficient when 80 croissants are produced per day. Thecompany operates 300 days during a year.a What is the economic production quantity (EPQ)?b How many production runs will there by per year?c What is the maximum inventory level?d What is the total annual cost (in US dollars)?e What is the length of a production run in days?= 2. The cost of operating a jet-powered commercial (passenger- carrying) airplane varies as the three-halves (3/2) power of its velocity; specifically, Co kny3/2, where n is the trip length in miles, k is a constant of proportionality, and vis velocity in miles per hour. It is known that at 400 miles per hour, the average cost of operation is $300 per mile. The company that owns the aircraft wants to minimize the cost of operation, but that cost must be balanced against the cost of the passengers' time (CC), which has been set at $300,000 per hour. At what velocity should the trip be planned to minimize the total cost, which is the sum of the cost of operating the airplane and the cost of passengers' time?6) The profit function for sales of two models of trucks at a car dealership is given by I(a, b) = 1240a + 800b – 5a² + 2ab – 6b? – 250 where a is the number of sales per week of model A, and b is the number of sales per week of model B. What's the marginal profit if model A sales increase by 1 unit from a base of II(15,10)? You must use calculus to solve. Interpret the result.
- Lulu hypermarket estimates daily demand of 18 kgs for a product. It costs RO 100 to make and receive an order, and it takes 16 workdays to receive it. The annual holding cost is 25 % of purchase price. The price RO 2 per kg. The company is operating 5 days per week, and a total of 210 workdays in one year. What is the minimum annual total holding and ordering cost in RO? Round-up to the nearest integer O a. 152 O b. None is correct O c. 725 O d. 625 O e. 615show solution An oil refinery produces one base type of crude oil. The total cost is given by the equation Total Cost, TC = 50,000+20.2D +0.0001D2. The sales price in dollars per barrel is 35. At what level of production in barrels/week is cost/barrel minimum? What is the minimum cost per barrel? What is the maximum weekly profit that the company can make? At what level of production is the maximum weekly profit attainable? and Over what range of production is profit possible? Express answers in whole numbers and write the numerical values only.Suppose that the profit function for a product can be calculated as follows: Profit (300-C1-C2) *X)-10000 Where X-labor cost/unit Y= parts cost /unit D- Demand Assume that labor costs could range from $42.1 to $48.1 per unit, and parts cost range from S814 to S90.4 per unit, and annual demand could range from 16.4 to 275 units what is the best-case scenario profit?
- 15 x+1160 dollars, where x is the total number of units produced. Suppose further that the selling price of its product is 16 Suppose a company has fixed costs of $4000 and variable costs per unit of 1. 1300 x dollars per unit. 16 (a) Find the break-even points. (Enter your answers as a comma-separated list.) (b) Find the maximum revenue. $. (c) Form the profit function P(x) from the cost and revenue functions. P(x) = %3D Find the maximum profit. $4 (d) What price will maximize the profit? (Round your answer to the nearest cent.) %$4 Need Help? Read It Watch ItA power company faces demands during both peak andoff-peak times. If a price of p1 dollars per kilowatt-hour ischarged during the peak time, customers will demand 60 0.5 p1 kwh of power. If a price of p2 dollars is chargedduring the off-peak time, then customers will demand 40 p2 kwh. The power company must have sufficient capacityto meet demand during both the peak and off-peak times. Itcosts $10 per day to maintain each kilowatt-hour of capacity.Determine how the power company can maximize dailyrevenues less operating costs.The Maximum Requirment matrix is given below: T0: 2 6 4 7 4 T1: 3 3 6 6 7 T2: 2 2 2 1 1 T3: 2 5 3 7 4 T4: 3 4 5 7 7 The Available matrix is given below: 2 0 2 2 1 What is the need sequence for thread T0 ? [Hints. input only the values one after another starting with resourse A, then resource B without any space or anything in between. for example - if you insert 12345, that will mean the thread needs 1 instance of resource A, 2 instance of resource B and so on. ] What is the need sequence for thread T1 ? What is the need sequence for thread T2 ? What is the need sequence for thread T3 ? What is the need sequence for thread T4 ? What is the safe sequence? [Note, try to exexute the threads sequentitally that is T0, then T1 and so on. If T2 gets first chance in safe sequence, then again start with T0, then T1 and so on. ] [Hints. input safe sequence without any space or anything in between such as - T4T2T0T1T3] While identifying the above safe sequence, what are the…