1. What is payback period? Compute the payback period for an investment requiring an initial outlay of Php.80,000 with expected annual cash inflows of Php.30,000
Q: QUESTION 6 According to the text, who is more likely to have a higher GPA? ● The student who took…
A: “Since you have asked multiple questions, we will solve the first question that is question 6 for…
Q: Suppose the Federal Reserve (Fed) decides the current money supply of $2.1 trillion is too low, and…
A: Reserve Ratio: The reserve ratio is the percentage of a bank's deposits that it is required to hold…
Q: What are the sources or determinants of energy price shocks? and explain
A: Energy price shocks are sudden, major shifts in the cost of energy products including electricity,…
Q: Which of the following graphs depicts perfectly elastic demand? L Q
A: Elasticity of demand refers to the responsiveness or sensitivity of the quantity demanded of a good…
Q: Imagine that two firms in two different countries want to bring a new product to market. Due to…
A: Game theory refers to a part of mathematics and economics that concentrates on strategic…
Q: 3. Consider an individual whose income stream is (200,120) in a situation where he is faced with the…
A: To determine the investment decisions and consumption levels for the individual, we need to…
Q: How does the current economic environment compare with the environment in the time prior to previous…
A: A recession refers to a significant decline in economic activity that lasts for an extended period.…
Q: a) If the central bank sells government bonds in the market how would the real interest rate be…
A: In a closed Keynesian economy, if the central bank sells government bonds in the market, it would…
Q: The maximum economic profit (or minimum economic loss) for the firm in the diagram above would be
A: Firm will sell at the point where marginal revenue (MR)=Marginal Cost (MC)
Q: please help reply to this discussion post ...needs to be 150 words at least. "Cross-cultural…
A: I completely agree with your perspective on the importance of cross-cultural literacy in the…
Q: d. What plant size would the firm need in order to achieve minimum efficient scale (MES)?…
A: The long run average cost is a function of output and it tells the minimum average cost required to…
Q: Is an adverse supply shock likely to give rise to an inflationary gap or a recessionary gap? Why?…
A: A supply shock refers to a premature and unexpected transition in the availability or cost of…
Q: The third step for making a capital investment decision is to establish baseline criteria for…
A:
Q: For the utility function U (x, y) = 12ln(x) + y: (a) Find X∗ and Y ∗ demand functions (b) Draw a…
A:
Q: Demand–pull inflation occurs when increases until equilibrium output exceeds the full employment…
A: Demand-pull inflation occurs when there is an increase in aggregate demand that exceeds the…
Q: Kate quit her job, where she earned $120,000 per year, to start her own financial consulting firm.…
A: Economic profit is a metric used to assess a company's overall financial performance after deducting…
Q: Draw a graph to illustrate the effect of a decrease in the demand for loanable funds and a smaller…
A: The demand curve for loanable funds represents the quantity of loanable funds demanded at different…
Q: Please no written by hand solutions 1. Assume the cost function for a monopolist is given by…
A: To find the profit-maximizing combination of price and quantity for the monopolist, we need to…
Q: Suppose the government is concerned that laboratory aides already make too little money and,…
A: Demand-supply equilibrium:The demand function reflects an individual’s willingness to pay for each…
Q: Draw a graph of a consumption function (with disposable income on the x-axis and consumption on the…
A: Consumption function in terms of disposable income can be written asC=a+bYdWhere a is autonomous…
Q: 6. Engel's Law suggests that as income increases, the proportion of that income spent on food…
A: Engel's Law asserts that when income rises, the %age of income spent on food falls while the %age…
Q: "According to Keynesian theory, an increase in the money supply can cause interest rates to fall…
A: According to Keynesian theory, an increase in the money supply can indeed cause interest rates to…
Q: 2. The utility function is u(x, y) = min{x,y}. Suppose that 1) with probability 0.5, (I, Px, Py) =…
A: Gambling is any activity that includes betting cash or other valuables on future events. Utility is…
Q: Money is any commodity or token that is _______. Money consists of _______.
A: Money is any item or verifiable record that is generally accepted as payment for goods and services…
Q: Role of Central Banks and Moral Hazards Central banks have injected moral hazard into global…
A: The statement suggests that central banks, through their actions, have introduced moral hazard into…
Q: Josel owns two fields: Green 4. Joint PPF and quantity restriction field and Blue field. He can…
A: The maximum combination of outputs that numerous agents or resources can produce while taking into…
Q: Company XYZ operates in the mining industry and extracts a non-renewable resource. The company is…
A: Depletion allowance is like a special discount that some companies get on their taxes. This discount…
Q: How does Professor Moretti explain the relationship between the new American economy and geography?
A: The American economy (country A): an engine of success, innovation, and unlimited possibilities.…
Q: Q17: P $8 B. 6 C. 4 $5 54 2 $1 D2 Use the graph to answer the following questions: A. As a result of…
A: The intersection of the demand and supply curves in a market determines the equilibrium price and…
Q: The demand function for a certain make of ink-jet cartridge is the following where p is the unit…
A: The elasticity of demand () is the sensitivity of the quantity demanded of a commodity to changes in…
Q: I typed it in, it's wrong
A: Elasticity of demand is a concept used in economics to measure the responsiveness of the quantity…
Q: Question 1: Very Basic Supply & Demand This question revisits the lumber market theme from the…
A: In economics, equilibrium refers to a state of balance or stability in a market where the quantity…
Q: G.e.t. .t.h.e. .P.h.i.l.i.p.p.i.n.e.s. .S.t.o.c.k. .E.x.ch.a.n.g.e. .(.P.S.E.). .a.v.e.r.a.g.e.…
A: A stock exchange is a marketplace where buyers and sellers of stocks can meet to trade shares.…
Q: Describe a national bank note. Explain what they were, how they were created, and why they served as…
A: A national bank note can be described as a type of currency issued by national banks in the country…
Q: A consumer has utility u(x₁, x2) = x₁x² for two goods. The government subsidizes half of the cost of…
A: The budget line shows the range of products and services that a person can purchase based on their…
Q: Suppose you are given the following information. Autonomous spending is at $3000, government…
A: Aggregate demand refers to the total demand for commodities and services made by all the economic…
Q: ct on the topics reviewed in this course. During the discussion, you can leverage what you have…
A: Electronic commerce, or e-commerce, can be defined as the transaction of goods and services on the…
Q: Provide two ways in which the criteria for investing differ between Foreign Direct Investment and…
A: FDI and FPI are two well-known categories that are used in international investments. Despite the…
Q: The reason that Starlink is able to charge a lower monthly price for their internet service is,…
A: ***Since the extract has not been given here, soo the expert has solved the question in a general…
Q: The main difference between M1 and M2 money supply measures is that M2 includes A) Saving deposits…
A: The money supply refers to the total amount of money that is in circulation in an economy at a given…
Q: Your company is planning to purchase a new log splitter for is lawn and garden business. The new…
A: The rate of return alludes to the addition or misfortune on an investment comparative with how much…
Q: Chinese firms wishing to purchase American goods and services are ___ in the foreign exchange…
A: Chinese firms wishing to purchase American goods and services need to convert their yuan into U.S.…
Q: A newspaper report states that chocolate production is failing to keep up with worldwide consumption…
A: The newspaper report suggests that chocolate production is struggling to meet global consumption…
Q: Question 1. Consider an OLG model where each person is endowed with y when young and nothing when…
A: "Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: Better Mousetraps has developed a new trap. It can go into production for an initial investment in…
A: Net present value is the present value of the future cash flows at a specified time period and…
Q: Consider a local market where there are two local firms, A and B with the following cost functions…
A: Since both Firm A and Firm B compete in the same market and provide the same service or product,…
Q: If you have a taxable income of $407,210.00, what is your top marginal tax rate? 34 total tax bill?…
A: Since the taxable income is $407,210.00 is lies between the taxable incomes of $204,101-510,300.so…
Q: Problem 1: Assume there are 3 voters with the following rank order preferences over three…
A: Game theory is the discipline that focuses on the study of strategic decision-making. It examines…
Q: Assume in 2010, 1 Swiss franc cost.55 British pounds and in 2012 it cost .52 British pounds. How…
A: Inverse Currency Exchange Rate: The inverse currency exchange rate is defined as the reciprocal of…
Q: No written by hand solution Read the extract below and answer the question that follows: “South…
A: The incorrect statement based on the given extract is:b. Eskom has been privatisedThe extract does…
Step by step
Solved in 3 steps with 1 images
- An expenditure of Php 1,000,000 is made to modify a material-handling system ina small job shop. This modification will result in first-year savings of Php 100,000,a second-year savings of Php 200,000, and a savings of Php 250,000 per yearthereafter. How many years must the system last if an 18% return on investmentis required? The system is tailor made for this job shop and has no market (salvage)value at any time.A firm is considering purchasing equipment that will reduce cost by Php 400, 000. The equipment costs Php 300,000 and has a salvage value of Php 50,000 and a life of 7 years. The annual maintenance cost is Php 6,000. While not in use by the firm, the equipment can be rented to others to generate an income of Php 10,000 per year. If money can be invested for an 8% return, is the firm justified in buying the equipment? Solve the Problem using Rate of Return Method show your solutionMy aunt is thinking of opening a simple café in your neighborhood. She estimates that it would cost Php120,000 per year to rent the location, plus another Php240,000 for the ingredients and labor per year. She wants to work as the cashier in the cafe but she would have to quit her job as an accountant where she is receiving Php20,000 per month. She expects a total sale of Php1M. Which of the FF. statements is correct? A. the total explicit cost is Php360,000 per year B. the total implicit cost is Php240,000 per year C. the accounting profit is Php640,000 per year D. all are correct E. none is correct
- A man is considering investing P 500,000 to open a semi-automatic washing business in a city of 400,000 population. The equipment can wash on the average 12 cars per hour using two men to operate it and to do small amount of handwork. The man plans to hire two men in addition to himself and operate the station on an 8-hour basis, 6 days per week, 50 weeks per year. he will pay his employees P 25.00 per hour. He expects to charge P 25.00 for a car wash. Out of pocket miscellaneous cost would be P 8,500 per month. He would pay his employees for 2 weeks for vacations each year. Because of the length of his lease, he must write off his investment within 5 years. His capital now is earning 15% and he is employed at a steady job that pays P 25,000 per month. He desires a rate of return of at least 20% on his investment. Would you recommend the investment? Use ROR method and Annual Worth method.Mr. Ceballos purchased a statue for Php 2,500. Ten years later, he sold this statue for Php 7,500. If the statue is viewed as an investment, what annual rate did he earn?How do we determine the PW for an infinite uniform series of cash infinite (o ~ almost infinite) uniform series of cash flows?
- 6. Myrvin made a 12-percentage-point investment of PHP10,000.00. According to the 72-year rule, it would take her money years to double. Group of answer choices 7 6 5 4A machine costs Php 30,000 to purchase. The machine will have a Maintenance cost of Php 2,000 but will save Php 10,000 in labor cost. the salvage/junk value of the machine is Php 7,000 after 5 year. What is the total cash flow for the period 3? Php 12,000 cash out Php 8,000 cash out Php 8,000 cash in Php 12,000 cash inIf APC is constant, C and Yshould also be constant. True or False
- You need Php 80,000 per year for four years to go to college. Your father invested Php 100,000 in a 7% csa account for your education when you were born. If you withdraw the Php 80,000 at the end of your 17th, 18th, 19th and 20th year, how much money will be left in the account at the end of your 21st year? Plsss show handwritten solution. Thanksss!! ❤️The monthly demand for ice cream cans being manufactured by Mr. Rivera is 3,200 pcs.With a manually operated guillotine the unit cutting cost is Php 50.00. An electricallyoperated hydraulic guillotine was offered to him at a price of Php 300,000 and whichreduced by 30% the unit cutting cost. Disregarding the cost of money, how manymonths will Mr. Rivera be able to recover the cost of the machine if he decides to buynow? Engineering EconomicsA man is considering investing P500, 000 to open a semi-automatic auto-washing business in a city of 400, 000 population. The equipment can wash, on the average, 12 cars per hour, using two men to operate it andto do small amount of hand work. The man plans to hire two men, inaddition to himself, and operate the station on an 8-hour basis, 6 days perweek, 50 weeks per year. He will pay his employees P25. 00 per hour. Heexpects to charge P25. 00 for a car wash. Out-of-pocket miscellaneouscost would be P8, 500 per month.He would pay his employees for 2 weeks for vacations each year.Because of the length of his lease, he must write off his investment within 5years. His capital now is earning 15%, and he is employed at a steady jobthat pays P25, 000 per month. He desires a rate of return of at least 20% onhis investment. Would you recommend the investment?a) Use ROR methodb) Use Annual Worth methodc) Use present worth methodd) Use future worth methode) Solve for the payback period and the…