4. A small dozer is purchased for $110,000. A forecast of expected operating hours, salvage values, and maintenance expense is presented in the table: Year 1 2 3 4 Operating hours Salvage Maintenance expense 82000 78000 75000 70000 2000 1700 1500 1400 2250 2200 2100 2050 When the equipment should be changed based on the economic life cost analysis?
Q: Output per worker ($ thousands) 0 0 Capital equipment per worker ($ thousands) Which TWO of the…
A: A production function is an equation depicting the relationship between the quantity produced and…
Q: Required information The TT Racing and Performance Motor Corporation wish to evaluate two…
A: The objective of this question is to determine which machine, R or S, is a better investment for TT…
Q: 2) Consider the problem of the upstream and downstream monopolist (pg 510 in Varian). Suppose the…
A: Marginal cost:MC is the additional unit that is added to the total cost. It is calculated by…
Q: 05- Income and Substitution Effects Question 6
A: The slope of the budget constraint between 1 unit of Good X and 2 units of Good X is −0.25…
Q: ge anson Business in a neighboring sta ality. Has Hilga realized income? If so, when 7 How much…
A: Tax is the mandatory payment that is paid by every individual in the country, There are various…
Q: 2. Answer all parts (a) - (d) of this question Person A, Person B and Person C own stock in the same…
A: The objective of this question is to understand the concept of loss aversion and value function in…
Q: 1. What is the name of the currency in your country? 2. What is the exchange rate between the dollar…
A: An exchange rate is the rate at which one currency can be exchanged for another. It is the price of…
Q: Which set of events clearly would lead to a decrease in aggregate demand if the events occurred…
A: This can be defined as a concept that shows the total demand for the products and services in a…
Q: The United States gross national product in trillions of dollars for the latter half of the 1980s is…
A: “Since you have posted multiple questions with multiple sub-parts, we will provide the solution only…
Q: Lesson 8 - Costs Question 5
A: C. Implicit costExplanation:Implicit costs Cost where one has to give up something valued that is…
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: Compute the income elasticity of demand for each good and use the dropdown menus to complete the…
A: The quantity of a good or service that is demanded in response to variations in consumer income is…
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: Consider a consumer with utility x2/3y1/3 and a budget constraint of 6x+5y<100. What is the maximum…
A: Utility Function: Utility function represents the satisfaction or benefits that a customer receives…
Q: 2. Answer all parts (a) - (d) of this question Person A, Person B and Person C own stock in the same…
A: The objective of this question is to understand the concept of loss aversion and value function in…
Q: 5. The price of an agricultural commodity (example, coffee) has risen in recent years, and…
A: The supply curve refers to the willingness to produce or sell a particular good or service at…
Q: Over the past four years, the US trade deficit has increased to $576.9 billion. Based on your…
A: In the face of globalization, the practice of maintaining trade deficits has become increasingly…
Q: The following table depicts a hypothetical economy in which the marginal propensity to save is…
A: Equilibrium:Equilibrium occurs at the point where the savings curve cross the investment curve. It…
Q: In 2020, the value of the Consumer Price Index (CPI) in a certain country, Polonia, was 235 and…
A: CPI or the Consumer Price Index helps measure the average change in price of a fixed basket of goods…
Q: At the market equilibrium price, consumer surplus would be [Select] (thousand). V If the government…
A: Consumer Surplus is the difference between what you're willing to pay for something and what you…
Q: 1. Marginal Abatement Cost Curves There are two coal plants that generate electricity, firm 1 and…
A: Abatement cost:When any firm or industry emits pollution then they pay the cost for the loss they…
Q: Why is the point where demand and and supply cross considered an equilibrium?
A: Markets help allocate resources efficiently. Prices(P) act as signals by guiding resources to where…
Q: 7. Suppose a firm has only three possible plant-size options, represented by the ATC curves shown in…
A: Long run average cost : The long run average cost curve is the locus of the minimum point of all…
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…
Q: How will an increase in the number of sellers of tablets affect the market for this product? A.…
A: Equilibrium is where the demand curve cuts the supply curve. Price and the quantity corresponding to…
Q: ntly in early 2008, 11. The U.S. economy slowed signific and policy makers were extremely concerned…
A: The real GDP of the economy is the inflation-adjusted value for all the goods and services produced…
Q: 2-14. A tennis racquet manufacturer is negotiating a lease on land to build a manufacturing plant.…
A: Microeconomic firm theory investigates how companies maximize profit through production, resource…
Q: Which of the following is a type of nonprofit foundation? A. Community foundation B. Grant-making…
A: The question is asking to identify the types of nonprofit foundations among the given options.
Q: 05- Income and Substitution Effects Question 1
A: The X-intercept of the budget line for the consumer in this situation is 12 unitsExplanation:given…
Q: Figure 8-1 P¹ P" P" Price J K L M N 54 B Supply Demand Refer to Figure 8-1. Suppose the government…
A: Tax is a mandatory payment to the government. The tax amount is spent on the economy through public…
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: Refer to the following diagram. Price Level LAS SAS, SAS2 AD3 SAS 3 AD₂ Real Output AD₁ A decline in…
A: Aggregate demand is the finished goods and services total demand that is produced in the economy. It…
Q: Assume the following data for a country: Category Total population Population under 16 years of age…
A: Unemployment rate measures the percentage of the labor force of the economy that is unable to find…
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: 1. Risk Premium: Assume your wealth is $100 and like in the Veritassium video you're offered a bet…
A: “Since you have posted a question with multiple sub-parts, we will provide the solution only to the…
Q: Consider a graph with paper on the x-axis and pencils on the y-axis. If the price of pencils…
A: Budget constraint shows the relationship between the two goods, their prices and the income of the…
Q: Informal volunteering is described as consistent engagement with a nonprofit to support their…
A: The objective of the question is to understand the definition of informal volunteering and whether…
Q: Discuss the economic implications of technological innovation and automation on employment, wages,…
A: Economic analysis refers to the methodical way to deal with determining the optimum utilization of…
Q: 1. write a short essav tha summarizes the problems by which the official poverty rate is…
A: What's going on with it?The poverty rate is a method for estimating the number of individuals that…
Q: Suppose Suzy Slacker really has no interest in a television set without a remote control, and she…
A: An indifference curve shows a combination of two goods in various quantities that provides equal…
Q: Use the information in the following table. to answer the question Consider a simple economy that…
A: The real GDP(RGDP) total value of all services and goods generated in a nation, adjusted for…
Q: A gift shop sells 400 boxes of scented candles a year. The ordering cost is $60 for scented candles,…
A: Economic order quantity refers to the minimum order quantity that a company has without overspending…
Q: 2. (Lehr #5.3) Doing it Once: Group Think. It is Wednesday afternoon and a group of students are…
A: Let's analyze the problem step by step:Given:- (reward schedule)- where (cost schedule)- (time…
Q: When a country has a comparative advantage in the production of a good, it means that it can produce…
A: Comparative advantage is the nation's specialization of goods in the international market. The…
Q: Suppose that a company has determined that a 70% experience curve accurately describes the evolution…
A: Cost incurred to produce 1st unit = $200Experience Curve Percent = 70%Experience Curve suggests…
Q: 11) Steve's paper factory is polluting a local river and the following information is provided on…
A: The pollution permits are the allowances given by the government to the producers in the industry…
Q: Based on research conducted by the Department of Economic Analysis, the government and policy…
A: Consumption function: C = 100 + 0.8DITax function: T = 0.25YGovernment spending function: G =…
Q: Suppose that Congress passes a law requiring employers to provide employees some benefit (such as…
A: The question is asking us to analyze the impact of a law mandating employers to provide a benefit to…
Q: Lesson 8 - Costs Question 8
A: B. The firm would use only capital and no labor.Explanation:Approach to solving the question and…
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…
Step by step
Solved in 3 steps with 2 images
- A mass diagram from sta. 0+00 to sta. 50+00 is plotted as below. The free-haul distance is 1000' The earth excavation cost is $0.12 per yd and the overhaul cost is $0.02 per yd per station. Calculate the Economical Haul Distance. (Round to the nearest foot and fill in the blank with a number only.) 1000 500 -500 -1000 0+00 10+00 20+00 30+00 40+00 50+00 26+00 2+00 4+00 14+00 17+00 33+00 38+00 41+00 Stations 8+00 28+00 Cubic YardA factory with capacity of 700,000 units per year operates at 62% capacity. The annual income is $430,000.00. Annual fixed costs are $190,000.00 and the variable costs are $0.348 per unit. a) What is the current loss or profit? b) What is the breakeven point?.2. One year ago, a machine was purchased at a cost of $2,000, to be used for 6 years.However, the machine has failed to perform properly and has a cost of $500 per year forrepairs, adjustments, and shutdowns. A new machine is available to accomplish thefunctions desired and has an initial cost of $3,500. Its maintenance costs are expected tobe $50 per year during its service of 5 years. The approximate market value of the presentmachine has been roughly $1,200. If the operating cost (other than maintenance) for bothmachines are equal, show whether it is economical to purchase the new machine. Performa before-tax study, using an interest rate of 12% and assume that the salvage values will benegligible.
- PLEASE SHOW GIVEN AND REQUIRED. THANK U Machine A was purchased last year for $20,000 and had an estimated market value of $2000 at the end of its 6-year useful life. Annual operating costs are $2000. The machine will perform satisfactorily over the next 5 years. A salesperson for another company is offering a replacement, Machine B, for $14,000, with a market value of $1,400 after 5 years. Annual operating costs for Machine B will only be $1,400. A trade-in allowance of $10,400 has been offered for Machine A. If the MARR is 12% per year, should you buy the new machine? Use RORAI method. Write a brief interpretation of your answer.The new assembly mạchine, if purchased, Market Value OKM Costs 17 500 ef the challenger is $ Round to the nearest dollan in service for one more vear is s Round to the n O More Info - X in one year mmedistel Punt Done TThe following tables show the marginal costs of a defender over its remaining four years of service life. If the challenger's minimum EUAC is $29,403, what is the most appropriate replacement decision? Year 1234 Marginal cost $31,053 $26,353 $28,003 $32,803 ○ A. No decision can be made unless additional calculations are made on the challenger B. Replace the defender now OC. No decision can be made unless additional calculations are made on the defender ○ D. Keep the defender for at least one more year
- Allen Construction purchased a crane 6 years ago for $130,000. They need a crane of this capacity for the next 5 years. Normal operation costs $35,000 per year. The current crane will have no salvage value at the end of 5 more years. Allen can trade in the current crane for its market value of $40,000 toward the purchase of a new one, which costs $150,000. The new crane will cost only $8,000 per year under normal operating conditions and will have a salvage value of $55,000 after 5 years. If MARR is 20%, determine which option is preferred. a) Use cash flow approach (insider's viewpoint approach) b) Use the opportunity cost approach (outsider's viewpoint approach)! Required information The Briggs and Stratton Commercial Division designs and manufacturers small engines for golf turf maintenance equipment. A robotics-based testing system with support equipment will ensure that their new signature guarantee program entitled "Always Insta-Start" does indeed work for every engine produced. First cost of equipment AOC per Year Salvage Value Estimated Life Pull System $-1,500,000 $-700,000 $100,000 Push System $-2,250,000 $-600,000 $50,000 8 years 8 years Determine the salvage value for the push system that will make the company indifferent to the two systems. Also, MARR = 10% per year. The salvage value for the push system is determined to be $ in $1000 units.A specialty concrete mixer used in construction was purchased for $300,000 7 years ago. Its annual O&M costs are $105,000. At the end of the 8-year planning horizon, the mixer will have a salvage value of $5,000. If the mixer is replaced, a new mixer will require an initial investment of $375,000. At the end of the 8-year planning horizon, it will have a salvage value of $45,000. Its annual O&M cost will be only $40,000 due to newer technology. Analyze this using an EUAC measure and a MARR of 15 percent to see if the concrete mixer should be replaced if the old mixer is sold for its market value of $65,000. a. Use the cash flow approach (insider’s viewpoint approach) b. use the opportunity cost approach (outsiders viewpoint approach) Include formulas in excel screen shots.
- Retirement and replacement decisions should always be based on Select one: a. Economics O b. Salvage Value c. Present Value d. Physical Service LifeThe following data shows the different sizes of pipes which a company wishes to use as a replacement for the old pipesystem that they are using.Diameter 100mm Cost of Pipe-P1800000 Annual Maintenance Cost-P88000 Operating cost/hour=P480Diameter 150mm Cost of Pipe-Pl 120000 Annual Maintenance Cost-Pl 36000 Operating cost/hour=P500Diameter 250mm Cost of Pipe-Pl 000000 Annual Maintenance Cost-P60000 Operating cost/hour=P620Total number of operating hours per year 500Replacement is done every 10 yearsMoney is worth 10% annuallyCompute the equivalent annual cost of the 100mm pipe.1-25 Zoe Garcia is the manager of a small office-support business that supplies copying, binding, and other services for local companies. Zoe must replace a worn-out copy machine that is used for black-and-white copying. Two machines are being considered, and each of these has a monthly lease cost plus a cost for each page that is copied. Machine 1 has a monthly lease cost of $600, and there is a cost of $0.010 per page copied. Machine 2 has a monthly lease cost of $400, and there is a cost of $0.015 per page copied. Customers are charged $0.05 per page for copies. (a) What is the break-even point for each machine? (b) If Zoe expects to make 10,000 copies per month, what would be the cost for each machine?