The one-day return to investors who purchase IPO shares at the IPO offer price are ____, and the returns to investors who purchase the shares a day after the IPO are generally ____ A. high; high B. high; low C. low; high D. low; low
Q: Discuss in brief the various techniques of demand forecasting.
A: Meaning of Economics: The term economics refers to the situation under which there remain…
Q: Use the units of production method to find depreciation for the following: Cost Salvage Value…
A: To compute the annual depreciation expenses for the every machine, we’re going to compute the units…
Q: Economics 33. Is the following statement true or false? Explain. In a duopoly, ceteris paribus,…
A: Collusion is when two or more businesses make a deal that is against the law to limit competition.…
Q: The Consumer Protection Act is enforceable on consumers regardless of their annual turnover. Select…
A: The consumer protection act refers to the government bill to protect the interest of the consumers…
Q: 3. Consider the following degenerate game. Please find all the pure and mixed strategy Nash…
A: Pure Strategy Nash Equilibrium : When Player 1 plays L, the best response of Player 2 will be to…
Q: Suppose Italy has the comparative advantage in producing wine and Germany has the comparative…
A: When two closed economies decide to open up and make international trade, their is an opportunity to…
Q: QUESTION 22 Figure 2-4 Food products W Plastic products Figure 2-4 shows various points on three…
A:
Q: AS B P - AD2 A Po · AD1 Yo Y1 Y Output 25. Refer to the above Figure, if the economy is currently on…
A: The government of a country conducts fiscal policy to make changes in aggregate demand in the…
Q: b) Given the following exchange rate quotes Eues E1/$1.1837 nd Eure El/0.7230 Poond E1/$1.6388…
A: Exchange rate quotes Exchange rate quotes mean when the currency of foreign is expressed in terms…
Q: 3.) Consider the market for beehives. Suppose that the demand for beehives of local apiarists is…
A: The curve that depicts various quantities of goods and services being demanded by consumers at…
Q: (a) Consider a monopolist with a demand function P = 60 – 10Q, where P is price and Q is quantity…
A:
Q: There are two firms, A and B emitting sulfur dioxide. In total, they emit 100 tons of sulfur…
A: In total, Firm A and Firm B emit 100 tons of sulfur dioxide. The EPA wants to reduce the level of…
Q: Economics According to the climate graph, what is the range of temperature recorded in the city of…
A:
Q: Joe has moved to a small town with only one golf course. His demand curve is P = 120 – 2Q where Q is…
A: Given:P=120-2QMC=$20Now, two-part pricing condition is:P=MC120-2Q=202Q=120-202Q=100Q=1002Q=50we can…
Q: Economics 33. Is the following statement true or false? Explain. In a duopoly, ceteris paribus,…
A: Nash equilibrium refers to the equilibrium where the dominant strategy matches with each other. It…
Q: SA inflation eases slightly in January Inflation eased to 5.7% in January, down from 5.9% the month…
A: Inflation: Inflation is a term used in economics to describe an increase in the overall price level…
Q: 3. Consider the following degenerate game. Please find all the pure and mixed strategy Nash…
A:
Q: Please give me the correct answer and how to solve the problem The current 10-year USTS are trading…
A: With cash on one side and Treasury securities on the other, the repo market is essentially a two-way…
Q: Again, please use the following data for an economy that has only two banks, Bank A and Bank B.…
A: The currency deposit ratio shows how much money people have in comparison to their overall deposit.…
Q: Refer to the table below for the following question. Suppose this economy has labor force…
A:
Q: Which of these two macroeconomics issues is more important, economic growth or business cycle
A: Economic growth is influenced by random fluctuations, seasonal fluctuations, business cycle…
Q: Which of the following is most likely to be the best method of reducing the usage of personal cars…
A: Road Traffic and congestion is a major problem that any economy is facing in recent times. Due to…
Q: 14. The salaries of Left Tackles increasing relative to other lineman and other positions generally…
A: The position of left tackle has risen to prominence. Other than the quarterback, it is usually the…
Q: O Level of income above which a person loses all welfare benef
A: The breakeven level of income is income where there is no savings. That means Income= Consumption…
Q: If the above assumption did not hold, the change in the money supply would be ________(less…
A: Banks are required to have a specific quantity of liquid deposits (such as cash) on hand; exceeding…
Q: Using the same given, over what range of prices is y elastic with respect to p?
A: Elasticity of demand is defined as type responsiveness of the quantity demand when price of the…
Q: Answer the following questions regarding elasticity When Jake’s income increases from $400 to…
A: In economics, elasticity measures the percentage change of one economic variable in response to a…
Q: Goods x and y are perfect substitutes. When the market price of good x is $5/unit, firm F produces…
A: Given; Market price of good x= $5 per unitQuantity produced by firm F of good x= 500Increase in…
Q: uestion 3 In 2,010, the average price of a certain industrial material was SR 16.08 per liter.…
A:
Q: discuss the situation during pandemic in Canada, and discuss how monetary policy was used to correct…
A: LM curve shows the direct relationship between the interest rate and output. The LM curve is upward…
Q: Which consideration would not be relevant in determining the entity’s functional currency? The…
A: When talking about functional currency, it can be said that it is the form of money in which an…
Q: If the Federal Reserve decides to raise the interest rate to solve a potential inflation problem,…
A: In the United States, if Federal Reserve raised interest rate to deal with inflation, it is known as…
Q: Muriel and Edgar each have 30 labor hours available per week to knit hats and scarves. In 30 hours,…
A: Since you have asked multiple subparts we would be answering the first three for you. To get the…
Q: MC Qu. 14-17 Homogeneous oligopoly exists where a small. Homogeneous oligopoly esists where a small…
A: In oligopoly marker, there is many number of buyers but only few number of sellers.There is product…
Q: Σ 3. 21 Pric 2. Unit 2 Progress Check FRQ 5. 2. 0 12 3 4 5 6 7 8 9 10 Quantity (millions of cases)…
A: The curve that depicts quantities of goods and services being demanded by consumers at various…
Q: CBK tips new digital shilling to take on high M-Pesa charges The proposed Central bank digital…
A: The trajectory of Kenya's domestic payments suggests the development of a strong, inclusive, and…
Q: Question 45 Websites, such as Monster.com, which feature job listings and allow individuals to…
A: In an economy, different types of unemployment arises due to different market conditions, such as…
Q: Two software companies sell competing products. These products are substitutes so that the number of…
A: For maximization of profit, price per unit of production must be equal to the price. For perfectly…
Q: Which of the following methods of calculating GDP would NOT be accurate when the information on the…
A: Gross domestic product (GDP) measures the market value of final goods and services produced by an…
Q: Derive the output elasticity of labour for the following further alternative production function:…
A: Output elasticity measures a percentage change in output due to percentage change in inputs. Whereas…
Q: Exercise 1 a) Use the equation for the circular flow of the real economy to give an overview of the…
A: Since you have posted a question with multiple sub–parts, we will solve the first three sub-parts…
Q: For points 1 to 4– Identify the tem and relevance of each point represented. 1 = 2 = 3 = 4 =
A: Total product is the sum of total output produced by the firm by using the given level of inputs. On…
Q: If a person moves $1,000 from a small-denomination time deposit to a demand deposit account, Select…
A: Answer is given below
Q: . Consider a market that consists of 360 consumers, i = 1,..., 360, each with the following…
A: Number of consumers = 360 Individual Utility function : ui = m + logxi Value of individual…
Q: Suppose the demand for oil is P=122Q 0.20. There are two oil producers who do not cooperate.…
A: Initial calculation Here there are two firms who produce oil and each charge price=$13 and the…
Q: 2. Demand-pull inflation can occur when… a) There is a shortage of investment and investors bid up…
A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: Find the capital recovery rate per year if Magnolia will relocate one of its poultry factories in…
A: We have given Salvage Value F = P9000 Original cost P = 21000 n = 4 years i =11% We have to…
Q: Câu 2: Assignments CAR is a measurement of a bank's available capital expressed as a percentage of a…
A: A bank's capital adequacy ratio (CAR) is a proportion of its risk-weighted credit exposures in the…
Q: Nay the data in a dot plot. Identify any clusters, peaks, or gaps in the dath 12. Camper…
A: Answer is given below
Q: If the price of your cell phone contract increases from R 700 to R 900 over a period of one year and…
A: "Nominal income does not reflect for changes in the price levels and real income reflect for the…
The one-day return to investors who purchase IPO shares at the IPO offer price
are ____, and the returns to investors who purchase the shares a day after the
IPO are generally ____
A. high; high
B. high; low
C. low; high
D. low; low
Step by step
Solved in 2 steps
- A company estimates that the relationship between. unit price and demand per month for a potential new product is approximated by p= $100.00-$0.10D. The company can produce the product by increasing fixed costs $17,500 per month, and the estimated variable cost is $40.00 per unit. What is the demand that maximizes revenue and the maximum revenue? What is the optimal demand, D*, and based on this demand, should the company produce the new product? Why? (Work out the complete solution by differential calculus, starting with the formula for profit or loss per month.)Question An incumbent firm Pilly has a product that works well but has the possibility of causing side-effects to users. Both Pilly and an upstart firm Smirck are having the opportunity to develop a new product without the side effects. The following table shows the expected net return (after considering R&D costs, probability of success in product development, and future profits) for each firm under different scenarios. Smirck Invest Smirck Not Invest Pilly: $2.4 m Smirck: -$0.1 m. Pilly Invest Pilly: $4.9 m Smirck: $0 Pilly Not Invest Pilly: $3 m Smirck: $0.4 m Pilly: $5 m Smirck: $0 Assume that the two firms simultaneously choose whether to invest or not. What is the Nash Equilibrium of this game (that is, the action choices of the two firms in the Nash Equilibrium)? Would your answer be different if Pilly is the first mover and commits to its choice before Smirck makes its response (that is, a sequential-move game)? Equilibrium in the simultaneous-move game (No need for…Acme Drug Co. has a patent on the drug A-rene, the annual demand for which can be described by the demand curve: Q = 4500 - 300P. Production of the drug requires an annual fixed cost of $3,000 and a per unit marginal cost of $5. (i) How many units of the drug will Acme produce each year, and what price will it charge, in order to maximize its profits? What will be its annual profits? (ii) Now suppose that the Better Drug Co. has discovered B-rene, a new drug which seems to be identical to A-rene in all its effects. If Better enters the market, competition with Acme will conform to a Cournot duopoly. Better’s costs are identical to those of Acme. What would be the equilibrium outcome of this duopoly? Specifically, how much would each firm produce and what would be the price? How much profit would each firm make? Would Better find it profitable to enter the market? (iii) Would it be in the interests of society as a whole for Better Drug to enter into production? Identify the gainers and…
- Sampson Ltd produces two products that can be produced on either of two machines. Each month, only 5o0 hours of time are available on each machine. The time required to produce each item by hour and machine is: Machine Machine Product 1 Product 2 3 4 Month Month 1 Month 2 Month 1 Demand Demand Price Price Product 1 100 160 $45 $65 $10 Product 2 120 110 $35 The demand and price point for each product that customers are willing to pay are above. The company goal is to maximize revenue from sales from the next two months. Based on the provided information, how many constraints does this problem have excluding the non-negativity constraints?A business has spent $50 million dollars on development of a new laptop. It must spend an additional $20 million to bring the finished computer to market. What are the minimal acceptable returns (after spending $50 million) for management to bring the new laptop to market? Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. a Any amount over $20 million. b Any amount over $50 million. c Any amount over $70 million. d The value, if any, of the results of the $50 million spent so far. e The value, if any, of the results of the $50 million spent so far, plus the $20 million. Typed and correct answers please.The demand function for FreshFood Exclusive Brand's product is D = 80 - 2p , where D is the number of units and 'p' is the price per unit. The value of D that will achieve maximum revenue is __________________.
- W7 Q5 A paper published in the Harvard Business Review points out a new way to calculate economic profit that could be more appropriate for service firms and other people-intensive companies. Instead of focusing on investment and return on investment, the focus is on employee productivity, in terms of both generating revenues and reducing costs. The approach is to first determine economic profit in the conventional way, except that we ignore taxes, so that economic profit is before tax, as follows: Economic profit = Operating profit − Capital charge Assume the following information for a hotel chain that wishes to adopt the new method. The firm has $100 million in operating profit, has $1 billion in investment, and uses a cost of capital rate of 5%, so the capital charge is $50 million and the economic profit is $50 million. Relevant calculations are contained in Part 1 of the following schedule: Part 1: Economic Profit (in thousands, except cost of capital rate) Revenue…ect of the utility commission's ruling on the profitability of the firm? 15 A company estimates that the demand for its product fluctuates with the price it charges. The demand function is q = 280,000 – 400p where q equals the number of units demanded and p equals the price in dollars. The total cost of producing q units of the product is estimated by the function C = 350,000 + 300q + 0.0015q? (a) Determine how many units q should be produçed in order to maximize annual profit. (b) What price should be charged? (c) What is the annual profit expected to equal? 16 Solve the previous exercise, using theu.om/mod/quiz/attempt.php?attempt3D1579003&cmid%=812962&page%3D19 System (Academit oles of Microeconomics Spring20 fall20 Price MC ATC of P2 P3 stion Q, Q2 Q3 Quantity/time MR Refer to the above figure. Economic profits for this firm are Select one: O a. undetermined without more information. O b. zero. C. positive. O d. negative. pe here to search hp
- plans are underway for a new stadium for a baseball team. City officials question the number and profitability of the luxury corporate boxes planned for the upper deck of the stadium. Corporations and selected individuals may purchase a box for $300,00. The fixed construction cost for the upper deck area is estimated to be $4,500,000, with a variable cost of $150,000 for each box constructed. a. what is the expected profit of building 50 luxury boxesYou are currently in a job as a chef in a restaurant earning $100,000 per year. You are considering opening up a restaurant in a building which you currently own. You estimate that, if you wanted to, you could rent out your building for $25,000 per year to another restaurant. Last year, your revenues and expenses from the restaurant were the following: Revenues $400,000Cost of Food $120,000Salaries/Wages $100,000Utilities $25,000Taxes $20,000 What is your accounting profit? Show your calculations What is your economic profit? Show your calculations Assuming that you are indifferent between being a chef or owning a restaurant, should you open up your restaurant? Explain why. Now suppose that instead of owning the building where your restaurant will be located, you had to pay rent of $25,000 per year for the building. Will your answers to parts 1-3 change? Show your calculations. Explain how and why your answers will change or…The difference between TC and TVC falls with increase in output True / False
