Microeconomics (Fall 2014) Simon Bowmaker Problem Set 6 Submit at lecture (Monday‚ November 10) Write your answers on separate sheets of paper. Please include: your name your recitation teacher’s name day and time of the recitation NB: if your recitation takes place on Monday morning‚ you must submit your assignment to your teacher at the beginning of the recitation. 1. Assume a monopolist faces the following market demand: Q = 100 - 2P. The monopolist’s total cost function is TC = 5+8Q2. What
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FIN532M: Financial Derivatives Problem Set 2 DUE DATE: Feb. 12‚ 2015 1. How can you differentiate the forward price from the value of a forward contract? (2 points) 2. Explain why an FRA can be viewed as an exchange of a floating rate of interest for a fixed rate of interest payments and how you can use FRA in mitigating risks. (4 points) 3. The standard deviation of monthly changes in the spot price of live cattle is 1.2 cents per pound. The standard deviation of monthly changes in the futures
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P2.6 Price and Total Revenue. The Portland Sea Dogs‚ the AA affiliate of the Boston Red Sox major league baseball team‚ have enjoyed a surge in popularity. During a recent home stand‚ suppose the club offered $5 off the $12 regular price of reserved seats‚ and sales spurted from 3‚200 to 5‚200 tickets per game. A. Derive the function that describes the price/output relation with price expressed as a function of quantity (tickets sold). Also express tickets sold as a function of price
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Selected answer key for problem set 1 Econ262 C1.2 (i) There are 1‚388 observations in the sample. Tabulating the variable cigs shows that 212 women have cigs > 0. (ii) The average of cigs is about 2.09‚ but this includes the 1‚176 women who did not smoke. Reporting just the average masks the fact that almost 85 percent of the women did not smoke. It makes more sense to say that the “typical” woman does not smoke during pregnancy; indeed‚ the median number
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SAMPLE MANAGERIAL ECONOMICS QUESTIONS FOR MBA STUDENTS-MZUMBE UNIVERSITY-TANZANIA 1. Find an organization of your interest and (advised to pick an organization of one of the group members) and explain in detail how one of the aspects of managerial economics are applied in practice.) 2. Find an organization of your interest and (advised to pick an organization of one of the group members) and explain in detail how managerial decision making take into account some economic aspects that influence
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CHAPTER 1 1. Internal expansion involves a normal increase in business resulting from increased demand for products and services‚ achieved without acquisition of preexisting firms. Some companies expand internally by undertaking new product research to expand their total market‚ or by attempting to obtain a greater share of a given market through advertising and other promotional activities. Marketing can also be expanded into new geographical areas. External expansion is the bringing together
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Applied Problems – Week 1 AP‐1: Which costs are pertinent to economic decision making? Which costs are not relevant? ©2009 McGraw‐Hill Irwin. Used with permission from the publisher. Brickley‚ J. A.‚ Smith‚ C. W.‚ & Zimmerman‚ J. L. (2009). Managerial economics and organizational architecture (RQ 2‐1‚ p. 56). Boston: McGraw‐Hill Irwin. AP‐2: Textbook – Chapter 1‚ Applied Problem 2 (p. 32) AP‐3: Textbook – Chapter 2‚ Applied Problem 1 (p. 83) AP‐4: Textbook – Chapter 2
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purpose for which it exists and that the lot owners’ enjoyment and access of the common property is unimpeded. The statutory duty to repair and maintain common property is absolute and includes a duty to take preventative measures‚ ensuring a problem does not arise in the future. Hence‚ this duty preserves the ‘integrity of the physical structure of common property’. Prima Facie‚ the pool heater forms part of the physical structure of the common property due its location on the third floor
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Chapter 1 1 Introduction Economics and managerial decision making 2 Economics: The study of the behavior of human beings in producing‚ distributing and consuming material goods and services in a world of scarce resources Management: The science of organizing and allocating a firm’s scarce resources to achieve its desired objectives Managerial economics: The use of economic analysis to make business decisions involving the best use (allocation) of an organization’s scarce
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unlikely that we can grow our own food‚ sew our own clothes or build our house‚ it would be better if we would __specialize___ in what we do best and __exchange_ for those needs that others do better 3 The term _product market___ is a place where and economic exchange occurs between buyers and sellers. 4 There is a‚ an (inverse‚ direct)_inverse__ relationship between the price of a good and the quantity we will purchase. This is the law of __demand______ 5 The demand curve slopes (upward‚ downward)
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