Semester (2013) Mark McCabe Problem Set 1 Due in class on 27. March Instructions: Please show all of your work‚ e.g. all of the calculations associated with each solution. Your solutions should be typed and not handwritten. As I mentioned in class‚ students may work together to solve these problems‚ but plagiarism or copying is not permitted. On the 27th‚ please bring a paper copy to class‚ and e-mail me a digital copy (mccabe@umich.edu) before the beginning of class. 1. At the local Castorama
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ionD1 – Evaluate how nature and nurture may affect the physical‚ intellectual‚ emotional and social development The development of an individual can be down to different aspects such as physical‚ intellectual‚ emotional and social development; these effects can be due to nature or nurture or quite possibly both. ‘The nature versus nurture debate has been a classic controversy among experts for centuries’ (www.macalester.edu)‚ even now there has been no clear conclusion as to who is right and
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for Problems and Cases Chapter 1 No check figures Chapter 2 Problem 2-13 Boxes for packaging: variable‚ direct Problem 2-14 Depreciation: fixed‚ manufacturing overhead‚ sunk Problem 2-15 (3) Cloth used: variable‚ direct Problem 2-16 (1) Cost of goods manufactured: $310‚000 Problem 2-17 No check figure Problem 2-18 (1) Cost of goods manufactured: $290‚000 Problem 2-19 (1) Total variable cost: $321‚000 Problem 2-20 Clay and glaze: variable‚ direct materials Problem 2-21
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MICROECONOMICS CHAPTER 1 The Market Economy What is to be done? —Lenin When future historians look back on the close of the 20th century‚ one of the most sweeping changes they will note is the collapse of centrally planned economies in Eastern Europe. It is not far off to say that the Cold War between the United States and the Soviet Union was won not by the armies of the United States and its allies‚ but by the productive power of Western market economies. Mikhail Gorbachev‚ then leader of the Soviet
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Microeconomics study guide Chapter 6 Notes: Firms and Production A firm converts inputs into outputs What firms want: 1. Profit : π = R - C 2. efficient production to maximize π -efficient production alone is not sufficient to ensure a firm’s π is maximized How they are organized 1. information exchange 2. incentives for workers Production Function q = f(L‚K) relationship b/w quantities of inputs used & max quantity of output that can be produced given current knowledge about
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parameters so that α + β = 1 U(x‚y) = xɗy1-ɗ‚ where ɗ = α/(α+β) and 1-ɗ = β/(α+β). The new utility function is U(x‚y) = x11/2x21/2 L (x1‚x2‚λ) = x11/2x21/2 + λ (I – px1x1 – px2x2) ɗL/ɗx1 = (1/2)x1-1/2 x21/2 – λpx1 = 0 ɗL/ɗx2 = (1/2)x11/2 x2-1/2 –λpx2 = 0 ɗL/ɗλ = I – px1x1 – px2x2= 0 => px1/px2 = x2/x1 => x1 = (px2x2) / px1. Put this in the budget constraint: I = px1(px2x2) / px1 + px2x2 => x2* = I / 2px2 Using the same way to find the demand function of good 1‚ we obtain: x1* = I / 2px1
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Exercise 6-1 Part A (1) Sales 2‚700‚000 Purchases (Cost of Goods Sold) 2‚700‚000 To eliminate intercompany sales of 2011 (2) 12/31 Inventory-Income Statement (Cost of Goods Sold) 487‚500 12/31 Inventory (Balance Sheet) 487‚500 To eliminate unrealized intercompany profit in inventory Exercise 6-2 Reported Net Income- S Company $ 525‚000 Noncontrolling Interest Percentage 0
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SOLUTIONS Financial Management Seminar + Homework‚ Week 5 1. Starware Software was founded last year to develop software for gaming applications. Initially‚ the founder invested $800‚000 and received 8 million shares of stock. Starware now needs to raise a second round of capital‚ and it has identified an interested venture capitalist. This venture capitalist will invest $1 million and wants to own 20% of the company after the investment is completed. a. How many shares must the venture capitalist
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Learning Team E 1/30/2012 University of Phoenix ACC 547: James Enney 22-50 Jack and Jill are owners of UpAHill‚ and S-corporation. They own 25 and 75 percent‚ respectively. a. What amount of ordinary income and separately stated items are allocated to them for years 1 and 2 based on the information above? Description | UpaHill | Jack 25% | Jill 75% | Year 1 Income | $ 45‚000.00 | | | Less: | | | | Dividends | $ 500.00 | | | Interest Income | $
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WHAT IS ECONOMICS (Chapter 1) DEFINITION OF ECONOMICS * Scarcity: Limited resourcesTime‚ money. * Inability to satisfy all of our wants * Faced with scarcity we must choose among available alternatives * Trade offs * Incentive: Reward that encourages and action or penalty that discourages * Microeconomics: Choices of: * Individuals * Businesses * The way these choices interact in markets and the influence of the government * Macroeconomics: * Study of
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