Linda, age 37, who files as a single taxpayer, had AGI of $280,000 for 2013. She incurred the following expenses and losses during the year.Medical expenses before the 10%-of-AGI limitation $33,000State and local income taxes 4,500State sales tax 1,300Real estate…
Linda, age 37, who files as a single taxpayer, had AGI of $280,000 for 2013. She incurred the following expenses and losses during the year: Medical expenses before the 10%-of-AGI limitation $33,000State and local income taxes 4,500State sales tax 1,300Real…
The commando motorcycle company has decided to become decentralized and split it’s operations into two divisions. Motor and Assembly.Both divisions will be treated as investment centers. The motor division is currently operating at it’s capacity of 30,000 motors per year…
The table below shows how output changes as inputs change. The wage rate is £5 and the rental rate (cost) of capital is £2. Calculate the lowest cost method of making 4, 8 and 12 units of output. There are…
Assume that a firm in a perfectly competitive industry has the following total cost schedule: OUTPUT (UNITS) TOTAL COST ($)10 $11015 $15020 $18025 $22530 $30035 $38540 $480 A. Calculate a marginal cost and an average cost schedule for the firm…
On January 1, 2011, Albert invested $20,000 at 5 percent interest per year for three years. The CPI on January 1, 2011, stood at 100. On January 1, 2012, the CPI (times 100) was 108; on January 1, 2013, it…
Plot the PPC of a nation given by the following data. Combination Health Care All Other GoodsA 0 100B 25 90C 50 70D 75 40E 100 0 a. Calculate the marginal opportunity cost of each combination.b. What is the opportunity…
Pistachio, Inc. is thinking of building a bakery to introduce French cookies, so-called macarons, to the Newark market. A preliminary marketing study, which cost $75,000 and which was completed last year, showed a significant demand for macarons in the Newark…
Specialty Steel has carefully measured production in its new plant to determine whether it is technically efficient in production. It has found that the production function of the firm is represented by the following equation where Q is output level,…
Inline Incorporated manufactures skates and equipment for in-line skating. The company offers a one-year warranty on all products. During 2012, the company recorded net sales of $3,887.4 million. Historically, about 2% of all sales are returned under warranty and the…
