Cost savings equal to $200,000 for the first year of operation of the center; initial investment $800,000 that will depreciate. Calculate the project’s annual free cash flow
Description of Elasticity of demand Question 1P 0 1 2 3 4 5 6Qd 600 500 400 300 200 100 0 A. Graph the data above b. Calculate the elasticity of demand, using the point formula, as price drops from…
A famous quarterback just signed a $12.5 million contract providing $2.5 million a year for 5 years. A less famous receiver signed a $11.5 million 5-year contract providing $4 million now and $1.5 million a year for 5 years. The…
When the price of oranges increases from $1.00 per pound to $1.50 per pound, quantity demanded falls from 500 pounds to 400 pounds. Calculate the price elasticity of demand.
For the consumer price index values shown, calculate the rate of inflation in each year from 1930 to 1933. What is unusual about this period, relative to recent experience? Year 1929 1930 1931 1932 1933CPI 51.3 50.0 45.6 40.9 38.8
“Canadian gas companies shipped 21.4 billion cubic metres to the US last year, up from 20.1 billion in 1983, according to figures released Tuesday by the Canadian Gas Association. But lower prices permitted under new federal regulations instituted last year,…
One year ago, you bought a bond for $10,000. You received interest of $400 at the end of the year, as well as your $10,000 principal. If the inflation rate over the last year was five percent, calculate the real…
Price Mart reduces the price of a 42 inch TV Plasma from $1,200 to $1,000. As a result sales of TV Plasmas increased from 30 units a month to 42 units a month. Calculate the price elasticity of demand for…
On July 1, 2012, Ted, age 73 and single, sells his personal residence of the last 30 years for $365,000. Ted’s basis in his residence is $35,000. The expenses associated with the sale of his home total $20,000. On December…
suppose the price of widgets falls from $7 to $5 and consumption of widgets rise from 15 widgets a month to 25 widgets. calculate your price elasticity of demand of widgets. what can you say about your price elasticity of…
