Answer:
Macaroni and cheese is an inferior good.
Explanation:
From the information given in the question, we can assume that macaroni and cheese are considered as an inferior good for this consumer because there is an inverse relationship between the income level of this consumer and the quantity demanded for macaroni and cheese.
If there is 10% increase in the income of an individual then as a result quantity demanded of macaroni and cheese decreases by 15% and the price of this good remains constant. This shows that macaroni and cheese is an inferior good.
The answer to the question above as to how much more will nick have to pay than miles if nick's loan has an APR of 13.10% and mile's loan has an APR of 7.75 the answer is letter B, $267.50. in calculation the total payment of nick for four years is $5655 that's with the added 13.10% compounded monthly and mile's is $5387.5 with 7.75% compounded monthly.
Answer:
y = $440
x = $ 580
Explanation:
Given data:
order for smartphone is 320
order doe tablet is 310
sale of all order is $322,000
total combined price for smartphone and tablet is $1020
let cost of one smartphone is x
let cost of one tablet is y
320 x +310 y = 322,000..... 1
x + y = 1020 .....2
solving 1 and 2 we get
y = $440
x = $ 580
Any of the methods is an attempt to arrive at a profit
maximizing price. This likely occurs when there is a producing quantity in
regards of the output in which there is an equality with both of the marginal
revenue and the marginal costs.
Answer:
The answer is: Leslie should fund projects A and C
Explanation:
In order to determine if a project should be accepted, the first thing Leslie has to do is determine the projects´ Net Present Value (NPV). If the NPV is 0 or more, then the projects could be funded.
The formula to calculate NPV is:
NPV = ∑{p/( 1+r)t} - C
- p = net cash flows from the period
- r = discount rate (8.5% in this case)
- t = number of periods
- c = capital invested
<u>Project A:</u>
p = $4000;$4000;$4000
r = 8.5%
t = 3
c = $7,500
The NPV for Project A is $2,716.09
<u>Project B:</u>
p = $3000;$4000;$3000
r = 8.5%
t = 3
c = $8,000
The NPV for Project B is $511.52
<u>Project C:</u>
p = $0;$2,500
r = 8.5%
t = 2
c = $2,000
The NPV for Project C is $123.64
Once you calculate the NPVs from projects A,B and C you must determine how to distribute the $15,000 available. All three projects have positive NPVs, so they are profitable. But you can´t fund projects A and B since their combined costs ($7,500 + $8,000 = $15,500) exceeds $15,000. Leslie should invest in project A since its NPV is higher ($2,716.09 ˃ $511.52). She should also fund project C since its NPV is positive ($123.64) and the capital needed is smaller (only $2,000).
