FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Solve clearly 3. Capital market(9pts) Let Py=$6, Pk=$50, Y=25K-(1/5)K', the interest rate is 7% and machines are expected to last an average of 20 years.

image text in transcribed

Solve clearly

image text in transcribed
3. Capital market(9pts) Let Py=$6, Pk=$50, Y=25K-(1/5)K', the interest rate is 7% and machines are expected to last an average of 20 years. A. What is the user cost of capital? How many machines will maximize profit? C. What is the maximum profit? D When we made this calculation, K=60. What will investment be in dollars

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Macroeconomics

Macroeconomics

Authors: Glenn Hubbard, Anthony Patrick O'Brien, Matthew P Rafferty

1st Edition

978-0132109994, 0132109999

More Books

Students also viewed these Economics questions

Question

★★★★★
When a file is removed, its blocks are generally put back on the free list, but they are not erased. Do you think it would be a good idea to have the operating system erase each block before...

Answered: 1 week ago

Question

★★★★★
One item is omitted from each of the following summaries of balance sheet and income statement data for four different corporations. Determine the amounts of the missing items, identifying them by...

Answered: 1 week ago

Question

★★★★★
Why was the concept of action at a distance, or psychical reflex, troublesome to Pavlov?

Answered: 1 week ago

Question

★★★★★
Sam Shiatsu is a self-employed massage therapist and is the brother-in-law of a partner in the CPA firm where you work. During tax year 2008, Sam worked as an assistant supervisor and clinician for...

Answered: 1 week ago

Question

★★★★★
c) The buffer can be in three states. Draw the buffer states. [2 Marks] a) Peterson's Algorithm: Given a code for Process O and Process 1 in Table 4. Fill in flags and turn variables if Process 1...

Answered: 1 week ago

Question

★★★★★
At a water treatment facility, the probability that a random water sample contains Chemical A and Chemical B is 10%. Theprobability that a random water sample contains Chemical A but not Chemical B...

Answered: 1 week ago

Question

★★★★★
business law "This is impossible! Just totally impossible! Ten months ago I was sitting on top of the world. Upper-level management considered me one of the best, if not the best, engineer in the...

Answered: 1 week ago

Question

★★★★★
BE12.4-Using Excel to Calculate Direct Materials Variances PROBLEM Sprague Company's uses a standard cost system and has provided the following information for its direct materials during Julv....

Answered: 1 week ago

Question

★★★★★
Flounder Company purchased a new machine on October 1, 2022, at a cost of $110,000. The company estimated that the machine will have a salvage value of $10,000. The machine is expected to be used for...

Answered: 1 week ago

Question

★★★★★
During a research project, interviewers are giving a quota of interviews to complete within a given time frame. One interviewer consistently exceeds the quota but her data reveals lots of out-...

Answered: 1 week ago

Question

★★★★★
kom " A jackrabbit can run at the speed of 1.35 kilometers per minute. How fast can the jackrabbit run in miles per hour? First fill in the two blanks on the left side of the equation using two of...

Answered: 1 week ago

Question

★★★★★
Your task is to develop a detailed document of the requirements of an e-commerce website. Use the information below and the Requirements Document Template (attached below). Directions The folks at...

Answered: 1 week ago

Question

★★★★★
2. In this chapter, the reader should reflect on the following concepts: Social facts, concrete fallacy, constructs, overestimation error.

Answered: 1 week ago

Question

★★★★★
1. Explain the following statements: a) Objective reality is always subjectively interpreted. b) What we know depends on whom we got to know it from.

Answered: 1 week ago

Question

★★★★★
4. Give examples from your everyday life where the process affects the result, but where the result also affects the process.

Answered: 1 week ago

Previous Question Next Question