The President of the Poseidon firm is offering you the financial analyst position because he admires your knowledge and your character. Prove to him that you know how to fix an amortization schedule given that the amount of the loan is L= $90,000 dollars, the interest rate is 6% and the time period is 6 years respectively a. Show all your calculations analytically.

b. Is it better for the firm to issue Bonds or to get a Bank Loan?

c. Consider a Cobb Douglas Production Function where the coefficients a=0.35 an b=0.72. What kinds of returns to scale my Production Function exhibits?

d. What is happening to the Long Run Average Cost if Decreasing Returns to Scale prevail?

e. What is the Optimal Condition that must prevail in Perfect Competition? f. What is the Optimal Condition that must prevail in the Monopoly case?