Youve recently learned that the company where you work is being sold for $350,000. The companys income statement indicates current profits of $12,000, which have yet to be paid out as dividends. Assuming the company will remain a going concern indefinitely and that the interest rate will remain constant at 7 percent, at what constant rate does the owner believe that profits will grow?

Instruction: Round your response to 2 decimal places.

1. Growth rate of____ percent.

2.The supply curve for product X is given by QXS = -440 + 20PX .

a. Find the inverse supply curve. P =____ +____ Q

b. How much surplus do producers receive when Qx = 420? _______

c. When Qx = 980?_____

d. When QX = 420:_____

e. When QX = 980:_____