Draw production possibilities frontier between beans-peas
Draw a production possibilities frontier between beans and peas which exhibits increasing opportunity cost. Label the unattainable points, the attainable point with fully employed resources, and the attainable points with unemployed resources.
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In the same graph, illustrate the consumer's opportunity set when the price of good X increases to $20. How does this change alter the market rate of substitution between goods X and Y?
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Evelyn uses the straight-line method to account for depreciation expense. The error was discovered on December 10, 2011. Evelyn is subject to a 40% tax rate. Evelyn's net income for the year ended December 31, 2009, was understated by:
Draw a production possibilities frontier between beans and peas which exhibits increasing opportunity cost. Label the unattainable points.
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Your firm is faced with paying a variable rate debt obligation with the expectation that interest rates are likely to go up. Using interest rate futures and interest rate swaps, identify two strategies that could reduce the risk to the firm.
What must an entrepreneur do to earn a profit? How do the actions of firms earning profits influence the value of resources? What happens to the value of resources when losses are present?
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