1. Your hospital has just been told that all of your cardiovascular surgeons are transferring their practice to a competitive hospital beginning next year. How would this affect a forecast of volume?
2. Payments of 800, 500 and 700 are made at the end of years 2, 3 and 6 respectively. Assuming i = 0.13, find the point at which a single payment of 2100 would be equivalent.
3. Why do countries trade with each other? What would happen if countries curtailed or did not trade with each other? Select a theory discussed in chapter 2, explaining why it is beneficial for a country to engage in international trade.