Many economists favor a carbon tax as a way to discourage carbon emissions. Suppose such a tax were to be set at $20 per metric ton of carbon emissions (1 metric ton = 1,000 kilograms). Consider a 35% efficient coal-fired powerplant that produces 50MW of electricity. Given the carbon intensity of coal is 24gC/MJ, answer the following: a) What would the annual carbon tax be for this powerplant? Answer: $2.16 million/year b) A tree farm sequesters carbon at the rate of 5,000kg per year per acre over the 40-year life of the farm. What area of forest (in acres) would have to be planted to “offset” the powerplant’s emissions over the next 40 years (roughly the lifetime of the powerplant)? Answer: 21,600 acres c) How much could the powerplant ope

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South African Gold Mines, Inc. is writing off its $210 million investment using the cost depletion method. An estimated 700,000 ounces of gold are available in its developed mines. This year 35,000 ounces were produced at an average price of $400 per ounce. The depletion for the year is closest to: (a) $2.1 million, which is 15% of the gross income of $14.0 million (b) $2.4 million (c) $10.5 million (d) $42 million, which is 15% of the gross income of $280 million

Rex Carr owns a junkyard which processes used cars into scrap metal. In the long-run Rex can use two methods to destroy cars. The first involves purchasing a hydraulic car smasher which costs $200 a year to own and then spending $1 for every car smashed. The second method involves purchasing a hammer that will last one year and costs $40, and paying his brother Otto Carr to destroy the cars at a cost of $5 each. What is the minimum number of cars processed per year for which Rex should be willing to purchase the hydraulic smasher?

No written by hand solution Version:0.9 StartHTML:0000000105 EndHTML:0000006359 StartFragment:0000000141 EndFragment:0000006319   The demand and the supply of timber for construction in Australia are given by   QD =100 – 20P   QS = 5P   We assume the market is perfectly competitive.   2.1. Compute the equilibrium price PCE and quantity QCE.    2.2. Plot on a graph: the demand curve, the supply curve, and the equilibrium price and quantity.    2.3: Calculate the price elasticity of demand and price elasticity of supply at the equilibrium price and quantity.    2.4. Calculate the producer surplus and consumer surplus in the equilibrium and illustrate them in a graph.    2.5. Suppose there are many construction companies collapsed (and left the market), use a demand and supply graph to explain how the collapse affects the equilibrium price and quantity.    2.6. Consider the setup in 2.1-2.4, and suppose there is a strike of loggers, which change the supply to QS = 4P. Calculate the new…

Dawson Toys, Limited, produces a toy called the Maze with the following standards: Direct materials: 7 microns per toy at $0.33 per micron Direct labor: 1.1 hours per toy at $6.80 per hour During July, the company produced 5,000 Maze toys. The toy's production data for the month are as follows: Direct materials: 79,000 microns were purchased at a cost of $0.29 per micron. 35,250 of these microns were still in inventory at the end of the month. Direct labor. 6,000 direct labor-hours were worked at a cost of $43,200. Required: 1. Compute the following variances for July: Note: Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values. Do not round intermediate calculations. Round final answer to the nearest whole dollar amount. a. The materials price and quantity variances. b. The labor rate and efficiency variances. 1a. Material price variance 1a. Material quantity…

Compare the three alternative global pricingstrategies.

Each paper manufacturing firm produces pollution that provides yearly marginal benefits to the firm of MB = 450-5E but creates yearly marginal costs to society of MC = 10E If inspections can only uncover 1/4 of firms that are out of compliance each year, what is the efficient fine level when firms are found to be out of compliance?

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Electricity is produced with water according to the function: E = 5 + 5W-1W² where E = kilowatt-hour and W = gallons of water. Water costs $0.02 per gallon. Electricity can be sold on the grid for $0.10 per kWh (kilowatt-hour). How much water should be purchased?