Peter lives in a town with only onemovie rental store. Suppose Peter'sdemand for movie rentals permonth is Q = 6 - P. The movie storecurrently charges £5 per movie butis thinking of adding a flat monthlycardholder fee, and dropping theprice to £2 per rental. At this newprice, what is the largest cardholderfee that Peter will pay?Select one:a. £10○ b. £3C.£20○ d. £8e.£16

Peter rents movies from a store. The demand function is Q = 6 − P, where Q is the number of movies…

Answered: Peter lives in a town with only one…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Graphically explain the model of buyer behaviour?
3. Consider a home energy storage (battery) system that can store up to 2 units of energy. At every time step, there is a demand for energy in the home which is drawn from 0,1,2 units with equal probability independent of the demands in the previous time steps. At every point in time, you have to satisfy the demand either by discharging the needed energy from the battery or purchasing power from the grid (or a combination of the two). You could also choose to purchase power from the grid to charge your battery. The grid energy price is either H(igh) or L(ow) according to a Markov chain (Price moves from H to L with probability p, and from L to H with probability q). (a) Model the decision making as an infinite horizon MDP where the objective is to minimize the discounted cost of energy purchased over an infinite horizon. (b) Write down a policy a of your choosing. Perform two steps of the operator T, for your policy, followed by one step of T..
give me a solution within 30-40 mins I'll give you multiple upvotes.
You sell bracelets online. The demand for these bracelets is: P = 84 - 2Q The bracelets cost $6 each to produce. If you choose to sell a bracelet, you cannot sell a necklace, which has averaged $18 in profit. At what price should you sell the bracelets? Enter as a value. ROUND TO TWO DECIMAL PLACES.
explain how a decrease in the real income of consumers would affect the market for luxury wallets sold by Saks Fifth Avenue.
Note: don't use chat gpt.
I need these please for extra credit I need 22 and 23 only!!
25 Columns 1 through 4 in the following table show the marginal utility, measured in utils, that Ricardo would get by purchasing various amounts of products A, B, C, and D. Column 5 shows the marginal utility Ricardo gets from saving. Assume that the prices of A, B, C, and D are, respectively, $9, $3, $2, and $6 and that Ricardo has an income of $71. Column 1 Column 2 Column 3 Column 4 Column 5 Units of Good A Units of Units of Units of MU MU MU MU Good B Good C Good D Number of Dollars Saved MU 1 72 1 24 1 15 1 36 1 5 2 54 2 15 2 12 2 30 2 4 3 45 3 12 3 8 3 24 3 3 4 36 4 9 4 7 4 18 4 2 5 27 5 7 5 5 5 13 5 1 6 18 6 5 6 4 6 7 6 0.50 7 15 7 2 7 3.5 7 4 7 0.25 8 12 8 1 8 3 8 2 8 0.13 Instructions: Enter your answers as a whole number. a. What quantities of A, B, C, and D will Ricardo purchase in maximizing his utility? 4 units of A 3 units of B units of C units of D b. How many dollars will Ricardo choose to save?
Product M has a price of $7.95. If the Total Utility an individual receives from consuming 8 units of Product M is 249 and the Total Utility for consuming one fewer unit of Product M is 228, then what is the Marginal Utility per Price of the 8th unit of Product M? (Round your answer to 2 digits after the decimal.)
Sven runs a daycare for some of the neighborhood children, where he earns $300/day inrevenue. He runs the daycare out of his home, for which the mortgage costs $3,000 per month($100 per day). Each day, Sven spends $50 on food, diapers, and other supplies. He also hassome toys and playground equipment that originally cost $500, but which he wouldn’t getany money for reselling today. Sven looks after all the children himself, so he doesn’t pay anymoney in labor costs. If he weren’t busy with the daycare, he could earn $120 per day as aprivate nanny. What is Sven’s daily economic profit from the daycare? (Select one from below) (a) $300: Economic profit is equal to revenue.(b) $180: That is his revenue minus opportunity cost.(c) $150: That is his revenue minus input cost.(d) $130: That is his revenue minus variable cost.(e) $50: That is his revenue minus accounting cost.(f) $30: That is his revenue minus economic cost.(g) $0: In the long run, all firms must make zero profits.(h) –$200:…
You are selling $30 souvenir books for a club fund-raiser. How could you use the technique of lowballing to improve your sales?a. Start by offering the books at $70 each and pretend to bargain with customers, making $30 your “final offer.”b. Start by selling the books at $25, but once the customer has retrieved his or her checkbook, tell him or her you made a mistake and the books are actually $5 more than you thought.c.Offer the customers additional incentives to buy the book, such as free cookies with every purchase.d. Start by selling the books at $40, but tell the customer he or she will get $10 back in three weeks.
1. Suppose that you are in charge of purchasing for a U.S. corporation that is planning to acquire a large number of new computers. The company's computer specialist has identified two models, one Japanese-made and one U.S.-made, that meet the necessary specifications. Since the two models are essentially equivalent, the company will buy the one with the lower price. Suppose the U.S.-made computer costs $2,400, and a similar Japanese-made computer costs 242,000 yen. If the nominal exchange rate is 110 yen per dollar, which computer is a better buy? (Hint: calculate the real exchange rate for computers)

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