Not trying to be rude but that’s too much for too little amount of points
That’s technically an entire book page of reading
Answer:
a) a downward shift in the AFC curve
Explanation:
AFC = Average Fixed Cost, AVC = Average Variable Cost, MC = Marginal Cost
Average Fixed Cost is defined as the fixed cost of production divided by the quantity produced. Mathematically given as:
Average Fixed Cost = Fixed Cost ÷ Quantity
AVC = FC ÷ Q
Average Variable Cost is defined as the variable cost of production divided by the quantity produced. Mathematically given as:
AFC = VC ÷ Q
Marginal Cost is defined as the cost incurred for an additional unit to be produced. Mathematically given as:
MC = ΔC ÷ ΔQ
The firm discovered a more efficient technology implies that the cost of production is reduced. The result of this is that the fixed cost (FC) is reduced and consequently, the AFC is reduced as well. Hence, the AFC curve shifts downward. We therefore see that a reduction in fixed costs (due to the discovery of a more efficient technology) results in the AFC curve shifting downwards
<u>Hence, Option A (a downward shift in the AFC curve) is the correct answer </u>
Answer:
The consumer price index is used to measure the quantity of goods and services that the economy is producing.
Explanation:
CPI or consumer price index is a measure of changes in the average prices of a basket of products and services in a given time. The selected goods and services are a fair representation of consumption expenditure in the economy. Economists use the CPI as a Macroeconomic indicator of inflation.
As a measure of inflation, the CPI statistics communicate increases or decreases in the prices of goods and services in the economy. It forms a basis for policy decisions by the government that aid in the prevention of reduced purchasing power of the dollar. CPI is all about changes in prices and nothing to do with the production of goods and services.
Answer: D. 57 years old.
Explanation: 17 years old is not old enough to have a child. When a person is 57 years old, their child is likely to be around 17 or 18 years old, 40 years younger. Having a child at 40 years old is probably the oldest age out of the ages listed.
Answer:
When using a financial calculator to compute the issue price of the bonds, the applicable periodic interest rate ("I") is 3.923%
Explanation:
Hi, first, the discount interest rate that you have to choose is 8%, because 9% is the coupon rate (which in our case would be 9%/2=4.5% and this is used only to find the amount to be paid semi-annually).
Now we know we have to choose 8%, but this is an effective rate (I know this is an effective rate because no units were mentioned), and by definition it is a periodic rate, but it is not the rate that we need since the payments are going to be made in a semi-annual way, therefore we need to use the following equation.
![r(semi-annual)=[1+r(annual)]^{\frac{1}{2} } -1](https://tex.z-dn.net/?f=r%28semi-annual%29%3D%5B1%2Br%28annual%29%5D%5E%7B%5Cfrac%7B1%7D%7B2%7D%20%7D%20-1)
So, everything should look like this.
![r(semi-annual)=[1+0.08]^{\frac{1}{2} } -1=0.03923](https://tex.z-dn.net/?f=r%28semi-annual%29%3D%5B1%2B0.08%5D%5E%7B%5Cfrac%7B1%7D%7B2%7D%20%7D%20-1%3D0.03923)
Therefore, the periodic interest that yuo have to use to calculate the price of the bond is 3.923%
Best of luck.
