Background Information Question 1 a. The demand for gym membership at Ace Body is linear and when the price per membership is £80, zero units are demanded. When the price of gym membership is £0, then 80 units are demanded. The supply of gym membership is also linear and when the price for gym membership is £10, zero units are supplied. When the price of gym membership is £100, then 90 units are supplied. i.&nb...
Question OneQuestion One In order to obtain the funds necessary to expand its business Growth Ltd is to make a $12M share issue. Advise the directors of Growth Ltd over the following matters. Hint: The best practice questions to use from workshops is workshop 3 questions 1, 3 and 4 Only write maximum 1/2 page to answer this question Required: (a)Can the funds be raised without a prospectus? (b)If a prospectus is prepared, will the ...
PART AFor each question that involves a diagram you should (a) describe the change(s) you have shown, and(b) explain why the adjustments you have described occur. PART A Answer the following questions with reference to Policy assessment 1 1. How would “reduced world activity will mean lower demand for many of New Zealand’s exports” berepresented in an AD-AS diagram? For this question, assume that the SRAS and LRAS curves ...
The Formula for Calculating Exchange RatesConsider the following formula Ets$=$t+1 s$=$t = i$t i$t;where s$=$t is the logarithm of the nominal exchange rate in period t deÖned as pounds per dollar; i$ tis the short term interest rate in the UK and i$tis theshort term interest rate in the US. 1) The formula above captures which theory? a) Purchasing Power Parity b) The International Trilemma c) Uncovered Interest Rate Parit...
Question: 1.Demonstrate the following knowledge and understanding: ·Demonstrate strong understanding of airline finance, including airline costs and revenues, and how airline revenue management may be utilised to drive revenue within the context of demand 2.Demonstrate the following skills and abilities ·Decisively articulate the economics that underpin airlines, the factors that drive airline performance, and how airline perf...
Learning OutcomesLearning Outcomes After the completion of this assignment, learners will be able to: 1. Explain the concepts of demand and supply pertaining to a case based on local telecommunication industry. 2. Apply the concepts of production factors and cost to evaluate the production issues for a telecommunication company. 3. Analyse the market competition among the telecommunication players using the concepts of market structures. R...
1. Consider an economy that produces and consumes bread and automobiles. In the table below are data for two different years. Year 2000 Year 2010 Price of an automobile $50,000 $60,000 Price of a loaf of bread $10 $20 Number of automobiles produced 100 120 Number of loaves of bread produced 500,000 400,000 ...
Hedging against Price Fluctuations with Futures Contracts1. Consider the following futures contracts: (1) silver, (2) corn, (3) oil, (4) Mexican peso. Explain what kinds of individuals or firms would be interested in using these contracts as a hedging vehicle. For each contract, you should identify one party who’d be interested in hedging against an upward move in the price and one party interested in hedging against a downward move in the...
USA Initial Conditions1.We assume that the world consists of two large open economies, USA and China. USA Initial Conditions Cd = 300 + 0.4(Y-T) – 200rw Id = 200 – 200rw Y = 1000 T = 200 G =275 China Initial Conditions CdF = 450 + .4(YF – TF) – 300rw IdF = 250 – 300rw YF = 1500 TF = 300 GF = 300 a.What is the equilibrium interest rate that clears the international goods market? Show all work&nbs...
The Goals of Government Regulation in the Cable TV IndustryThis assignment is based on the Cable Wars case study, which is available on Blackboard. This case covers the regulatory policy discussion surrounding the provision of cable television in the mid-1980s, with a focus on issues of natural monopoly, potential abuses of the resulting market power, and changes over time in the features of this market that might cause policymakers to reconsi...
Problem 1: Lorenz Curves and Gini CoefficientsUsing a simulated version of the KwaZulu-Natal Income Dynamics Study (KIDS) survey, we will examine the evolution of inequality in South Africa between 1993 and 2004. (Use the data provided in the “SSI2020_PS2_template” Excel file under the worksheet titled “Q1_Lorenz and Gini_n” in the folder for problem set 2. All the numbers are reported in real values of 2000. Thus, th...
Political/Legal AspectsHow to Write a Country Analysis Term Papers How to write a country analysis term paper illustrates all the aspects that should be in a good country analysis research paper. The following illustrates all the aspects that Paper Masters' believes should be in a good country analysis research paper. I. Political/legal aspects: - Government involvement in business regulation and ownership/planning as well as prices (Freedom fro...
Policy recommendations for high unemployment and deficits1. We are advisors to the president. The nation is experiencing the following: a.It has a high unemployment which stems from an insufficient use of resources. b.It faces a current account deficit. c.It has a capital account surplus. d.The technology level is low     e.The infrastructure level is low. What policy recom...
Price Elasticity of Demand and its impact on demand1.Given that the price elasticity of demand (?) is 0.5, a.How does demand change if the price is increased 1% b.How does demand change if the price is decreased 5% c.How does demand change if the price is decreased 50% 2.The Linear Price-Response Function. The total potential market for mini-jumbo-shrimp is D=150,000. We know that the demand decreases 5000 for every dollar increase in pric...
XCO's Intent with the Customer Service and Service Technician Policies1.Customers who rent copier machines for their office from Company X (“XCO”) are given a customer service number at XCO to call if they have problems with the machine. A customer service employee at XCO may be able to explain how to fix the problem by talking on the phone. Automation and troubleshooting of the process is accomplished by a computer program t...