Suppose the demand function for avocados is Q = 104 - 40p + 20tp + 0.01Y, where p is the price of avocados, pt is the price of tomatoes, and Y is average income, and the supply function for avocados is Q = 58 + 15p - 20pf, where pf is the price of fertilizer. Suppose pt = $0.80, Y = $4,000, and pf = $0.40. What is the equilibrium price and quantity of avocados? The equilibrium price of avocados is = $2.00 and the equilibrium quantity is Q = 80 units Suppose the government charges a $0.55 specific tax per avocado to be paid by consumers. With the tax, the equilibrium price of avocados is p = $1.60 and the equilibrium quantity is Q = 74 units.

Kelso electric is debating between a leveraged and an unleveraged capital structure. the all equity capital structure would consist of 40,000 shares of stock. the debt and equity option would consist of 25,000 shares of stock plus $280,000 of debt with an interest rate of 7 percent. what is the break-even level of earnings before interest and taxes between these two options?

Biochemical corp. requires $600,000 in financing over the next three years. the firm can borrow the funds for three years at 10.80 percent interest per year. the ceo decides to do a forecast and predicts that if she utilizes short-term financing instead, she will pay 7.50 percent interest in the first year, 12.15 percent interest in the second year, and 8.25 percent interest in the third year. assume interest is paid in full at the end of each year. a)determine the total interest cost under each plan. a) long term fixed rate: b) short term fixed rate: b) which plan is less costly? a) long term fixed rate plan b) short term variable rate plan

Robert just found out that he is going to be unemployed within a month because his factory has invested in a robotic factory line and his skills are no longer needed. this means that robert is . the gdp within country d has begun to decline. as a result of decreased production, thomas lost his job designing cars. this means that thomas is . raquel has just been offered a job, but she has decided not to take it because she feels her skills merit better pay and a better position. this means that raquel is .