) Where, Δ The change in a variable from time t-1 to t LTDt Long-Term debt at time t It WCt Net investment at time t Working capital (excluding shortterm debt) Cash at time t Financing deficit/surplus at time t
STDt Short-Term debt at time t Ct EQt Equity at time t Fint Divt Cash dividends at time t...
new price?
3. For each of the following pairs of variables, explain (i) whether there is likely to be a positive or negative relationship between them, and (ii) which is the dependent and which is the independent variable.
(a) income and saving
(b) number of DVDs purchased and price of DVDs...
casserole to minimize the ingredient costs while meeting nutritional, taste, and demand requirements. Before she makes her final decision, Maria plans to explore the following questions independently except where otherwise indicated.
Answer:
1) The decision variables are:
P: The amount of...
, the more consumer surplus.
d. Diamond – Water paradox: The larger amount of supply, the more consumer surplus.
4. Producer surplus:
a. Producer surplus = (The total revenue) – (The total variable cost).
b. Definition: Equal to the total revenue minus the total variable...
a)
For a 1st degree price discriminator the seller can sell at the maximum price the buyer is willing to pay. Therefore we calculate the total revenue based on the maximum willingness to pay for the different segments of customers. Segment costs are calculated based on Variable cost per unit and...
. a list of economic data. 5. A dependent variable is: A. an X-variable determined separately from the Y-variable. B. a Y-variable determined by X values. C. a Y-variable determined prior to X values. D...
any other resources in various business problem since this variables yields no profit, therefore such variables are added to the original objective function with zero coefficients.
• Surplusvariable: Amount by which solution value exceeds resources. These variables are also called negative...
(for a max problem) without violating any of the constraints. Usually indicates a problem in formulation (e.g., omitted constraint). SurplusVariables: A surplusvariable represents excess quantity for a ≥ constraint. Surplusvariables are ≥ 0 and make no contribution to the objective function...
ceiling. A price floor leads to a surplus, if the floor is binding, because suppliers produce more goods than are demanded unless the price is allowed to fall below the floor.
2. With no tax, as shown in Figure 1, the demand curve is D1 and the supply curve is S. The equilibrium price is P1 and...
study is therefore to determine periodic inventory, sales revenue, profit, cost (fixed & variable), Break-Even-Points & Equilibrium Points, Producers’ & Consumers’ Surplus etc. of three different products.
METHODOLOGY USED IN THE STUDY
Methodology is the process of system through which a study is...
problem is to find the minimum number of nurses, assuming that they all receive same wages. Thus, the least cost schedule means the minimum number of nurses.
Decision variables
X1 = the number of nurses starting at 7 a.m.
X2= the number students starting at 1 p.m.
X3= the mumber of...
under the columns corresponding to the slack variables give
the values of the dual structural variables. Moreover, the entries in the x0 row under the columns
for the structural variables will give the optimal values of the dual surplusvariables.
Proof. We only have to prove that uB ´ (B¡1)T cB...
that year. The low inflation in the first quartile of 2006 following high inflation in the last quartile of 2005 also causes a leap in the trade balance surplus. All of these facts have proven the theory we have presented earlier
Exchange rate variable has a positive relationship with trade...
, gap between lines represents surplus. Prices will fall to reduce the SURPLUS.
If prices are too low, output is too low, and demand is high, it results in a SHORTAGE. Secondary markets may develop. (eBay, resales, etc.)
This is “the invisible hand” of the market force.
Economics Class...
. Producer surplus is the difference between the total revenue sellers receive from selling a given amount of a good, o the one hand, and the total variable cost of producing that amount, on the other hand. (Variable costs are those costs that change when the level of output changes). Supply curve represents...
)
• In this range the optimal solution will not change
• In this range the optimal profit will change if the coefficient multiplies a variable that is positive in the optimal solution
5. What is slack or surplus?
• Slack = (RHS coefficient) – (LHS value) for “≤” constraints...
Impact of the Fair Value Application on Earnings Management
7.1 Correlation Analysis of the Main Variables
7.2 The Empirical Test of Linear Regression Equation
8. Limitation
9. Summary
References
Appendix I .
Appendix II .
Abstract
The impact of fair value standard...
, calculator, 1 cheat sheet.
Chapter 5
A.M Best rating system: A++
A+
A
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A-
B+
The higher the rate, the more claims the company can pay.
Reserves- often get confused with surplus which is capital. It is money...
| 10 | 5 | 0 |
17.50 | 15 | 10 | 5 |
20.00 | 20 | 15 | 10 |
a. What is each owner’s minimum supply-price of 10 rides a day? At the minimum supply price of $15, Rick determines to supply 10 rides a day
b. Which owner has the largest producer surplus when the price of a ride is $17.50? Explain...