Question: Initially the bus company charged 1 50 per trip had a
Initially, the bus company charged $1.50 per trip had a ridership of 3,000 passengers per day. The price elasticity after a $0.50 increase in fare is. -0.5 How many passengers per day does the company have after the fare increase
Answer to relevant QuestionsUsing the “New Keynesian” model, suppose households increase their rates of savings (due to some exogenous event). What will happen to real GDP and to the amount of labor employed, aggregate consumption, and aggregate ...Peyton’s Colt Farm issued a 30-year, 7.4 percent semiannual bond 7 years ago. The bond currently sells for 89.0 percent of its face value. The company’s tax rate is 35 percent. The book value of the debt issue is $100 ...In the real world, is it possible to construct a portfolio of stocks that has an expected return equal to the risk-free rate? Provide examples. Based on the following data, would you recommend buying or renting?Rental CostAnnual rent ........... $7,380Insurance ............ $145Security deposit .......... $650Buying CostAnnual mortgage payments ..... $9,800 ...Explain the effect on the average lives of sequential-pay structures of including an accrual tranche in a CMO structure.
Post your question