Microeconomics Answers

CanPipe Industries purchased a metal stamping machine for CAD 147,000 on March 1, 2019. It is

expected to have useful life of 10 years, salvage value of CAD 27,000, production of 250,000

units, and working hours of 30,000. During 2019 CanPipe used stamping machine for 2450 hours

to stamp 23,450 units of pipeline. From the information given, compute the book depreciation

for 2019 under each of the following methods and comment on your answer:

c. Straight-line method

d. Units of production method

e. Working hours

f. Sum-of-years-digits

g. Declining balance

h. Double declining balance

A plant engineer of refinery wishes to know which of two types of lightbulbs should be used to

light the control room. The bulbs that are currently used cost $45.90 per bulb and last 14,600

hours before burning out. The new bulb at $60 per bulb, provides the same amount of light and

consumes same amount of energy, but lasts twice as long. The labour cost to change a bulb is

$16. The lights are on 19 hours a day, 365 days a year. If the plant’s MARR is 15%, what is the

maximum price per bulb the engineer should be willing to pay to switch to the new bulb?

(Assume that the plants marginal tax rate is 40%).

How changes in budget line takes place. Explain diagrammatically

Find the Euclidean distance between (2,5) (4,2)

Find the Euclidean distance between (1,3,4) (4,2,-5)

Find the Euclidean distance between (2,5) (4,2)

how does advertising affect price elasticity?

explain and show the effect of equilibrium price and quantity of split AC when price of DC-inverter decreases.

explain and show the effect of equilibrium price and quantity of split AC when price of electricity increases