Economics Answers

What were the main features of Indian agriculture on the eve of independence ?

Y*=[C0-C1T+A0/i+G]/(1-C1)
FIND THE DERIVATIVE dY*/di Assuming that a0>0

RON started a business on 1 July2019. He brought in the following assets:
Motor vehicle RM68,000
Cash RM50,000
Equipment and fittings RM35,000
Inventory RM42,000
On 9 August2019,Ronintroducedadditional cash of RM28,000.
After six months oftrading,a net profit of RM25,000was earned.
During thesix months, Ronwithdrew RM18,000 for his personal use.
Required:
(i)What is Ron’sopening capital as at 1 July2019?
(ii)What is Ron’s capital as at 31 December2019?

Suppose you have 50 units of inventory at the beginning of month of April 01, 2020, per unit cost is XXX [Suppose per unit cost at your own which must not match with someone else]. On 5th April, 2020 you purchased 100 more units at the rate of XXX, after 3 days on 8th April, 2020 you sold 70 units and on 10th April , 2020 purchased 120 units and the per unit cost is XXX.. On 15th April you sold 130 units.
After 5 days on 20th April you purchased 150 units at the rate of XXX, and 2 days later you purchased 50 units at the rate of XXX and on 30th April, 2020 you sold 200 units.
You are required to make table of inventory valuation under FIFO, LIFO and Average costing method.

You are choosing between two goods, X and Y, and your total utility from each is shown below:

Units TUX TUY
1 10 8
2 18 15
3 24 21
4 28 26
5 31 30
6 33 33

a. If your income is $9 and the prices of X and Y are $2 and $1, respectively, what quantities of each will you purchase in maximizing utility?

b. Specify the amount of total utility you will realize?

c. Assume that, other things remaining unchanged, the price of X falls to $1. What quantities of X and Y will you now purchase?

d. Using the two prices and quantities for X, graphically derive a demand curve for X.

Use the AD-AS model to illustrate and explain how the authorities can use monetary and fiscal policies stimulate economic growth.

Question 1
1.1 the following information is provided:
c= 0.8
t= 0.15
m= 0.2

Calculate the value of the multiplier based on the provided information for the following economies:

1.1.1 closed economy with no government
1.1.2 closed economy with government and tax
1.1 .3 open economy with a government, tax and induced imports.

A young entrepreneur is about to set up a new firm producing protective cases for sunglasses. She calculates that the variable cost of producing each case will be € 5 and that the fixed costs of production will be €15.000 each month. She will be selling her cases at 10€ each
Complete the table below to show the fixed costs, variable costs and total costs of producing each possible level of output:

2. Can you write down and explain 2 advantages of break-even analysis?

3. What will be the situation for that entrepreneur if he sells 2.000 cases. Possible actions?

Consider a competitive firm with initial profits given by π0 = 15, and total cost function c(q) = 10 + q^2. The market price is stochastically distributed as follows-
P˜ =(
8 with prob 1/2
2 with prob 1/2
)

If the firm manager’s utility function is given by-
u(π) = E(π) −1/9Var(π).
derive firm’s optimal output level and associated profit level.

with the aid of the graph discuss the welfare effect of the legislation on the new minimum wage is below the equilibrium wage and above the equilibrium wage rate with labour hours