This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Capital rationing refers to A) setting a minimum acceptable rate of return for a capital outlay. ... (Read 108 times)

APUS57

  • Hero Member
  • *****
  • Posts: 571
on: Jul 1, 2018
Capital rationing refers to
 
  A) setting a minimum acceptable rate of return for a capital outlay.
  B) selecting among profitable capital outlays when there are constraints on the funds available.
  C) determining the maximum price to pay for a capital product.
  D) None of the above

Question 2

Suppose 100 citizens each derive marginal benefit from submarines according to the function MB = 10 - Q. If subs cost 100 each to produce, what is the efficient quantity of submarines?
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Athena23

  • Sr. Member
  • ****
  • Posts: 305
Reply #1 on: Jul 1, 2018
Answer to Question 1

B

Answer to Question 2

The market demand is SMB = 1000 - 100Q. Setting this equal to the MC of 100 yields a quantity of 9. If the cost is shared equally, each citizen pays 1 for the ninth submarine, which they each value at 1.


APUS57

  • Member
  • Posts: 571
Reply 2 on: Jul 1, 2018
Gracias!

raenoj

  • Member
  • Posts: 340
Reply 3 on: Yesterday
:D TYSM

« previous next »
 

Did you know?

Dogs have been used in studies to detect various cancers in human subjects. They have been trained to sniff breath samples from humans that were collected by having them breathe into special tubes. These people included 55 lung cancer patients, 31 breast cancer patients, and 83 cancer-free patients. The dogs detected 54 of the 55 lung cancer patients as having cancer, detected 28 of the 31 breast cancer patients, and gave only three false-positive results (detecting cancer in people who didn't have it).

Did you know?

There are more bacteria in your mouth than there are people in the world.

Did you know?

The first oncogene was discovered in 1970 and was termed SRC (pronounced "SARK").

Did you know?

The first-known contraceptive was crocodile dung, used in Egypt in 2000 BC. Condoms were also reportedly used, made of animal bladders or intestines.

Did you know?

Asthma is the most common chronic childhood disease in the world. Most children who develop asthma have symptoms before they are 5 years old.

The role of leptin in regulating appetite and metabolic rate. The role of leptin in regulating appetite and metabolic rate.
Lymphatic vessels (green) pick up excess tissue fluid, purify it in lymph nodes, and return it to th Lymphatic vessels (green) pick up excess tissue fluid, purify it in lymph nodes, and return it to th
Different parts of the body mature at different rates. “General” refers to the body as a whole: the Different parts of the body mature at different rates. “General” refers to the body as a whole: the
Population growth and growth rate, 1950 - 2100 Population growth and growth rate, 1950 - 2100
Capital’s Share of Income in a Cross-Section of Countries Capital’s Share of Income in a Cross-Section of Countries
Consider the production function ( ) 0.5 0.5 Y = AK L . Suppose both saving rate (s) and the ... Consider the production function ( ) 0.5 0.5 Y = AK L . Suppose both saving rate (s) and the ...
Video: Hormonal regulation of pregnancy - week 1

For a complete list of videos, visit our video library