Starling co. is considering disposing of a machine with a book value of $12,500 and estimated remaining life of five years. the old machine can be sold for $1,500. a new high-speed machine can be purchased at a cost of $25,000. it will have a useful life of five years and no residual value. it is estimated that the annual variable manufacturing costs will be reduced from $26,000 to $23,500 if the new machine is purchased. the total net differential increase or decrease in cost for the new equipment for the entire five years is

Suppose you want to know if more technical service calls are made to homes with cable television or with satellite dish television. should you use frequencies or relative frequencies to make the comparison? why?

Assume that the following conditions exist: a. all banks are fully loaned up- there are no excess reserves, and desired excess reserves are always zero. b. the money multiplier is 5 .     c. the planned investment schedule is such that at a 4 percent rate of interest, investment =$1450 billion. at 5 percent, investment is $1420 billion. d. the investment multiplier is 3 . e.. the initial equilibrium level of real gdp is $12 trillion. f. the equilibrium rate of interest is 4 percent now the fed engages in contractionary monetary policy. it sells $1 billion worth of bonds, which reduces the money supply, which in turn raises the market rate of interest by 1 percentage point. calculate the decrease in money supply after fed's sale of bonds: $nothing billion.

You decide to invest in a portfolio consisting of 25 percent stock a, 25 percent stock b, and the remainder in stock c. based on the following information, what is the expected return of your portfolio? state of economy probability of state return if state occurs of economy stock a stock b stock c recession .16 - 16.4 % - 2.7 % - 21.6 % normal .55 12.6 % 7.3 % 15.9 % boom .29 26.2 % 14.6 % 30.5 %