Curt’s casting manufactures metal parts in a large manufacturing facility. curt’s customers order 52,000 tons of castings each quarter. the facility has a practical capacity of 84,000 tons. curt leased the current facility because it was more convenient than another new facility that had a capacity of 52,000 tons. the annual cost of the facility is $336,000. the variable cost of a casting is $5. required: a. what cost per casting should the cost system report?

Many potential buyers value high-quality used cars at the full-information market price of € p1 and lemons at € p2. a limited number of potential sellers value high-quality cars at € v1 ≤ p1 and lemons at € v2 ≤ p2. everyone is risk neutral. the share of lemons among all the used cars that might be potentially sold is € θ . suppose that the buyers incur a transaction cost of $200 to purchase a car. this transaction cost is the value of their time to find a car. what is the equilibrium? is it possible that no cars are sold