Business, 08.04.2020 04:49 kaykayhodge
Two firms located along a river generate pollution. The marginal benefit (MB) that each firm earns (in dollars) as a function of the pollution that it generates (profits from an additional unit of pollution) is provided below, where x_i represents the units of pollution generated by firm i. MB1 = 40 – 2x1 MB2 = 10 – x_2/2 If the regulator places a tax on pollution of $6 per unit, what is the total quantity of pollution generated by the two firms? (15 points) The tax in part (b) is a cost-effective way of reducing pollution. What would you need to know about the damages associated with pollution to determine whether the tax is socially efficient (maximizes net social benefits)? (10 points)
Answers: 3
Business, 22.06.2019 10:40
Parks corporation is considering an investment proposal in which a working capital investment of $10,000 would be required. the investment would provide cash inflows of $2,000 per year for six years. the working capital would be released for use elsewhere when the project is completed. if the company's discount rate is 10%, the investment's net present value is closest to (ignore income taxes) ?
Answers: 1
Business, 22.06.2019 10:50
Suppose that a firm is considering moving from a batch process to an assembly-line process to better meet evolving market needs. what concerns might the following functions have about this proposed process change: marketing, finance, human resources, accounting, and information systems?
Answers: 2
Business, 22.06.2019 16:50
Coop inc. owns 40% of chicken inc., both coop and chicken are corporations. chicken pays coop a dividend of $10,000 in the current year. chicken also reports financial accounting earnings of $20,000 for that year. assume coop follows the general rule of accounting for investment in chicken. what is the amount and nature of the book-tax difference to coop associated with the dividend distribution (ignoring the dividends received deduction)?
Answers: 2
Business, 22.06.2019 17:30
You should do all of the following before a job interview except
Answers: 2
Two firms located along a river generate pollution. The marginal benefit (MB) that each firm earns (...
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