Maxine's Cookie Shop sells chocolate chip cookies in a perfectly competitive market for $2 per dozen. Maxine currently produces 200 dozen cookies per day and average total cost at this level of production is $1.75
What level of profit is this firm earning? Explain.
Maxine's Cookie Shop is earning profits of $50 per day. This can be calculated by taking total revenue ($2 x 200 = $400) and subtracting total cost ($1.75 x 200 = $350).
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Kane just lost her job as a dock worker. Her former salary was $750 per week. She receives $350 in unemployment insurance while she is actively looking for a new job. She sees a job she is qualified for that pays $600 per week. What is the opportunity cost per week of remaining unemployed?
a. $250 b. $350 c. $600 d. $950
Exhibit 36-1 Bond FaceValueof Bond Price ofthe Bond Annual CouponPayment A $1,000 $850 $25 B $1,000 $950 $41 C $1,000 $1,100 $52 D $1,000 $1,100 $32 E $1,000 $1,000 $50 Refer to Exhibit 36-1. The coupon rate for bond D is
A. 11 percent. B. 2.9 percent. C. 3.2 percent. D. 0.03 percent.