1. Market demand for laptop computers is y = 500 - p. But the computers are developed by a hardware firm with a cost function c(y) = 100, & the operating system is developed by a software firm with a cost function of c(y) = 150. a. Calculate the optimal prices for the hardware & software firm to charge, & the total market quantity. (4 points) b. Calculate the optimal price & quantity if it were to behave like a merged firm

The following data are provided regarding an entities ending inventory

Calculate ending inventory for each year, 2015 through 2019, inclusive, using the dollar value LIFO method as well as any reported LIFO reserve.

A monopolistic market structure is facing the following demand curve, Q=1800-25P. It's STC total cost is given by 100+7Q+0.025Q square. Find the following.

A. His profit maximizing quantity, price and TR.

B. If the firm wants to incur an average selling cost of Rs. 33 per unit., will the firm face below, above or just normal profits.. support ans with calculation

Question : A monopoly market structure firm is facing the following demand curve Q = 1800 - 25P. Its short-run total cost is given by :100+7Q+0.025Q2. Find the following for this firm:

a. His profit maximizing quantity, price and TR?

b. If this firm want to incur an average selling cost of Rs 33 per unit will the firm face below, above or just normal profits?

On June 30, 2019 the Ricardo Company purchased 100% of the outstanding stock of Leslie Inc. Just prior to the acquisition there is $1,250,000 of goodwill on the books of Ricardo and $625,000 of goodwill on the books of Leslie. In determining the fair value of the acquisition, the accountants for Ricardo allocated $550,000 of the purchase price to goodwill. The consolidated goodwill after the acquisition should total...

A. 550,000

B. 1,800,000

C. 1,175,000

D. 1,875,000

E. 2,425,000

A two-year coupon-paying bond has a face value of $100 000, yield of 7.5% p.a. and coupon rate of 7.5% p.a. The interest rates are paid half yearly.

a) Calculate the price of the bond

b) Calculate the duration of a bond

c) Calculate the convexity of the bond.

d) The yield on the bond instantaneously increases from 7.5% to 7.7%.

*Please write down the formula instead of Excel format

assume you sell short 100 shares of common stock at 50 per share, with initial margin at 50%, at what price you will receive a margin call from your broker ( assuming maintenance margin of 30%)

answers- 42.26, 57.69, 62.00, 24.44

What is your rate of return in previous problem if you purchase the stock at $40 per share?

answers- 40%, 60%, 25%, 18%

Assume that the stock price is $56, call option price is $9, the put option price is $5,   risk-free rate is 5%, the maturity of both options is 1 year , and the strike price of both options is 58.

An investor  can __the put option, ___the call option, ___the stock, and ______ to explore the arbitrage opportunity.  

1) Calculate the Intrinsic Value of each call option.

2) Calculate the Time Value of each call option.

3) Calculate the Intrinsic Value of each put option.

4) Calculate the Time Value of each put option.

5) If the stock sells for $72 at the expiration date of the preceding options, what are the profits and losses for the writers and buyers of these options?

Price controls (price floors and price ceilings) are a commonly used tool on behalf of governments to intervene in the way markets are operating.

Discuss whether price controls are an effective way to intervene to the market.

How is the use of price controls distorting the operation of markets?

Provide examples of countries that have used price controls to affect the way various markets operated.

Analyze both price floors and price ceilings.