(PPP in China) The International Comparison Program (ICP) reported a price level index (PLI) for China of 42 in 2005 and 54 in 2011. Recall that, by construction, the PLI for the United States is always 100. 1. Find the percent change in the Yuan-dollar real exchange rate between 2005 and 2011. 2. In 2005 the size of the Chinese economy, at PPP exchange rates, was 43 percent that of the U.S. economy. Ignoring growth in physical output, find the size of the Chinese economy, at 2011 PPP exchange rates, relative to that of the U.S. economy. 3. Suppose instead that all of the observed real appreciation of the yuan was due to the imposition of import tariffs by China. Assume that in the U.S. and China the price level is given by P = Pγ XP1−γ M , where γ = 0.5, PX and PM denote export and import prices, respectively, and that absent tariffs the law of one price holds. Find the size of the import tariff.

The perfectly competitive golfball industry consists of 100 golfball-producing firms with the short-run total cost function ST C=q2+ 20q+ 200−N, where q represents the number of pallets of golfballs produced per day and N represents the number of firms in the industry. Firm marginal cost function is M C= 2q+ 20.

- Find the long-run equilibrium price of a pallet of golfballs, the number of pallets produced by each firm in equilibrium, firm profit, and the market quantity of pallets bought and sold in equilibrium.

- Suppose that the price of golf clubs, a complementary good, decreases, causing a demand increase in the golfball market. Suppose 19 new firms enter the industry in the long run,and that the market subsequently returns to long-run equilibrium. Find the new long-run market equilibrium price and quantity, and the number of pallets produced by each firm. How much profit do firms earn?

The following data pertain to products A and B, both of which are purchased by Susan. A is on vertical axis and B is on horizontal axis. Initially, the prices of the products and quantities consumed are:
PA= $8, QA= 5, PB= $6, QB= 10.
Susan has $100 to spend per time period. After an increase in price of B, the prices and quantities consumed are:
PA= $8, QA= 4, PB = $9, QB= 7.5.
Assume that Susan maximizes utility under both price conditions above. Also, note that if after the price increase enough income were given back to Susan to put her back on the original indifference curve, she would consume this combination of A and B:
QA= 10,QB= 4
a. Determine the change in consumption rate of good B due to (1) the substitution effect and (2) the income effect.
b. Determine if product B is a normal, inferior, or Giffengood. Explain.

Often a firm will calculate the break-even point for a price. That is, if we set the price at $X, then how many units will we need to sell to cover costs (that is, our break-even point). Work through the following data and questions to gain a better understanding of this approach.

QUESTIONS

Start by completing the above table under the assumption that the product will be sold for $30. (It will be easiest to use Excel to complete the table.) How many units need to be sold to break-even at a product price of $30?

Now recalculate the table under the assumption that the product will be sold for $15. How many units need to be sold to break-even at a product price of $15?

What do you think you would set first: the sales target or the price? Why?

Exponential Functions

Computer viruses have cost U.S. companies billions of dollars in damages and lost revenues over the last few years. One factor that makes computer viruses so devastating is the rate at which they spread. A virus can potentially spread across the world in a matter of hours depending on its characteristics and whom it attacks.

Consider the growth of the following virus. A new virus has been created and is distributed to 100 computers in a company via a corporate email. From these workstations the virus continues to spread. Let  be the time of the first 100 infections, and at minutes the population of infected computers grows to 200. Assume the anti-virus companies are not able to identify the virus or slow its progress for 24 hours, allowing the virus to grow exponentially.

1. What will the population of the infected computers be after 1 hour?

2. What will the population be after 1 hour 30 minutes?

3. What will the population be after a full 24 hours?

Suppose another virus is developed and released on the same 100 computers. This virus grows according to, where  represents the number of hours from the time of introduction.

4. What is the doubling time for this virus?

5. How long will it take for the virus to infect 2000 computers, according to this model?

please help!

Mr. Hunter, CEO of MT Mining Company (MTMC), received a report from the engineering department. The report describes a proposed new mine on the North Ridge of MT. A gold mine had been discovered on the land owned by MTMC. The land is now leased to another company for $300,000 a year (opportunity cost). The lease is going to expire but can be renewed with the same condition. Tests indicated that this mine can produce 90,000 ounces gold for the first year and the production can increase 10 percent for the next four years then decreases 15 percent for next three years. The resources will be exhausted by the end of the eighth year.

MTMC is currently very conservatively financed. Mr. Hunter believes that MTMC can raise $60 million by issuing bond with 9 percent coupon interest rate. However, when the bond is issued, the market interest can fluctuate in the range of 7% to 11%.

The initial cost of the project includes the purchase of necessary machinery ($50 million), one-time environmental protection fee of $2.5 million, and designing fee of $6.5 million. The project needs $1 million as working capital.

The fixed operating cost of the mine is $850,000 per year. The mine needs to hire 20 engineers and managers, 200 workers at the beginning of the project. The average salary for engineers and managers is $40,000 for the first year and average wage for workers is $25,000 for the first year. Both salaries and wages will increase at a constant rate of 10%. The contracts signed with 10 of the engineers and managers are for four years. Starting from year 4, each year 20 workers will be transferred to other mines. The variable cost (excluding wages and salaries) for producing gold is $1.5 per ounce.

The machines will be depreciated by MACRS. According to MT Environment Protection Law, the mine must restore the site to its original environment condition. It is estimated that the cost of restoration will be $1.5 million. When the restoration is finished, the government will return $2 million of environmental fee.

The current price of gold is $300 per ounce. As for the gold price by the time when the project starts, there are three different opinions about the gold price in the future. Most people believe the price will remain the same as the present price. Optimists believe that the gold price will increase 10% while pessimists predict that gold price will further decline by 5%. MTMC is in the 35% tax bracket.

Now you are hired as CFO of MTMC. Mr. Hunter is asking you to make a project analysis and make a presentation to the board of directors within a week.

QUESTION: Should this project be accepted and why?

Mr. Hunter, CEO of MT Mining Company (MTMC), received a report from the engineering department. The report describes a proposed new mine on the North Ridge of MT. A gold mine had been discovered on the land owned by MTMC. The land is now leased to another company for $300,000 a year. The lease is going to expire but can be renewed with the same condition. Tests indicated that this mine can produce 90,000 ounces gold for the first year and the production can increase 10 percent for the next four years then decreases 15 percent for next three years. The resources will be exhausted by the end of the eighth year. MTMC is currently very conservatively financed. Mr. Hunter believes that MTMC can raise $60 million by issuing bond with 9 percent coupon interest rate. However, when the bond is issued, the market interest can fluctuate in the range of 7% to 11%. The initial cost of the project includes the purchase of necessary machinery ($50 million), one-time environmental protection fee of $2.5 million, and designing fee of $6.5 million. The project needs $1 million as working capital. The fixed operating cost of the mine is $850,000 per year. The mine needs to hire 20 engineers and managers, 200 workers at the beginning of the project. The average salary for engineers and managers is $40,000 for the first year and average wage for workers is $25,000 for the first year. Both salaries and wages will increase at a constant rate of 10%. The contracts signed with 10 of the engineers and managers are for four years. Starting from year 4, each year 20 workers will be transferred to other mines. The variable cost (excluding wages and salaries) for producing gold is $1.5 per ounce. The machines will be depreciated by MACRS. According to MT Environment Protection Law, the mine must restore the site to its original environment condition. It is estimated that the cost of restoration will be $1.5 million. When the restoration is finished, the government will return $2 million of environmental fee. The current price of gold is $300 per ounce. As for the gold price by the time when the project starts, there are three different opinions about the gold price in the future. Most people believe the price will remain the same as the present price. Optimists believe that the gold price will increase 10% while pessimists predict that gold price will further decline by 5%. MTMC is in the 35% tax bracket. Now you are hired as CFO of MTMC. Mr. Hunter is asking you to make a project analysis and make a presentation to the board of directors within a week.

6. Combine the following sentences using a noun clause:

    Why would the pilot suddenly resign? I do not know the reason.

7. Combine the following sentences using a subordinate clause that expresses condition:
Taxi drivers will mount protests in a month. This is because the government is likely to insist on introducing premium taxi services through franchises.

8. Rewrite the following sentence using the word ‘despite’:

Although Edward had already completed his doctoral studies, he failed to secure an academic position.

9. Combine the following sentences using a relative clause with the relative pronoun ‘whom’:
Barack Obama is a Nobel Prize winner. I have great respect for him.

10. Combine the following sentences into a single sentence using two defining relative clauses:
Tim sold his car to a woman. The woman’s husband had a job. The job required a car.

Using the simplified method, determine the tax-free amount of the following distributions from a qualified pension plan. Contributions, if any, are made with previously-taxed dollars. Use monthly payments table. (Round your answers to 2 decimal places.) Person A, age 59, made no contributions to the pension plan and will receive a $500 monthly check for life. Person B, age 66, made contributions of $23,000 to the pension plan and will receive a monthly check of $1,300 for life. Person C, age 64, made contributions of $19,000 to the pension plan and will receive monthly payments of $1,200 over her life and the life of her 67-year-old husband. Person D, age 55, made contributions of $32,000 to the pension plan. He will receive quarterly payments of $5,000 over his life and the life of his 58-year-old wife.

You work in a fertility clinic and have been tasked with creating flow charts that could be displayed to show how fertilisation and implantation is achieved. You may include images.

1. Create a flow chart, explaining the pathway and events that occur as sperm travels from the male testes to the uterine tube to achieve fertilisation
2. Create a flow chart, explaining the pathway and events that occur as an ovum travels from the female ovary to implantation in the uterus.

As well as helping to develop resources you also give advice and help to couples experiencing problems with fertility. Riya and her husband Sumeil are trying to have a baby but Riya has been diagnosed with endometriosis (blocked fallopian tubes) which is a common factor of infertility in women.

3. One of the options available to them is IVF – explain how IVF could help the couple to achieve fertilisation. (300 words)