In the New Keynesian Macroeconomics business cycles are driven by demand shocks, while in the New Classical Macroeconomics they are driven by supply shocks. Explain this statement using your knowledge of the AD-AS model.

• In the New Keynesian Macroeconomics business cycles are driven by demand shocks, while in the New Classical Macroeconomics they are driven by supply shocks. Explain this statement using your knowledge of the AD-AS model.

5) Your Company is considering a new project that will require $960,000 of new equipment at the start of the project. The equipment will have a depreciable life of 8 years and will be depreciated to a book value of $372,000 using straight-line depreciation. The cost of capital is 11%, and the firm's tax rate is 34%. Estimate the present value of the tax benefits from depreciation (closest to).

A) $48,510
B) $24,990
C) $128,602
D) $73,500

6) Your firm needs a machine which costs $200,000, and requires $35,000 in maintenance for each year of its 5 year life. After 3 years, this machine will be replaced. The machine falls into the MACRS 5-year class life category. Assume a tax rate of 30% and a discount rate of 14%. If this machine can be sold for $20,000 at the end of year 5, what is the after tax salvage value?

A) $14,000.00
B) $17,456.00
C) $8,064
D) $8,480.00

14) Scribble, Inc. has sales of $91,000 and cost of goods sold of $75,000. The firm had a beginning inventory of $21,000 and an ending inventory of $23,000. What is the length of the days' sales in inventory? (Round your answer to 2 decimal places.)

A) 84.23 days
B) 102.20 days
C) 111.93 days
D) 92.25 days

What are the Differences between New Keynesian economics and New classical economics as they relate to ad-as model?

A company's management is considering to buying a new machine. A new machine will cost $25,000. Annual operating and maintenance costs will be $8,000 in the first year, increasing by $400 each year. Assume the machine depreciates by $4,000 per year according to straight-line depreciation. Assume the machine can be re-sold at its book value at any time.

a) Owning the proposed new machine for how many years will result in the minimum EAC if the interest rate is 8%? (show steps)

b) If the old machine reached its minimum EAC several years ago and its operating and maintenance cost this year are expected to be $9,000, should the arena’s management buy the new machine? Assume the operating and maintenance costs of the old machine will increase, and assume it has a salvage value of zero.

4. Your Company is considering a new project that will require $24,000 of new equipment at the start of the project. The equipment will have a depreciable life of 7 years and will be depreciated to a book value of $1,600 using straight-line depreciation. The cost of capital is 10%, and the firm's tax rate is 34%. Estimate the present value of the tax benefits from depreciation.

• $1,088

• $5,297

• $2,112

• $3,200

A bond issued for the purpose of building a tunnel between New Jersey and New York in which tolls are expected to pay the coupon and principal payments to the bondholders is most likely characterized as a(n):

The most likely reason an organization would issue commercial paper is to:

Which of the following is (are) correct regarding average returns?

A mortgage-backed security can be characterized as having:

Which of the following statements concerning risk is not correct?

A financial institution hopes to form an equity mutual fund that invests solely in blue-chip stocks. The most likely piece of legislation that dictates the law surrounding the fund is the:

You have joined a research lab that is testing new vaccines for a new strain of the influenza A virus (IAV). The lab's prior studies have shown that when C57BL/6 laboratory mice are given non-pathogenic bacteria that have been engineered to express a 16 amino acid peptide, after about a month the mice produce IgG antibodies that effectively neutralize IAV. Your project is to test serum samples from healthy adult humans who were given these bacteria 6 weeks ago as part of a pilot clinical trial. You find that you can clearly detect IgG antibodies against IAV from about a third of the samples, but cannot detect IAV-specific antibodies from the remainder of the samples. Which of the following is the most likely characteristic shared by individuals who produced a detectable antibody response?

Group of answer choices

They have a genetic polymorphism that causes their T cells to produce comparatively high amounts of IL-2

They express MHC class II allotypes that bind efficiently to the 16 amino acid peptide expressed by the bacteria

They are people who also have pollen allergies

They express a self protein that contains an amino acid sequence identical to the 16 amino acid peptide expressed by the bacteria

They all have genetic polymorphisms in genes for complement proteins that result in inefficient clearance of bacteria by the membrane attack complex (MAC)