Assume the market for coal is initially in equilibrium. For each of the case below, identify the effect on the supply curve on the coal. What is the new equilibrium price and quantity in the market for coal for each case? Explain the process of how to get to the new equilibrium.

a. The development of a new, lower cost mining technique.

b. An increase in wages paid to coal miners.

c. The imposition of a $2 per ton tax on coal.

d. A government ban on all imports of coal.

e. A new government regulation requiring air purifiers in all work areas.

Digital Transformation Technology

AmazonGo is an unmanned convenience store which is a new idea in the USA and has already 4 stores in New York. Although new in USA, this isn’t a new concept overseas. With 10,000 customers patronizing this store in just months of its existence, it has regained huge popularity among the local folk in Wellington.


QUESTION 1: Describe and explain 5 enablers (related to technology) that are necessary for this concept to work.

QUESTION 2: Give examples of technologies that can be used for minimizing shoplifting at these unmanned stores.

When multiple thread access the setLower and setUpper methods of the NumberRange object, the isValid method return false. Explain why?

public class NumberRange {

private final AtomicInteger lower = new AtomicInteger(0);

private final AtomicInteger upper = new AtomicInteger(0);

  public void setLower(int i) {

if(i>lower upper.get()) throw new IllegalArgumentException();

lower.set(i);

}

public void setUpper(int i) {

if (i < lower.get()) throw new IllegalArgumentException();

upper.set(i);

}

public boolean isValid() {

return (lower.get() <= upper.get());

}

}

Assume Broncoland has the following aggregate demand (AD) and short-run aggregate supply (SRAS) schedules.

With the information in the table above in mind, complete and answer the following:

By hand, using pen(cil) and paper, graph the aggregate demand and short-run aggregate supply curves. Be sure to use the following labels:

Label the aggregate demand curve AD and the short-run aggregate supply curve SRAS.

Label the y-axis, PL (for the price level) and the x-axis either RGDP or Y.

What is the equilibrium price level and equilibrium output?

Assume the aggregate quantity demanded increases 900 at every price level. Graph the original and new aggregate demand curves as well as the short-run aggregate supply curve. Label the new aggregate demand curve AD2. What happened to the new equilibrium price and output when aggregate demand increased?

List three factors that would cause aggregate demand to increase.

Go back to the original values for aggregate demand and short-run aggregate supply. Suppose the aggregate quantity supplied decreases 1,100 at every price level. Graph aggregate demand, the original short-run aggregate supply, and the new short-run aggregate supply. What happened to the new equilibrium price and output when short-run aggregate supply decreased?

List three factors that would cause short-run aggregate supply to decrease, and explain why you selected the factors you chose.

Return to the original values of aggregate demand and short-run aggregate supply. Assume the long-run full-employment level of output (often called either potential GDP or the natural rate of output) is equal to 8800. Graph aggregate demand, short-run aggregate supply, and long-run aggregate supply. Remember to label the curves. Also, remember that if the economy is operating at the full-employment level of output, the unemployment rate is equal to the natural rate of unemployment, and the economy experiences full employment of resources.

Return to the original values of aggregate demand and short-run aggregate supply. Assume potential GDP decreases to 7,000. Graph the aggregate demand curve, short-run aggregate supply, and the new potential GDP. Be sure to describe where the economy is operating in the short-run relative to where we want the economy to operate. Is the economy operating at full-employment? Is the unemployment rate greater or less than the natural rate of unemployment?

Inflationary Gaps

An inflationary gap exists when the economy is producing a level of output greater than Potential GDP. With an inflationary gap, the short-run level of output produced in the economy is not sustainable. It is greater than Potential GDP; we are operating outside our production possibilities frontier.

There are shortages of labor and other resources. These shortages of labor and other resources cause nominal wages and other resource prices to increase. This increases production costs, causing the short-run aggregate supply curve to decrease. The short-run aggregate supply curve will continue to decrease until long-run equilibrium is reached where AD = SRAS = LAS.

With that information in mind, do the following:

Return to the original value of aggregate demand and short-run aggregate supply. Assume long-run aggregate supply increases to 9,500. Graph aggregate demand, short-run aggregate supply, and the new long-run aggregate supply. Remember to label each of the parts of your graph. You should also describe where the economy is operating in the short-run relative to where we want the economy to operate. Is the economy operating at full-employment? Is the unemployment rate greater or less than the natural rate of unemployment?

Graph an inflationary gap. Graph the decrease in short-run aggregate supply that will move the economy back to long-run equilibrium. Label the second short-run aggregate supply curve SRAS2.

Recessionary Gaps

A recessionary gap exists when the economy is producing a level of output less than potential GDP. If either an inflationary gap or a recessionary gap exists, the economy does not achieve full employment of resources. Classical School economists believe the economy has a self-correcting mechanism, a natural adjustment process that will take place to move the economy back to long-run equilibrium without any type of government interference.

With a recessionary gap, the short-run level of output produced in the economy is less than the full-employment level of output. We are operating inside our production possibilities curve, and labor and other resources are unemployed. Because there is a surplus of labor and other resources, nominal wages and other resource prices fall. This will decrease production costs, increasing the short-run aggregate supply curve.

With that information in mind, do the following:

Graph a recessionary gap. Graph the increase in short-run aggregate supply that will move the economy back to long-run equilibrium. Label the second short-run aggregate supply curve SRAS3.

The firm Lando expects cash flows in one year’s time of $90 million if the economy is in a good state or $40 million if it is in a bad state. Both states are equally likely.
The firm also has debt with face value $65 million due in one year.

Lando is considering a new project that would require an investment of $30 million today and would result in a cash flow in one year’s time of $47 million in the good state of the economy or $32 million in the bad state.

Investors are all risk neutral and the risk free rate is zero.
(a) What are the expected values of the firm's equity and debt without the new project?

Lando can finance the project by issuing new debt of $30 million. If the firm goes bankrupt the new debt will have a lower priority for repayment than the firm’s existing debt.

(b) If the new project is accepted, what will be the value of the firm’s cash flow in each state after paying the original debtholders? What payment must Lando promise to the new debtholders in the good state of the economy?

(c) What will be the expected value of Lando’s equity? Will Lando’s managers choose to accept the project? Why/why not?

Alternatively, Lando can issue new equity of $30 million to finance the project.

(d) What proportion of its equity must Lando give to the new equityholders? Will Lando’s managers choose to accept the project now? Why/why not?

The firm Tehbye expects cash flows in one year’s time of $90 million if the economy is in a good state or $40 million if it is in a bad state. Both states are equally likely. The firm also has debt with face value $65 million due in one year.   

Tehbye is considering a new project that would require an investment of $30 million today and would result in a cash flow in one year’s time of $47 million in the good state of the economy or $32 million in the bad state.

Investors are all risk neutral and the risk free rate is zero.

(a) What are the expected values of the firm's equity and debt without the new project?   

Tehbye can finance the project by issuing new debt of $30 million. If the firm goes bankrupt the new debt will have a lower priority for repayment than the firm’s existing debt.   

(b) If the new project is accepted, what will be the value of the firm’s cash flow in each state after paying the original debtholders? What payment must Tehbye promise to the new debtholders in the good state of the economy?

(c) What will be the expected value of Tehbye's equity? Will Tehbye's managers choose to accept the project? Why/why not?   

Alternatively, Tehbye can issue new equity of $30 million to finance the project.   

(d) What proportion of its equity must Tehbye give to the new equityholders? Will Tehbye's managers choose to accept the project now? Why/why not?

We have created an ArrayList of Person class. write a method called push that pushes all the people with the even length last name to the end of the ArrayList

Content of the ArrayList before push

[alex Bus, Mary Phillips, Nik Lambard, Rose Rodd, Esa khan, Jose Martinex, Nik Patte]

content of the ArrayList after the push method
[alex Bus, Nik Lambard, Nik Patte, Mary Phillips, Rose Rodd, Esa khan, Jose Martinex]

import java.util.*;
class Person
{
   private String name;
   private String last;
   public Person(String name, String last)
   {
     this.name = name;
     this.last = last;
   }
   public String getLast()
   {
     return last;
   }
   public String getFirst()
   {
     return name;
   }
   public String toString()
   {
     return name + " " + last;
   }
}

public class ArrayList
{
  public static void main(String[] args)
  {
    ArrayList<Person> list = new ArrayList<Person>();
     list.add(new Person ("alex","Bus"));
     list.add(new Person("Mary", "Phillips"));
     list.add(new Person("Nik", "Lambard") );
     list.add(new Person("Rose","Rodd"));
     list.add(new Person("Esa","khan"));
     list.add(new Person("Jose","Martinex"));
     list.add(new Person("Nik","Patte"));
     System.out.println(list);
     push(list);
     System.out.println(list);

  
  }
//this method pushes all the people with the even length last name to the end of the list
 public static void push(ArrayList<Person> list) {
         
 }
     
   
}

Business Case:

The Managerial Accounting Department at your company has been engaged by the Production Department for assistance in evaluating a purchase decision. The equipment the production department is currently utilizing is outdated and has become costly to maintain. New machines would also provide increased efficiencies leading to increased sales. Due to this, the department is considering replacing all equipment with new machines.

Data:
- Cost of Current Machines: $800,000
- Cost of New Machines: $1,250,000
- Annual Maintenance on Current Machines: $125,000
- Annual Maintenance on New Machines: $54,000
- Salvage Value of Current Machines: $325,000
- Immediate employee training cost on new machines: $15,000 - Working Capital needed for new machines: $50,000

- Would be needed once machines are purchased and working capital released after 5 years
- Increased sales opportunity provided by new machines: $200,000 first year and growing at 5% per year after
- Company’s Required Rate of Return: 10%
- Contribution margin: 47%
- Depreciation and income taxes should be ignored.

Given the financial information listed above, provide the following 2 files:?

An Excel worksheet showing the annual cash flows by line-item and in total for the keep vs. purchase decision, for

8 years.

? Calculate the NPV in excel

? Calculate the IRR in excel

? Should the Department purchase new equipment or maintain the current equipment?

X Company is considering a new processor that costs $150,000. Shipping and setup costs for the new processor are estimated to be $15,000. X’s working capital requirement is expected to increase by $17,000 when the new processor begins operation and is expected to be fully recoverable at the end of the project. The new processor’s useful life is expected to be 5 years and its salvage value at that point is estimated to be $60,000. The new processor is being depreciated using a 5-year ACRS life. Assume a tax rate of 35% and a cost of capital of 12%.

Estimated incremental revenues and incremental cash operating expenses for the new processor before tax for each year are shown in the table below.

Q1. What is the cost of the initial outlay?

Q2. Given the initial outlay for the new processor, assume the following yearly incremental after-tax cash flows (below) . Assume a cost of capital of 12%. What is the NPV of the Project?

Q3. Given the initial outlay for the new processor, assume the following yearly incremental cash flows (below). Assume a cost of capital of 12%. What is the IRR of the Project?