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A 40-day strike at Boeing resulted in 50 fewer deliveries of commercial jetliners at the end of the first quarter of 2000. At a cost of $20 million per plane, what was the equivalent end-of-year cost of the strike (i.e., end of fourth quarter) at an interest rate of 18 percent per year, compounded monthly?

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M91223656

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