Ask Question, Ask an Expert


Ask Business Economics Expert

problem 1)

Does the new economy’s “network society” play by traditional principles of demand and supply or do we now live in a “network society,” one in which profits and economic growth have reached such heights that they seem to defy the core principles of economics? Some argue that unit value of products used in networks have increased with more and more supply of these products, contradicting the traditional principle that increased supplies cause lower value. Using your current company and real-world exs of today’s most successful companies in the “network society” – Microsoft, Cisco Systems, America Online, Oracle, Sun Micro Systems, Dell Computers, eBay, etc., critically discuss the above statement by reading the WSJ article below:

problem 2)

Visit U.S. Bureau of Labor Statistics website at Using historic time series data on monthly unemployment rates (make sure your original data is not seasonally adjusted) from January 2001 to March 2013, find out the following:

a) Monthly adjusted seasonal indices using a moving average technique.

b) Estimate the unemployment trend equation by deseasonalizing the data. Interpret the statistical significance of your regression results at 5% level of significance.

c) Forecast the unemployment rates for the next three months of 2013 based on your trend and monthly seasonal indices.

d) Based on the data and the unemployment trend, what improvements will you incorporate in your forecasting techniques to make your predictions accurate?

problem 3)

Advanced Package Service (APS) offers overnight package delivery to business customers. APS has recently decided to expand its facilities to better satisfy current and projected demand. Current volume totals three million packages per week at a price of $15 each, and average variable costs are constant at all output levels. Total fixed costs are $4 million per week, and profit contribution averages one-fourth of revenues on each delivery. After completion of the expansion project, total fixed costs will increase by 50%, but variable costs will decline by 25%.

a) find out the change in APS's weekly breakeven output level that is due to expansion.

b) Assuming that volume remains at three million packages per week, find out the change in the degree of operating leverage that is due to expansion.

c) Again assuming that volume remains at two million packages per week, what is the effect of expansion on weekly profit?

problem 4)

Based on the information you have provided in your MBAE application about your work experience and career objective, develop a working document that will help your current or future management team of your company to make production and cost decisions. The overall goal of this document is to grow your company and maximize the present value of future profits. Your document should list the necessary qualitative and quantitative data that you have to collect to estimate and forecast production and cost of the company’s product. You do not have to estimate any dollar value in this document. The purpose of this document is to allow your management team some guidelines on making production and cost decisions. The document will serve as a managerial decision-making tool for your company

Business Economics, Economics

  • Category:- Business Economics
  • Reference No.:- M91482

Have any Question? 

Related Questions in Business Economics

Approximately 46 million americans under age 65 are

Approximately 46 million Americans under age 65 are uninsured. About two-thirds of the uninsured are either employed (full- or part- time) or in a family with an employed member. Which groups favored and which groups opp ...

King lear was worried about how his children would treat

King Lear was worried about how his children would treat him in his old age. Much to his regret, he discovered that children do not always deliver what they promise. In addition to love and respect, children are also mot ...

Football coach ira blooper has just been fired as head

Football coach Ira Blooper has just been fired as head coach at a large university. His buyout amount is $7.5 million, and Blooper will be repaid (as per his contract) in monthly instalments over the next 4 years. If the ...

Assume that products a and b are produced in competitive

Assume that products A and B are produced in competitive markets by different firms and are close substitutes. How would an increase in the price of product A affect the price of product B, and total expenditure on produ ...

Compare and contrast the following pairs of termsa

Compare and contrast the following pairs of terms: a. aggregate demand; aggregate supply b. real wages; nominal wages c. short run; long run d. expansionary gap; recessionary gap e. adverse supply shocks; beneficial supp ...

Discussion arrays and listssourceforge sourceforgenet

Discussion: Arrays and Lists SourceForge (, JavaForge (, and Google Code ( Pick any one of the 3 sites and Find a program that (A) uses at least one loop and a list effectiv ...

Economics for business paperpaperin todays business world

Economics for Business Paper Paper In today's business world, it is vital for companies to carefully assess their markets and competitive environment and operate efficiently. A critical skill for business managers is the ...

1 flying penguins corp has total current assets of 14107000

1) Flying Penguins Corp. has total current assets of $14,107,000, current liabilities of $3,317,000, and a quick ratio of 0.76. How much inventory does it have? 2) Bummel and Strand Corp. has a gross profit margin of 30. ...

1 explain why a bundle of goods cannot be optimal ie why

1) Explain why a bundle of goods cannot be optimal (i.e., why some other bundle must be a better choice) if the marginal rate of substitution (MRS) at this point is not equal to the ratio of the goods’ prices. 2) A consu ...

Which one of the following statements concerning the

Which one of the following statements concerning the national defense authorization act is true? a. it is a resolution, not a law b. it provides budget authority for all program element numbers c. it establishes spending ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

A cola-dispensing machine is set to dispense 9 ounces of

A cola-dispensing machine is set to dispense 9 ounces of cola per cup, with a standard deviation of 1.0 ounce. The manuf

What is marketingbullwhat is marketing think back to your

What is Marketing? • "What is marketing"? Think back to your impressions before you started this class versus how you

Question -your client david smith runs a small it

QUESTION - Your client, David Smith runs a small IT consulting business specialising in computer software and techno

Inspection of a random sample of 22 aircraft showed that 15

Inspection of a random sample of 22 aircraft showed that 15 needed repairs to fix a wiring problem that might compromise

Effective hrmquestionhow can an effective hrm system help

Effective HRM Question How can an effective HRM system help facilitate the achievement of an organization's strate