Homework Help is Here – Start Your Trial Now!
Business
Economics
Q. S 1,000 you c Q. Ahr ne to produc ne to produc Ahma Ahma The c If Ah Ahma

Q. S 1,000 you c Q. Ahr ne to produc ne to produc Ahma Ahma The c If Ah Ahma

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
See similar textbooks
icon
Related questions
Question
I need the answer as soon as possible
Q. Suppose that your tuition (4 l) to attend college is JD 1,500 per year and you spend JD 1,000 per year on books and transportation. If you were working full time instead of attending college, you could earn JD 4,000 per year. What is your opportunity cost of attending college for 4 years? Q. Ahmad owns a factory that produces car tires (ull GULI). Ahmad is thinking to change his production line to produce chairs. Your task is to help Ahmad decide whether to keep producing car tires or change his production line to produce chairs. The following information is necessary to reach a conclusion: Ahmad yearly profit from producing car tires is $200,000. Ahmad can earn 8% revenue if he deposits money in the bank. The cost of installing the chair production line is $700,000. If Ahmad decides to produce chairs, he can sell the machines for car tire for $1,500,000. Ahmad yearly profit from producing chair is $150,000.
Transcribed Image Text:Q. Suppose that your tuition (4 l) to attend college is JD 1,500 per year and you spend JD 1,000 per year on books and transportation. If you were working full time instead of attending college, you could earn JD 4,000 per year. What is your opportunity cost of attending college for 4 years? Q. Ahmad owns a factory that produces car tires (ull GULI). Ahmad is thinking to change his production line to produce chairs. Your task is to help Ahmad decide whether to keep producing car tires or change his production line to produce chairs. The following information is necessary to reach a conclusion: Ahmad yearly profit from producing car tires is $200,000. Ahmad can earn 8% revenue if he deposits money in the bank. The cost of installing the chair production line is $700,000. If Ahmad decides to produce chairs, he can sell the machines for car tire for $1,500,000. Ahmad yearly profit from producing chair is $150,000.
Expert Solution
steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Recommended textbooks for you
ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
Economics
ISBN:
9780190931919
Author:
NEWNAN
Publisher:
Oxford University Press
Principles of Economics (12th Edition)
Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON
Engineering Economy (17th Edition)
Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON
Principles of Economics (MindTap Course List)
Principles of Economics (MindTap Course List)
Economics
ISBN:
9781305585126
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Managerial Economics: A Problem Solving Approach
Managerial Economics: A Problem Solving Approach
Economics
ISBN:
9781337106665
Author:
Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:
Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-…
Managerial Economics & Business Strategy (Mcgraw-…
Economics
ISBN:
9781259290619
Author:
Michael Baye, Jeff Prince
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS