Aconsumer buying cooperative tested the effective heating area of 20 different electric space heaters with different wattages. here are the results. heater wattage area 1 1,500 131 2 1,500 142 3 750 111 4 1,500 264 5 1,250 237 6 1,750 267 7 1,500 61 8 2,000 135 9 2,000 263 10 2,000 263 11 750 125 12 1,500 76 13 2,000 77 14 750 170 15 1,000 165 16 1,000 152 17 1,000 238 18 1,750 209 19 1,250 167 20 1,750 75

You invest all the money you earned during your summer sales job (a total of $45,000) into the stock of a company that produces fat and carb-free cheetos. the company stock is expected to earn a 14% annual return; however, 5 years later it is only worth $20,000. turns out there wasn't as much demand for fat and carb-free cheetos as you had hoped. what is the annual rate of return on your investment?

Precision dyes is analyzing two machines to determine which one it should purchase. the company requires a rate of return of 15 percent and uses straight-line depreciation to a zero book value over the life of its equipment. ignore bonus depreciation. machine a has a cost of $462,000, annual aftertax cash outflows of $46,200, and a four-year life. machine b costs $898,000, has annual aftertax cash outflows of $16,500, and has a seven-year life. whichever machine is purchased will be replaced at the end of its useful life. which machine should the company purchase and how much less is that machine's eac as compared to the other machine's

The goal of an economist who formulates new theories is to a. provide an interesting framework of analysis, whether or not the framework turns out to be of much use in understanding how the world works. b. provoke stimulating debate in scientific journals. c. contribute to an understanding of how the world works. d. demonstrate that economists, like other scientists, can formulate testable theories.