Apiece of equipment costs $1.2m. the equipment has a useful life of 4 years. in each of the four years, the investment generates a cash inflow of $0.5m. the impact of the investment project on net income is derived by subtracting depreciation from cash flow each year. assuming the equipment is depreciated on a straight-line basis over 4 years, what is the average contribution to net income across all four years

Maldonia has a comparative advantage in the production of , while lamponia has a comparative advantage in the production of . suppose that maldonia and lamponia specialize in the production of the goods in which each has a comparative advantage. after specialization, the two countries can produce a total of million pounds of lemons and million pounds of coffee.

Miller mfg. is analyzing a proposed project. the company expects to sell 8,000 units, plus or minus 2 percent. the expected variable cost per unit is $11 and the expected fixed costs are $287,000. the fixed and variable cost estimates are considered accurate within a plus or minus 5 percent range. the depreciation expense is $68,000. the tax rate is 32 percent. the sales price is estimated at $64 a unit, plus or minus 3 percent. what is the earnings before interest and taxes under the base case scenario?

True or false: a fitted model with more predictors will necessarily have a lower training set error than a model with fewer predictors.