Homework Answers
Answer 3.
Capital at beginning of year is $1001100.
Gross Investment during year is $151100.
Depreciation is $56800.
Net investment will be gross investment minus
depreciation i.e. 
So, net investment = $94300
Net Investment= Capital at end of year - Capital at beginning of year
$94300 = Capital at end of year - $1001100
$94300 + $1001100 = Capital at end of year
$944,300 =Capital at end of year
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Answer the next question based on the following demand
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that 300 motorcycles is the optimal and most profitable level of
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that 300 motorcycles is the optimal and most profitable level of
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(a) What are the equilibrium price and quantity at the
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(DL)?
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