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To open a new business, a manager




9. To open a new business, a manager must obtain a license from the city for $20,000. The license is transferable, but only $3,000 is refundable in the event the firm does not use the license.;a. What are the firm's fixed costs? Sunk costs?;b. Suppose the manager obtains a license but then decides against opening the business. If another firm offers the manager $2,000 for the license, should the manager accept the offer?


Paper#30579 | Written in 18-Jul-2015

Price : $22