Frank and lynn are co-workers getting paid the same salary. they both decide to quit their jobs and start going to school on the same day. frank gets a degree after just 18 months and spends $6,500 dollars on his education. lynn only spends $3,500, but it takes her 2 years to get her degree. assuming that they each will make $6,000 more per year after graduating, which of the following is true? a. frank will recover his investment at an earlier date than lynn. b. lynn will recover her investment at an earlier date than frank. c. frank and lynn will recover their investments on the same date. d. there is not enough information given to know who will recover their investment first.

Problems and applications q5 four roommates are planning to spend the weekend in their dorm room watching old movies, and they are debating how many to watch. here is their willingness to pay for each film: willingness to pay (dollars) shen antonio dmitri jake first film 10 9 8 3 second film 8 7 6 2 third film 6 5 4 1 fourth film 4 3 2 0 fifth film 2 1 0 0 within the dorm room, the showing of a movie a public good. if it costs $12 to rent a movie, the roommates should rent movies in order to maximize the total surplus. suppose the roommates choose to rent the optimal number of movies you just indicated and then split the cost of renting equally. this means that each roommate will pay $ .