A firm has an average total cost of $50. If it sells 20 units of its product at $80 each, what is its profit?
A) $30
B) $600
C) $1,000
D) $1,600
B
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Which of the following statements is FALSE?
A. An increase in income causes the demand curve for an inferior good to shift to the right. B. An increase in income causes an increase in the demand for a normal good. C. An increase in income causes a decrease in the demand for an inferior good. D. A decrease in income causes the demand curve for a normal good to shift to the left.
Quantity demanded is not only affected by price but by variables such as income and the prices of other goods
a. True b. False Indicate whether the statement is true or false
Which of the following values would be included in U.S. GDP for 2015?
a. the rent that Sam, an American citizen, would have paid on his home in Houston in 2015 had he not owned that home. b. the rent that Jim, an American citizen, paid on his apartment in San Francisco in 2015. c. the value of the legal services provided by Juan, an attorney and a Mexican citizen, who lived in San Antonio and practiced law there in 2015 d. All of the above would be included in U.S. GDP for 2015.
One year ago Sam purchased bonds for $100,000 . He just sold them for $120,000 . During the year the price level rose by 5%. If the tax rate on capital gains is 20%, how much did Sam gain in real terms?