In determining the optimal capital budget, one should choose those project's whose ____ exceeds the firm's ____ cost of capital
a. internal rate of return, average
b. internal rate of return, marginal
c. internal rate of return, historic
d. average rate of return, marginal
e. none of the above
b
You might also like to view...
If price elasticity of supply is large and demand is price-inelastic, then the firm can earn positive profits by increasing the price
a. True b. False Indicate whether the statement is true or false
Which of the following market bundles will give the lowest utility?
a. 2 movies and 2 games b. 2 movies and 3 games c. 2 movies and 4 games d. 2 movies and 5 games
Assume that this graph illustrates a perfectly competitive labor market.
Equilibrium in this labor market is at a wage of ________ per hour and an employment level of ________ person-hours per day.
A. $20; 125 B. $30; 150 C. $20; 200 D. $30; 100
A country's production possibilities will grow if it
a. produces more guns than butter. b. lowers its opportunity costs. c. makes more trade-offs. d. increases its resources.