Frank Murphy is considering how many snowmobiles to purchase for his snowmobile rental business. Below are his estimates of the number of snowmobile rentals per year, depending on the number of snowmobiles available.Number ofSnowmobilesYearlyrentals1902170324043005350After paying all non-interest expenses, expenses Frank expects to net $10 per rental. Each snowmobile costs $15,000. How many snowmobiles should Frank purchase if the real interest rate is 6.5%?
A. 1.
B. 2.
C. 0.
D. 4.
Answer: C
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Everything else held constant, if total consumption increases from $600 to $800 because of an increase of disposable income of $400, then the mpc is equal to
A) 0.2. B) 0.4. C) 0.5. D) 0.6.
If producers must receive a higher price to be induced to produce any quantity, we can conclude that
A) supply decreased. B) demand decreased. C) both supply and demand increased. D) demand increased.
Diversification of a portfolio leads to:
a. a negative correlation between the investments. b. a lower mean of returns. c. a lower variance of returns. d. a higher standard deviation of returns.
The U.S. Environmental Protection Agency estimated that communities that use the “pay-as-you-throw” program generate almost 50 percent less waste than communities where fixed fees or taxes cover the cost of curbside trash pickup.
Answer the following statement true (T) or false (F)