Burt bought a house for $250,000 and plans to rent it out for $2,000 per month. His expected annual rate of return from renting the house is approximately
A. 8.0 percent
B. 9.6 percent
C. 19.2 percent
D. 20 percent
B. 9.6 percent
You might also like to view...
As pointed out by the "big tradeoff," government action that redistributes incomes so that everyone has the same income leads to
A) fairness according to the "fair rules" approach. B) efficient markets. C) resources being allocated according to a command system. D) a smaller total output. E) lower taxes on the rich than on the poor so that the rich do not lose their incentive to work.
After his father lost his job, Jack was forced to drop out of school. In this scenario unemployment resulted in _____
a. a loss of lifetime earnings b. a loss of human capital c. deterioration of health d. a loss of social cohesion
Recall the Application about the decrease in price of illegal drugs in the United States to answer the following question(s).Recall the Application. If the decrease in price of illegal drugs is primarily due to a change in demand, the equilibrium quantity of drugs:
A. will increase. B. will decrease. C. will not change. D. may or may not change.
The ability of a firm to charge a price greater than marginal cost is called
A) market power. B) monopoly power. C) price-making power. D) cost-plus pricing.