What is the present value of $1 that will be paid to you in 6 years if the interest rate is 10%? Work it out to the nearest tenth of a cent.
What will be an ideal response?
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Figure 5-9
In Figure 5-9, the consumer’s marginal rate of substitution at his optimum choice of X and Y is
A. ?1. B. 16. C. 8. D. ?8.
Economics is the study of the logic of
a. rational decisions. b. decision-making activities. c. ends and means. d. choosing options from those available. e. All of the above are correct.
If fixed cost at quantity (Q) = 100 is $130, then
a. fixed cost at Q = 0 is $0. b. fixed cost at Q = 0 is less than $130. c. fixed cost at Q = 200 is $260. d. fixed cost at Q = 200 is $130. e. it is impossible to calculate fixed costs at any other quantity.
Assume the economy is at point D. What would happen to AD2 and the point of equilibrium if P increased to 110 while the autonomous parts of consumption, investment, government purchases, and net exports remained constant?
a. AD2 would shift right, and the point of equilibrium would move right.
b. AD2 would shift left, and the point of equilibrium would move left.
c. AD2 would not move, but the point of equilibrium would move left.
d. AD2 would not move, but the point of equilibrium would move right.