Economic theory assumes that a firm's goal is to:
A. maximize its accounting profit.
B. earn an economic profit.
C. earn an accounting profit.
D. maximize its economic profit.
Answer: D
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Discuss what happened to the market prices on corporate securities relative to government securities during the Great Recession
What will be an ideal response?
If Holly's demand for fast food decreases as her income rises, then
a. fast food is a normal good for her b. the law of demand must apply c. fast food is a complementary good d. fast food is an inferior good for her e. fast food is a substitute good
Which of the following is a source of information that helps consumers acquire information about the quality of a good or service?
a. brand names b. franchising c. consumer ratings magazines d. all of the above
The amount of money that a bank must keep on reserve at the Federal Reserve is the
A. cash reserve portion. B. reserve amount. C. portfolio portion. D. reserve ratio.