In many corporations, the managers of the corporation run the corporation, although the shareholders own the corporation. In this situation
A) there is no corporate governance.
B) there is separation of ownership from control.
C) there are no outside directors on the board of directors.
D) there are no inside directors on the board of directors.
B
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If a bond was to pay off one year from now for $840 and was purchased for $800, what is the interest rate?
A) 4 percent B) 5 percent C) 20 percent D) 40 percent
Charlene is willing to pay $5.00 for a sandwich. If Charlene must pay ________ for a sandwich, she ________
A) $4.00; does not receive consumer surplus B) $4.00; receives consumer surplus C) $6.00; receives consumer surplus D) $6.00; receives a marginal cost
If an economy has a flexible exchange rate and it chooses to issue $10 million in bonds, what will happen according to the Monetary approach?
A) It will have to allow its currency to appreciate. B) It will have to allow its currency to depreciate. C) It will have to decrease its foreign exchange reserves. D) It will have to increase its foreign exchange reserves.
Suppose the economy of Catalania is experiencing a recession and policy makers decide to implement an expansionary monetary policy. It takes more than a year to implement the recommended policy measures. This is an example of a(n): a. liquidity trap
b. wage-price spiral. c. administrative lag. d. operational lag.