The capital stock is fixed at 5 units, the price of capital is $60 per unit, and the price of labor is $20 per unit. 
Based on the above, how much does the 12th unit of output add to the firm's total variable cost?
A. $5
B. $4
C. $2.50
D. $20
E. $40
Answer: C
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Nancy would like to double the money in her retirement account in five years. According to the rule of 70, what rate of interest would she need to earn to attain her objective?
a. 5 percent b. 7 percent c. 10 percent d. 14 percent
If gas prices today were $2.00 per gallon, in terms of history, this would be
A. not an all-time high but rather high in inflation-adjusted terms. B. an all-time high in nominal terms. C. about the long-inflation-adjusted term historical average in inflation-adjusted terms. D. an all-time high in inflation-adjusted terms.
Suppose that an early frost damages the California orange crop. As a result, the price of Texas oranges increases. Ceteris paribus, which one of the following statements best explains this situation?
A. The demand for California oranges fell because of the freeze, and this led to a higher demand for Texas oranges. B. The supply of California oranges decreased, causing the supply of Texas oranges to increase, which resulted in a higher price. C. The supply of California oranges decreased, causing the supply of Texas oranges to decrease, which resulted in a higher price. D. The supply of California oranges decreased, causing their price to increase, and thus causing the demand for Texas oranges to increase.
Wealth is measured as
A) only tangible objects. B) only buildings, machinery, land, cars, stocks and bonds. C) only nonhuman wealth. D) nonhuman and human wealth.