The following table shows Jay's estimated annual benefits of holding different amounts of money.Average moneyholdings($)Total benefit($)1002020029300664004150044How much money will Jay hold if the nominal interest rate is 4 percent? (Assume he wants his money holdings to be in multiples of $100.)
A. $200
B. $300
C. $400
D. $100
Answer: C
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Refer to the table above. What is the average fixed cost of producing 110 units of the good?
A) $1.36 B) $1.72 C) $37.50 D) $150
The process by which risks are shared among many different assets or people is called:
A. the credit risk. B. the risk spread. C. diversification. D. the liquidity process.
The role of the government in establishing how private business can operate includes all of the following except
A. Providing raw materials to business. B. Protecting consumers from defective products. C. Providing a legal framework. D. Protecting the environment.
Using Figure 1 above, if the aggregate demand curve shifts from AD3 to AD2 the result in the short run would be:
A. P3 and Y1. B. P2 and Y1. C. P2 and Y3. D. P1 and Y2.