What amount must be earned to induce investors to continue to supply the funds necessary to maintain a firm's capital assets?
a. stockholder equity
b. the opportunity cost of capital
c. economic profit
d. accounting profit
B
You might also like to view...
As the ________ increases, ________
A) quantity demanded of a good; its price increases B) quantity demanded of a good; its price decreases C) price of a good; its quantity demanded increases D) price of a good; its quantity demanded decreases
China collectivized its agriculture during the Cultural Revolution
a. True b. False
Assume the market for cell phone service is initially in equilibrium. An increase in supply would cause a surplus at the initial equilibrium price
The market adjustment would then involve a decrease in price which would in turn cause quantity demanded to increase and quantity supplied to decrease until equilibrium is reestablished. Indicate whether the statement is true or false
Travel websites such as Travelocity tend to offer reservation services for multiple travel modes. This is because
A) the firms have contractual obligations to offer reservations for airlines and railroads, for example. B) the firms have statutory obligations to offer reservations for airlines and railroads, for example. C) once the firm has the reservation technology for airlines, there are economies of scale in offering the same service for railroads. D) once the firm has the reservation technology for airlines, there are economies of scope in offering the same service for railroads.