________ is the ease with which a financial security can be exchanged for money
A) The face value B) The rate of return C) Risk D) Liquidity
D
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Interlace, Inc produces and a unique soda. The company cannot price discriminate. The figure above shows Interlace's demand curve, marginal revenue curve, and marginal cost curve. Interlace's profit maximizing level of output is
A) 30,000 bottles. B) 50,000 bottles C) 100,000 bottles D) 0; that is, the firm shuts down.
Which of the following statements would Milton Friedman agree with concerning the conduct of monetary policy?
A) Information lags are short, enabling the central bank to respond quickly to changes in the economy. B) There is little uncertainty over the effect of a change in the money supply on the economy. C) There are long and variable lags between monetary policy actions and their economic results. D) Wage and price adjustments are relatively slow, so changing the money supply will have a minimal impact on the real economy.
Transfer prices
a. are an accounting devise to allocate the costs and revenues of intermediate products across divisions b. increase the 'profits' of the profit center producing the intermediate product when they rise c. decrease the 'profits' of the profit center using the intermediate product when they rise d. all of the above
A payroll tax is a tax on
a. the wages that a firm pays its workers. b. earned and unearned income. c. specific goods like gasoline and cigarettes. d. corporate profits.