Which of the following are two components of the opportunity cost of using capital already owned by the firm?
A) economic profit and normal profit
B) implicit rental rate and economic profit
C) explicit rental rate and economic costs
D) economic depreciation and forgone interest
D
You might also like to view...
When the Federal Reserve lends reserves to depository institutions, it charges them interest. That interest rate is called the
A) federal funds rate. B) loan rate. C) prime rate. D) discount rate.
When the economy is operating well below capacity, an increase in spending tends to be reflected primarily in a(n):
a. lower level of employment. b. increase in price. c. lower level of output. d. higher level of output and employment. e. increase in business failures.
When will an individual's indifference curves be identical with the iso-expected value lines?
a. Never. b. When the individual is risk averse. c. When the individual is risk neutral. d. When the individual is risk preferring.
A leftward shift of a demand curve is called a(n)
a. increase in demand. b. decrease in demand. c. decrease in quantity demanded. d. increase in quantity demanded.