The net worth of a bank

A. determines the level of bank loans possible.
B. is determined by subtracting liabilities from assets.
C. is determined by subtracting assets from liabilities.
D. can never be a negative value.


Answer: B

Economics

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Which of the following is TRUE?

A) Generally, the lower the country's average income, the less administrative, scientific, and technical capacity it has to design and enforce standards. B) National priorities do not change as income changes—countries of all income levels seem to share the same priorities and values. C) Differences in income are always an obstacle to the harmonization of standards. D) The adoption of a common set of rules usually narrows the market and raises prices.

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Options are less than perfect as instruments to induce better performance because:

a. they are most often backdated. b. they are independent of market volatility. c. more than 90 percent of options expire worthless. d. executives often take risky decisions to raise the value of their options.

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Refer to the table shown. If total output is 41, level of employment is:Number of workersMarginal product of workers1527384105116775839010?1 

A. 4. B. 5. C. 6. D. 7.

Economics

If business people become more pessimistic about the future, we would expect that

A. investment spending would increase. B. the saving function would shift up. C. the consumption function would shift up. D. the investment curve would shift inward to the left.

Economics