A financial institution's leverage ratio is defined as:
a. Profit / Revenue.
b. Total Assets / Shareholders' Equity.
c. Shareholders' Equity / Total Assets.
d. Value of Delinquent Loans / Value of All Loans.
e. Total Debt / Total Revenue.
B
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Changes in all of the following will shift the demand curve for labor except
A) the real wage rate. B) the quantity of capital. C) the technology of production. D) the skill level of workers.
Refer to the above figure. Suppose the economy's initial equilibrium is represented by the intersection of LRAS2 and AD2
Now there is an increase in labor productivity which increases total planned production at any given price level and aggregate demand remains stable. The resulting change in the economy's long-run equilibrium position would be represented by a A) movement from B to D. B) movement from C to D. C) movement from C to B. D) movement from A to B.
Economists generally believe that bankruptcy laws are
A. counterproductive to a well-ordered society. B. unnecessary but not counterproductive. C. necessary and difficult to abuse. D. necessary to motivate hard work but can be abused.
If a person is going to borrow $30,000 for a car and pay it off in monthly payments of $566.14 for 5 years, the internal rate of return is
A. 0%. B. 10%. C. 15%. D. 5%.