Refer to the information provided in Figure 28.7 below to answer the question(s) that follow.
Figure 28.7Refer to Figure 28.7. If the economy is on SRPC1, then the expected inflation rate is
A. 4%.
B. 5%.
C. 6%.
D. none of the above.
Answer: B
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People obtain their money incomes basically by
A) chance. B) hard work. C) inheritance. D) supplying something for which others are willing to pay.
About how many people lack access to safe water?
a. 20 million b. 200 million c. 500 million d. 1 billion e. 2 billion
Author A accepts a $5,000 advance from a publisher and a 10% royalty after 5,000 books are sold. Author B foregoes the publisher's advance and negotiates for a 15% royalty on all books sold
Author C decides to self-publish his book and keep 100% of all sales revenue. In what order of risk aversion (from most to least) would you rank these authors? A) Author A, Author B, Author C B) Author A, Author C, Author B C) Author B, Author A, Author C D) Author C, Author B, Author A
Suppose your employer offers to match funds you place into a savings plan as long as you purchase the company stock and hold it for at least three years. Which of the following is true?
A) You should not put funds into this plan unless you expect to hold the company stock for at least ten years. B) You should allocate funds into this plan if the company management recommends it. C) It can be attractive to put funds into a plan like this but you should sell your company stock when permitted in order to diversify your portfolio. D) It does not make any sense to put funds into such a plan.