Another term to describe the normal rate of return on capital is the
A) fixed cost of capital.
B) depreciation cost of capital.
C) opportunity cost of capital.
D) monopoly rent.
C
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Which one of the following statements is TRUE of the Consumer Price Index?
A) It does not take account of the price of imported goods and services. B) It does not take into account the price of used goods. C) It understates the true rate of inflation. D) It measures changes in prices of a fixed basket of goods.
The labor force of Rhodia is 50 million, of which 25 million are employed. This implies that the unemployment rate in this country is _____
a. 50% b. 10% c. 20% d. 40%
What is it called when the value of a business is determined based on market-derived multiples?
a. income-based approach b. market-based approach c. excess earnings method d. asset accumulation approach e. none of these
Ceteris paribus, which of the following is most likely to cause an increase in the quantity supplied of perfume?
A. An increase in the salaries paid to perfume makers. B. An increase in the price of perfume. C. An improvement in perfume-making technology. D. An increase in the number of sellers of perfume.