Which of the following factors would be most likely to lead to an increase in interest rates in the economy?
A. Households reduce their consumption and increase their savings.
B. The Federal Reserve decides to try to stimulate the economy.
C. There is a decrease in expected inflation.
D. The economy falls into a recession.
E. Most businesses decide to modernize and expand their manufacturing capacity, and to install new equipment to reduce labor costs.
Answer: E
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For purposes of annual budgeting, it is better to
A) express goals very broadly to allow for flexibility. B) ignore goals altogether and focus instead on savings. C) express income goals concretely and expense goals broadly; this usually assures adequate savings. D) express all goals concretely, which then reduces all goals to yearly consumption and savings targets.
A sample of 200 commuters in Boston indicated that they commute an average of one hour and fifteen minutes per day. The standard deviation of the sample was 25 minutes. Compute the 95% confidence interval for the average commute time of the population (in minutes).
What will be an ideal response?
A product liability action brought in tort generally permits recovery of economic damages suffered by a purchaser of an inferior or defective product whereas a breach of warranty action would not allow such a claim
a. True b. False Indicate whether the statement is true or false
A simple version of the venture capital method involves estimating the _____, the expected return in the harvest year, the post-money valuation, and the pre-money valuation.
A. forecast period B. discount rate C. terminal value D. book value E. liquidation value