?In the ATM model of money, the opportunity cost of holding money is determined by
A. ?the rate of inflation.
B. ?the cost of going to an ATM.
C. ?the charges levied on every ATM transaction.
D. ?the nominal interest rate and the possibility of having her money stolen.
Answer: D
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Ethics are the accepted principles of conduct that govern behavior within a society
Indicate whether the statement is true or false.
Tyson Enterprises is considering investing in a machine that costs $30,000. The machine is expected to generate revenues of $10,000 per year for six years. The machine would be depreciated using the straight-line method with no half-year convention over its six year life and have no salvage value. The company considers the impact of income taxes in all of its capital investment decisions. The
company has a 40 percent income tax rate and desires an after-tax rate of return of 12 percent on its investment. The net present value of the machine is: A) $2,891. B) $(5,332). C) $(13,555). D) $15,225.
Which of the following statements is true about the Internet?
a. The Internet has shifted all shopping power to consumers b. Consumer reviews on the Internet about various products tend to be equal in quality c. Business-to-business auctions on the Internet are likely to be the dominant form in the future d. Extranets are programs that search the Internet for the best price for a particular product
Even if they succeed, new-to-the-world products are
A. typically very short-lived. B. not capable of creating new markets. C. not adopted by everyone at the same time. D. not subject to the law of first movers. E. generally not profitable.