Which of the following is NOT an advantage of a futures contract over a forward contract?

A) reduced counterparty risk
B) increased flexibility
C) lower information cost
D) increased liquidity


B

Economics

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According to this Application, what was the approximate value of Wal-Mart's value added in 2014?

A) $115 billion B) $286 billion C) $374 billion D) $661 billion

Economics

Which of the following is not one of the obstacles mentioned in the text to a successful system of price discrimination? Inability to

A) evade legal restrictions on discrimination. B) identify differences in demand among customers. C) prevent customers from reselling the product. D) prevent resentment from arising among the people who pay more.

Economics

The above figure shows the apartment rental market in Bigtown. If severe flooding resulted in the destruction of many of the city's apartment buildings, then the

A) supply curve of apartments would shift leftward and rent would rise above $750.00. B) demand curve for apartments would shift rightward and rent would rise above $750.00. C) equilibrium quantity of apartments rented would increase beyond 3,000. D) equilibrium market price of apartments rented would fall below $750.00.

Economics

Refer to the table below. If at the current advertising level, A = $9,800, B = $15,200, and C = $8,000, to maximize profit, which of the following should the firm do?


The table above shows the current costs for a firm to advertising on the radio, television, and newspaper.

A) The firm should decrease its advertising on the radio and increase its advertising in newspapers.
B) The firm should decrease its advertising on the television and increase its advertising in newspapers.
C) The firm should increase its advertising on the television and decrease its advertising in newspapers.
D) The firm should decrease its advertising on the radio and increase its advertising on television.

Economics