Jane wins $100,000 in a lottery and immediately uses her winnings to open up a donuts shop. Her direct cost is $50,000 . and she puts the remaining money in a savings account earning 10 percent annual interest. Alternatively, Jane could have placed all her lottery winnings in the 10 percent savings account. Jane's total cost of opening up a donuts shop is:

a. $60,000.
b. $50,000.
c. $160,000.
d. $45,000.
e. $55,000.


a

Economics

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In monopolistic competition and ________, economic profit will move towards zero.

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Answer the following statement true (T) or false (F)

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Refer to the information provided in Figure 5.6 below to answer the question that follows. Figure 5.6Refer to Figure 5.6. The market is initially in equilibrium at Point A and supply shifts from S1 to S2. Which of the following statements is true?

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Economics