If the cost of capital increased to 25%, does the firm invest in the printer?
a. Yes because the NPV>0
b. Yes because the NPV=0
c. Need information on the marginal benefits and costs
d. No because the NPV<0
a
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All of the following are points of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 EXCEPT
A) creating a Consumer Financial Protection Bureau. B) requiring mortgage lenders to review income and credit histories of applicants to ensure they can afford payments. C) imposing tighter restrictions on banks to limit risky investments. D) requiring firms that create mortgage backed securities to keep at least 50 percent of their value as reserves.
Tracy quits her job, which pays $25,000 a year, to finish her college degree. Her annual college expenses are $12,000 for tuition and fees and $1,000 for books. What is her opportunity cost of attending college for the year?
Which of the following is an accurate statement about external economies of scale?
a. They involve a rise of market prices. b. They involve a reduction of input costs. c. They involve a shift of the MC curve upward. d. They involve a shift of the ATC curves to the right.
A share of common stock represents a(n):
A. claim from a lender against a borrower. B. share of ownership of the company. C. unlimited liability to the owner of the stock. D. share in the company's debts.