If a bond offers $1,000 in interest payments at the end of each of next 5 years and a repayment of $10,000 also at the end of the 5 years and the current discount rate is 3 percent, what is the present value of the bond?
A) $12,569
B) $13,205
C) $10,857
D) $4,580
B) $13,205
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If a firm decreases output when MR > MC, then:
a. profit will equal zero. b. profit will increase. c. profit will decrease. d. profit will remain the same. e. the firm is minimizing losses.
Ceteris paribus, for the owner of a sawmill, lumber and the sawdust that go into particle board are
A. Unrelated in the sawmill operator's decision. B. Substitutes in production. C. Complements in production; by-products. D. None of the choices are correct.
Relate the term scarcity to the action(s) it causes.
A. Scarcity causes developed nations to have more material goods than developing nations. B. Scarcity causes fewer technological advances. C. Scarcity forces people to want more material goods. D. Scarcity forces everyone to make choices.
Exhibit 5-5 Demand curve for computers
?
In Exhibit 5-5, the total revenue at point B on the demand curve equals:
A. OA. B. CB. C. AB. D. OABC.