The total value of dividends paid out to shareholders by a firm is equal to
a. its total after-tax profits
b. its total after-tax profits minus its retained earnings
c. its total after-tax profits minus its bond payments
d. its total after-tax profits plus its retained earnings
e. the present value of the firm
B
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The federal government's role as the provider of national defense is justified by considerations of
A. Private goods. B. Inequity. C. Public goods. D. None of the choices are correct.
Which of the following is generally true of nominal wages?
Fill in the blank(s) with the appropriate word(s).
To prevent bank runs and the consequent bank failures, the United States established the ________ in 1934 to provide deposit insurance
A) FDIC B) SEC C) Federal Reserve D) ATM
What method of financing government spending leads to the least crowding-out?
A) Money creation B) Taxation C) Selling bonds to the public D) Selling government assets, like national parks