If a competitive firm is selling 500 units of its product at a price of $8 per unit and earning a positive profit, then
a. its average revenue is greater than $8.
b. its marginal revenue is less than $8.
c. its total cost is less than $4,000.
d. All of the above are correct.
c
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Lending abroad represents:
A. positive net savings. B. a capital outflow. C. a capital inflow. D. none of the above.
Assume the market is in equilibrium in the graph shown at demand D and supply S1. If the supply curve shifts to S2, and a new equilibrium is reached, equilibrium quantity will increase from 4 to 4.5 units. Which of the following is true?
A. Producer surplus increases by $3.00.
B. Producer surplus decreases by $8.50.
C. Producer surplus increases by $7.50.
D. Producer surplus decreases by $16.
If U.S. net exports are negative,
a. U.S. consumers are spending less on foreign goods than foreign consumers are spending on U.S. goods b. U.S. consumers are spending more on foreign goods than foreign consumers are spending on U.S. goods c. the government must promote imports to balance international trade d. U.S. consumers are spending more on foreign goods than they are spending on U.S. goods e. U.S. disposable income is low
Suppose your grandfather put $10,000 in the bank in 1965 at an annual interest rate of 7%. Using the Rule of 70, approximately how large should the bank balance be in 2015?
a. $50,000 b. $60,000 c. $80,000 d. $320,000