James used $200,00 . from his savings account that paid an annual interest of 10% to purchase a hardware store. After one year, James sold the business for 300,000 . An Economist calculated his profit to be:
a. $300,000
b. $100,000
c. $80,000
d. $20,000
c
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In the above figure, suppose the monopolist is producing at Q3. The firm should
A) increase output and decrease price. B) decrease output and increase price. C) not change output or price. D) shut down.
The idea of time inconsistency:
A. explains how it can be rational for someone to say he's going to eat a salad for dinner each night this week and end up eating pizza four out of five nights instead. B. explains how it can be rational for someone to pay more for something on his credit card than if he were to pay cash for the same thing. C. explains why people refuse to ignore only some sunk costs. D. Time inconsistency doesn't explain any of these behaviors.
"Trade restrictions will stop foreign imports, which will increase American employment and protect American jobs." Most economists realize this argument is wrong. Can you explain why?
A point on a total variable cost curve shows the ________ variable cost a firm will bear to produce a certain output.
A) highest B) lowest C) change in D) average