You have a contract with someone who has agreed to pay you $20,000 in four years. She offers to pay you now instead. For which of the following interest rates and payments would you take the money today?
a. 8 percent, $15,000
b. 7 percent, $16,000
c. 6 percent, $17,000
d. All of the above are correct.
d
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An most important service provided by underwriters is
A) lowering of information costs. B) dealing with problems of moral hazard. C) insuring firms against loss from fire. D) insuring firms against loss from employee theft.
Why are the following included in the broader definition of supply known as M2? (a) money market deposit accounts (b) money market mutual funds (c) savings accounts
The socially efficient level of output is determined where:
A. marginal social cost equals marginal social benefit. B. marginal private cost equals marginal social benefit. C. average social cost equals average social benefit. D. average private cost equals average social benefit.
Refer to the above diagram. At output level Q total fixed cost is:
A. 0CDQ. B. BCDE. C. 0BEQ-0AFQ. D. 0BEQ.