Refer to Figure 8A.1. Suppose that the economy starts with a capital stock of K0. Then total saving is given by point ________ and depreciation by point ________

Using the data in the above table, the average fixed cost of producing 16 units is

A) $1.11 a unit. B) $1.25 a unit. C) $1.54 a unit. D) $2.22 a unit.

All of the following are advantages of organizing a business as a sole proprietorship EXCEPT

A) ease of formation. B) limited liability. C) ease of decision-making. D) single taxation.