Suppose Annie expects an annual return of $520 from an investment worth $500 . What should be the rate of interest charged by her to a risky borrower who is likely to repay the principal and interest with a probability of 0.7?
a. 45 percent
b. 48.6 percent
c. 20.33 percent
d. 53.4 percent
B
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Which of the following statements is true about marginal revenue?
A) If marginal revenue is zero, it means that quantity demanded falls to zero when a firm changes its price. B) Marginal revenue increases as price falls and quantity sold increases. C) If marginal revenue is negative, the additional revenue received from selling 1 more unit of the good is smaller than the revenue lost from receiving a lower price on all the units that could have been sold at the original price. D) If marginal revenue is positive, the additional revenue received from selling 1 more unit of the good is smaller than the revenue lost from receiving a lower price on all the units that could have been sold at the original price.
The U.S. imposed high tariffs in the early nineteenth century in retaliation for British tariffs imposed on American goods
Indicate whether the statement is true or false