Suppose the insurance company cannot tell them apart but expects them to be different values and charges them an average premium of $1850 . How much profit would it make?
a. $1850
b. Zero-they would break even
c. They would make a loss of $650
d. They would make a loss of $1100
c
Economics
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Which of the following will cause an increase in the marginal product of capital (MPK)?
A) a decrease in the quantity of labor in use B) an increase in labor productivity C) a decrease in the quantity of capital in use D) all of the above E) none of the above
Economics
If hiring the 4th worker increases total product by 50 units and the price of each unit is $15,
a. the firm should not hire the 4th worker as MB
Economics