Refer to the scenario above. A change in the probability of breakdown to 10 percent will:

A) increase the net present value to $135.65.
B) lead to a negative net present value.
C) decrease the net present value to $16.02.
D) decrease the net present value to $10.

C

Economics

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In the circular flow diagram, the value of all the income in the economy is greater than the value of goods and services produced in the economy

Indicate whether the statement is true or false

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If the managers of a theater plan to raise ticket prices to increase ticket revenues, then they must believe that demand is

a. elastic b. inelastic c. unit elastic d. perfectly elastic e. income elastic

Economics