Refer to the information provided in Figure 2.4 below to answer the question(s) that follow. Figure 2.4According to Figure 2.4, as the economy moves from Point E to Point A, the opportunity cost of hybrid cars, measured in terms of motorcycles

Refer to the scenario above. What is likely to be the impact on Firm A's sales if both the firms decide to sponsor the event?

A) A 5% increase in sales B) A 2% increase in sales C) A 0% increase in sales D) A 10% increase in sales

An increase in the real interest rate

A) increases savings for both borrowers and lenders. B) increases savings for borrowers, but has an uncertain effect on the savings of lenders. C) increases savings for lenders, but has an uncertain effect on the savings of borrowers. D) has an uncertain effect on the savings of both borrowers and lenders.