Dobson Construction has an investment project that would cost $150,000 today and yield a one-time payoff of $167,000 in three years. Among the following interest rates, which is the highest one at which Dobson would find this project profitable?
a. 5 percent
b. 4 percent
c. 3 percent
d. 2 percent
c
Economics
You might also like to view...
The above figure shows the marginal benefits and marginal costs of a college education. The efficient number of students is
A) 0. B) 10 million. C) 15 million. D) 25 million.
Economics
How do increasing returns to scale affect the shape of the long-run average cost curve?
What will be an ideal response?
Economics