If the interest rate is 5 percent, then what is the present value of $2,000 to be received in three years?

The buyer of a futures contract

A) assumes the short position. B) has the obligation to deliver the underlying financial instrument at the specified date. C) has the obligation to receive the underlying financial instrument at the specified future date. D) may, at his or her option, deliver or receive the underlying financial instrument at the specified date.

Which of the following could create a cost advantage for a monopoly?

A) better technology B) lower friction due to better organization C) standardization D) All of the above.