The points outside the production possibilities frontier are

In the Keynesian model the quantity of money demanded is ________ related to income and ________ related to the interest rate

A) positively; positively B) positively; negatively C) negatively; negatively D) negatively; positively

James used $250,000 from his savings account that paid an annual interest of 15% to purchase a hardware store. After one year, James sold the business for $320,000 . What is his economic profit?

a. $320,000 b. $70,000 c. $282,500 d. $32,500