If you sell twenty-five $100,000 futures contracts to hedge holdings of a Treasury security, the value of the Treasury securities you are holding is
A) $250,000.
B) $1,000,000.
C) $2,500,000.
D) $5,000,000.
C
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Suppose Renee can increase her total utility from consuming video rentals and books by buying one more book and renting one fewer video. Which of the following is true?
A) The marginal utility of video rentals is negative. B) The marginal utility of the last book consumed exceeds the marginal utility of the last video rental consumed. C) The marginal utility of the last video rental consumed exceeds the marginal utility of the last book consumed. D) The marginal utility per dollar spent on books exceeds that of video rentals.
For the measure of fit in your regression model with a binary dependent variable, you can meaningfully use the
A) pseudo R2. B) size of the regression coefficients. C) standard error of the regression. D) regression R2.